Pre-authorisation on credit cards
myPOS offers a pre-authorisation functionality for hotels, motels, B&B, hostels, camping sites, car rental and other companies. By pre-authorizing a credit card, you can be sure that the used credit card is valid and you can put a temporary hold/block of the amount needed. The term for which an amount of pre-authorisation could be blocked is up to 45 days, depending on the issuing bank. This way you can always be sure that you will receive your payment. It is suitable for rental companies that could also charge substantial damages to a customer - this guarantees that there are funds available and the invoice can be paid.
How does credit card pre-authorisation work?
The pre-authorisation is not a payment, but a temporary reservation/deduction of a certain amount on the customer's credit card. For example at hotels, it is often equal to one or two nights of the booking. You can always convert the pre-authorisation into a payment later if, for example, the customer does not show up or there are additional charges. You can also cancel a pre-authorisation if payment is made in any other way.
How can you use the pre-authorisation functionality?
Pre-authorisation is usually more susceptible to fraud than a regular payment. This functionality is only available by sending a request to email@example.com. It has to be sent from the same email you used to register for your myPOS account. The subject of your email should be “Requesting a pre-authorisation method”. We assess each application individually.
Which myPOS devices support the pre-authorisation functionality?
Please note that all myPOS devices including card machines and POS systems comes with pre-authorisation functionality.
The following business activities are almost always eligible for pre-authorisation:
- B&B, hostels, camping, hotels, and motels.
- Travel agencies and tour operators.
- Car and scooter rental and other vehicle rental companies.
- Yacht rental.