x

Setting a pre-authorization charge

Is there a way to set a standard pre-authorization charge? Rather than the pre-authorization being what their order is, having it be a $2 charge/hold?

2,760 Views
Message 1 of 5
Report
1 Best Answer
Square Champion

Best Answer

Hey there, @Brewhousedownto.  According to this Square Help Document on pre-authorization, after you tap the “Add Pre-Authorization” button and swipe/dip/tap the card, “The POS will pre-authorize either the minimum amount as configured in Dashboard or the value of items in the cart at the time of pre-authorization, whichever is greater.”

 

This implies that if you always want to pre-authorize $2, (assuming that you have the minimum in your device settings set to $2) then don’t add anything to the cart until after you have completed the card pre-authorization step.  This will do what you want it to do.

 

On word of caution here, that same help document has this to say about your minimum amount — “The POS will pre-authorize either the minimum amount as configured in Dashboard or the value of items in the cart at the time of pre-authorization, whichever is greater.”  The implication here, not surprisingly, is that only the pre-authorization amount is guaranteed.  It is possible that when you close the check — if the amount is higher — that the customer’s bank could reject the additional amount.  So, you’ll want to be sure the customer is handy as you close their check, just in case.  That’s why many bars, etc, pre-authorize something closer to their check average — just to be safe.

Chip
Square Champion, Innovator, Expert and Truth-Teller (The good, the bad, and the ugly. Lol)
Piper’s Ice Cream Bar, Covington KY USA
Website Facebook
Click here to see a list of third-party apps I use to add functionality to my Square account!

If my answer resolves your issue, please take a minute to mark it as Best Answer. That helps other sellers who find this thread in the future.

View Best Answer >

2,738 Views
Message 2 of 5
Report
4 REPLIES 4
Square Champion

Best Answer

Hey there, @Brewhousedownto.  According to this Square Help Document on pre-authorization, after you tap the “Add Pre-Authorization” button and swipe/dip/tap the card, “The POS will pre-authorize either the minimum amount as configured in Dashboard or the value of items in the cart at the time of pre-authorization, whichever is greater.”

 

This implies that if you always want to pre-authorize $2, (assuming that you have the minimum in your device settings set to $2) then don’t add anything to the cart until after you have completed the card pre-authorization step.  This will do what you want it to do.

 

On word of caution here, that same help document has this to say about your minimum amount — “The POS will pre-authorize either the minimum amount as configured in Dashboard or the value of items in the cart at the time of pre-authorization, whichever is greater.”  The implication here, not surprisingly, is that only the pre-authorization amount is guaranteed.  It is possible that when you close the check — if the amount is higher — that the customer’s bank could reject the additional amount.  So, you’ll want to be sure the customer is handy as you close their check, just in case.  That’s why many bars, etc, pre-authorize something closer to their check average — just to be safe.

Chip
Square Champion, Innovator, Expert and Truth-Teller (The good, the bad, and the ugly. Lol)
Piper’s Ice Cream Bar, Covington KY USA
Website Facebook
Click here to see a list of third-party apps I use to add functionality to my Square account!

If my answer resolves your issue, please take a minute to mark it as Best Answer. That helps other sellers who find this thread in the future.
2,739 Views
Message 2 of 5
Report
Square Champion

To add on to what @TheRealChipA  said here, I recommending setting your preauth base fee to your average ticket sale plus 10%. If you set your preauth charge too low, every time you add an item to the ticket that is greater than the preauth amount Square will ping the customers bank for verification. You run the risk of a customer seeing multiple queries to their account and freaking out thinking that you’re charging them multiple times. 

(Edited to add) the help file Chip linked to shows you how to configure the preauth amount for Square for Restaurants. If you’re using the standard point of sale you can find the configuration at More -> Settings -> Open Tickets -> Bar Tabs Pre Authorization

Ryan Wanner
Golden Pine Coffee Roasters
Colorado Springs, CO, USA

Square Champion: I know stuff.
Beta Tester: I break stuff.
he/him/hey you/coffee guy/whatever.

Happy Selling!
2,731 Views
Message 3 of 5
Report
Square Champion

Yes to both @ryanwanner and @TheRealChipA - Get your average sale and choose that dollar figure as your preauthorization and the extra 10% is a great idea. If someone's card doesn't have room to pre-authorize, then they probably cannot pay their bill either. And yes, makes me super nervous to see a prep-authorized card (our average ticket is $25) and the guest runs up a tab for several hundred dollars as he is buying food and beverages for a large group but so far so good. 

 

148 Views
Message 4 of 5
Report
Square Community Moderator

Hello @Brewhousedownto, I hope all this information helps. Please let us know if you have any other questions.

 

Thank you @TheRealChipA@ryanwanner, and @Getonthebus, for all your insight on this!

Sammie_C
Community Moderator, US, Square
Sign in and click Mark as Best Answer if my reply answers your question :sparkles:
103 Views
Message 5 of 5
Report

Type a product name