Authorization Only Transaction

Definition

An authorization-only transaction requests issuer approval for a card payment without capturing it for settlement at that time. Approval generally reserves available funds or credit; authorization alone does not move the payment into the merchant’s bank account.

Capture is a separate step

The merchant later captures the approved transaction under the rules supported by its gateway and processor. Authorizations can expire. Capture deadlines and permitted amount changes depend on the provider, card network and transaction type, so there is no single deadline to assume for every payment.

This separation can support delayed fulfillment or a final amount that is confirmed later. An approval is not a guarantee against a later dispute.

Related payment guidance

Continue with review gateway and capture workflows, or return to the payments glossary.

Reference: Authorize.net documentation.