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Understand bar tabs and pre-authorisation for Square customers

Who is this article for?
Customers who purchase from Square sellers.

About bar tabs and pre-authorisation

Pre-authorisation gives you the ability to temporarily authorise or hold your card for a set amount to ensure your card is valid and able to pay for your bill when closing out a tab. Holds typically last around 36 hours, but can vary depending on your card network or issuing bank.

Before you begin

Once your card is pre-authorised, you may see a series of pending transactions until the payment is complete.

Understand pre-authorisation charge types

Initial charges

If your card is pre-authorised through Square, you may see 1–3 pending transactions depending on how your card network or bank represents authorisations. The first transaction you see will reflect the standard amount set by the Square seller or the value of your order when your tab was started, whichever is greater.

Closed tab

Once your tab is paid and closed out, the line items you see will depend on how your card network or bank represents pending transactions.

You may see either of the following options:

  • The initial line item for the hold updated to the final tab amount.
  • 1–2 additional line items representing the incremental value of the tab and/or the tab plus tip.

Completed payment

Once the transaction is settled, any holds will consolidate into a single line item. This can take 3–5 working days, depending on your card network or issuing bank. If your bank account shows multiple authorisations for more than five working days, contact your bank directly for additional assistance.

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