Pre-authorising a payment means the transaction amount is blocked on the customer’s card, allowing you to either approve or reverse the payment later. This feature helps reduce risk when processing payments at the quote stage or when booking high-demand travel services.
You can set up a payment link or website payment as a pre-authorised payment. When the customer enters their card details and completes the transaction, their bank blocks the transaction amount. This amount remains on hold until you either complete or reverse the transaction. If you reverse it, the funds are released back to the customer’s account. If you complete it, the amount is settled in your next payment settlement.
Pre-authorisation reduces the risk of price changes during the booking process, especially in scenarios where flight or hotel availability may change.
It allows you to secure the initial deposit or payment without immediately processing the transaction, helping you manage upfront costs while building bespoke travel packages.
Pre-authorisation decreases the need for refunds when a customer changes their mind, saving your business from processing fees and improving customer experience.
We love this feature for tour operators who build bespoke packages, especially where flights and train travel require upfront payment from your business before you can lock in the booking. Pre-authorisation removes the risk of your business fronting the costs before receiving funds from the customer. It's also a great way to lock in commitment from your customer in the quote stage before the full itinerary has been designed. Reversing a transaction differs to refunding a transaction as you don't pay the processing costs if you don't complete the transaction.
Caroline Rennie
CPO
By default, eCommerce instances and payment links generate regular transactions. To enable pre-authorisation, set the following during payment link or eCommerce instance creation:
authorisation_only: true,
Any pre-authorised payment will need to be completed or reversed by calling the appropriate API endpoints: