Pre-authorization
Pre-authorization refers to the reservation of an amount.
A pre-authorization is a financial guarantee whereby a certain amount is blocked and withheld for a predefined period of at least seven days. The maximum possible reservation amount depends on the respective card issuer.
Facts about pre-authorizations
A pre-authorization is typically valid for 7 days (depending on the card issuer).
A pre-authorization can be charged exactly once.
The amount charged cannot exceed the reserved amount, although a lesser or equal charge is possible.
If the specified period is adhered to, the reserved amount can be guaranteed to be charged.
Applications of pre-authorizations
Hotels
Pre-authorizations are commonly used in hotels. Pre-authorized payments allow funds to be reserved either during the booking phase or at check-in. By reserving an amount, it ensures that a guest does not leave without paying and covers additional costs such as minibar or spa services.
Car Rentals
Car rental companies also typically use pre-authorizations. By withholding funds at the time of vehicle pickup, it ensures that the vehicle is returned in the desired condition and with a full tank, or that at least the incurred costs are covered if this is not the case.
Integration
To perform pre-authorizations, there are two methods: via Payrexx tools or via API/Gateway.
Via Payrexx tools
To make pre-authorizations via Payrexx tools, a payment provider that supports pre-authorizations must first be set up. After that, the payment method "pre-authorization" can be easily selected in the various Payrexx tools.
The following example demonstrates how to set up pre-authorization in the Payrexx tool "Pages":
In your Payrexx account, navigate to Pages > Overview.
Create a new page or open an existing one and click on tab "Payment information".
Select the payment type "Pre-authorization".
Via API or Gateway
Information and instructions for implementing pre-authorization as a payment method via API or Gateway can be found in our developer documentation:
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