What is a Pre-Authorisation?
A pre-authorisation (or pre-auth) is a temporary hold placed on a cardholder's funds to verify the card is valid and has sufficient balance, without actually completing the transaction. The hold is released or captured later.
Overview
A pre-authorisation (or pre-auth) is a temporary hold placed on a cardholder's funds to verify the card is valid and has sufficient balance, without actually completing the transaction. The hold is released or captured later.
How It Works in Practice
In a typical card transaction, pre-authorisation plays a key role in ensuring payments are processed accurately and securely. Understanding this concept helps businesses manage their payment operations more effectively.
PCI DSS Relevance
Under PCI DSS, all stages of payment processing must be secured. This includes the pre-authorisation stage, where cardholder data must be protected from unauthorised access.
Paytia's secure payment platform handles the full transaction lifecycle for phone payments, including pre-authorisation. All transactions are processed through PCI DSS Level 1 certified infrastructure.
Frequently Asked Questions
What is pre-authorisation in payment processing?
A pre-authorisation (or pre-auth) is a temporary hold placed on a cardholder's funds to verify the card is valid and has sufficient balance, without actually completing the transaction. The hold is released or captured later.
How long does pre-authorisation take?
The timing depends on the payment processor and card network. Most pre-authorisation processes complete within 1-3 business days for UK transactions.
Can I track pre-authorisation status?
Yes. Payment processors and platforms like Paytia provide real-time transaction status tracking through dashboards and API notifications.
Related Terms
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