Pre-authorized Charges

A payment model where a user's card is stored and automatically charged at a future date.

What are Pre-authorized Charges?

Pre-authorized charges allow businesses to hold a payment method on file and charge it at a later date without requiring additional user confirmation.

Pre-authorization is widely used in recurring billing and on-demand services.

Common pre-authorized charge use cases include:

  • Hotel reservations and rental services
  • Subscription billing with delayed activation
  • Pay-as-you-go consumption models
  • Stripe and other payment processors offer pre-authorization capabilities to secure future payments.

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