Debit Card Pre-Authorization Notice
When a debit card with a low available balance (typically under $1,000) is used,
restaurant transactions may trigger a pre-authorization hold from the bank:
- The bank may temporarily hold an amount approximately 20% higher than the original transaction
- This additional amount is intended to cover potential tips
- The hold helps prevent the final settlement amount from exceeding the available balance
Example
- POS transaction amount: $100
- Amount shown by the customer’s bank app or text alert: $120
🔔 This is a normal pre-authorization display and not an extra charge.
Once the restaurant completes the daily batch settlement,
the bank will automatically adjust the charge to the correct final amount.