What is a Preauth or Pre-Authorization?
Pre-authorization is not a purchase but a temporary hold on funds on a credit card. Commonly used when purchasing an item where verification or confirmation is required prior to delivery of the goods or service. In the case of tours or activities, a pre-authorization for a maximum value may be taken prior to a tour is taken. Once the tour is completed, the amount used (for example if additional services are purchased during the tour) is captured. The remaining balance on the pre-authorization is released after a pre-determined number of days. Pre-authorization holds vary in length from 7-30 days.
Note: Rezgo Built-in Payments supports pre-authorizations with a 7 day hold limit.