Authorization holds on Credit Cards

zYx · 12 Nov 2015 at 11:06

Hi all,

I'd like to know how this works and no bank can give me an answer.

Basically, you know when you check-in in a hotel and they often ask to put a hold on your card in case you trash the room. That's fine, but when is this "hold" removed from my card? Say the hotel staff found something wrong with the room I stayed in weeks later and the question is, can they still charge my card? How long after I checked out can they do this?

Is there a set timeframe for banks/hotels/retailers?

I called a few banks and they just don't know and they are making stories up in real time and it looks like they haven't got a clue...

Does anyone here have any idea how those "holds" work and if it can be visible on your account by bank staff? Can it be removed by bank staff? Can I block any future charges?

I'd appreciate your views on this.

Thanks.

daz · 12 Nov 2015 at 11:07

https://en.wikipedia.org/wiki/Authorization_hold

MichaelAwkward · 12 Nov 2015 at 11:07

When I hired a car last year, the hold was lifted a few days after returning the car.

zYx · 12 Nov 2015 at 11:09

daz said:
https://en.wikipedia.org/wiki/Authorization_hold

Seriously?

MichaelAwkward said:
When I hired a car last year, the hold was lifted a few days after returning the car.

Was you notified the hold was removed or how did you know it was actually removed?

Greebo · 12 Nov 2015 at 11:15

Some companies are useless though. I once got hit by a useless hire car company who held so much and for so long that two weeks later i discovered my card got rejected as it was at its limit cause the lazy gits hadnt yet removed the hold GRRR

Nodiggidy123 · 12 Nov 2015 at 11:18

I used to do this for a tool hire company. We used to pre authorise a set amount but not bank it. This would effectively put dibs on the funds for 14 days iirc

Thekwango · 12 Nov 2015 at 11:21

zYx said:
Seriously?

Was you notified the hold was removed or how did you know it was actually removed?

the wiki article explains it quite well from what I can tell

'debit cards: anywhere from 1–8 business days after the transaction date depending on the bank's policy; in the case of credit cards, holds may last as long as 30 days, depending on the issuing bank'

I've never been notified when a hold has been removed, I've always just checked a few days after my travel/car hire - whatever generated the hold -

in regards to being charged after the hold has been released, I'm sure that would be classed as an unauthorised transaction.

zYx said:
Say the hotel staff found something wrong with the room I stayed in weeks later and the question is, can they still charge my card? How long after I checked out can they do this?

but more importantly.....what've you done? left a stinky kipper under the floorboards in a hotel somewhere and worried now they might suss it was you and charge you