Pre-Authorization functionality is performed only to block a certain amount on the Card with the idea to complete the transaction at a later stage. It can be later completed or cancelled from the Pre-Authorization menu by entering the pre-authorization code. Amount for pre-authorization has to be entered and the terminal prints a receipt.
If a merchant is eligible for preauthorization transactions based on the business activity, the functionality for preauthorization will be unlocked on the myPOS terminal. When performing a preauthorization transaction, a preauthorization code is generated and this code will appear on the receipt and in the transaction details of the preauthorization tab in the Merchant Services Menu in the myPOS Account.
The preauthorized amount is not charged on the Card but it is only blocked and it will not be cleared until it is completed. This means that merchants should perform a Pre-Authorization Completion in order to receive the funds in your myPOS Account. Merchants who want to complete the preauthorization at the terminal need to enter the preauthorization code that was generated with the initial preauthorization transaction and enter the amount.
In general, the amount of the authorization completion and the amount of the initial preauthorization can differ but the amount of the authorization completion cannot be higher than the initial amount. Completion of the preauthorization should be made no later than 30 days from the date of the initial preauthorization. If the preauthorization transactions are not completed within this period, the preauthorization will be automatically cancelled by myPOS Europe Ltd. and merchants will be charged for this cancellation.
The fee can be seen in the Account Tariff page. Merchants can initiate a cancellation of a preauthorization on their myPOS terminal. In this case merchants need to enter the preauthorization code that was generated with the initial preauthorization transaction and confirm the cancelation. The same fee as the one for the automatic cancellation will apply. Once the pre-authorized transaction is completed/cancelled, it will appear in the list of transactions which should be settled to the myPOS account with the respective fees.