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Capture More Than Was Pre-Authorized

  • 30 April 2021
  • 3 replies
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A number of our clients are struggling with the new credit card processing workflow, where the pre-authorized amount is a cap for capturing.  Scenario: sales order is created with the amount of $100.  Credit card is pre-authorized for $100.  There is not integration with carriers through Acumatica OR (more often) it’s an LTL order, for which there is no integration in Acumatica.  So, the freight price cannot be estimated at the time of Sales Order.  Shipment is created and confirmed.  The freight price is received either from a 3rd party app or entered manually.  Invoice is created.  The invoice is now for $100 + $20 (shipping charge).  Since the card was pre-authorized for $100, the client cannot charge $120.  There are 2 options at this point: a) void pre-auth and create a new payment for $120; b) charge $100 and create another payment for $20.

The issue with the first approach is that voiding does not remove holdback from an end customer account, and if they are short on money, the second authorization may fail.

The issue with the second approach (and first), it cannot be automated, and some clients don’t like seeing 2 charges per transaction on their account.

Question: when are we getting the amount adjustment back?  We know for a fact it was working in 2019 version of Acumatica, but was removed for some reason.

Thank you!

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Best answer by Doug Johnson 4 May 2021, 17:11

Background:

There is some complexity to what is allowed. Some card processors allow capturing more than was pre-authorized and some do not. An example of what is allowed is provided in the Visa Core Processing rules (but may differ for other card networks). The amount allowed to be captured may vary by the card network, type of transaction (for example: card present), time from original authorization, and other factors.

Future Plans:

Acumatica is investigating the ability to introduce the ability to charge more than the authorized amount by Processing Center. Message me if you would like to review the design of the proposedsolution.

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@yurik05 Many of our clients have Shipping Carrier Integration along with Auto-Packaging which allows us to estimate shipping costs at the time of Sales Order Entry. This plus the ability to use Shipping Terms to mark up the estimated costs allows users to pre-authorize for a higher amount than the order. Using EasyPost with the Shipping Carrier Integration even allows us to get freight quotes from LTL carriers (if the carrier is supported by EasyPost).

Once the order is shipped, if the shipping price ends up being lower, you will post-authorize at invoicing for the true amount and the rest of the pre-auth will fall off.

@yurik05 Many of our clients have Shipping Carrier Integration along with Auto-Packaging which allows us to estimate shipping costs at the time of Sales Order Entry. This plus the ability to use Shipping Terms to mark up the estimated costs allows users to pre-authorize for a higher amount than the order. Using EasyPost with the Shipping Carrier Integration even allows us to get freight quotes from LTL carriers (if the carrier is supported by EasyPost).

Once the order is shipped, if the shipping price ends up being lower, you will post-authorize at invoicing for the true amount and the rest of the pre-auth will fall off.

Thank you Chris.  We will explore EasyPost.  That might help if they have solid integration with LTL carriers.

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Background:

There is some complexity to what is allowed. Some card processors allow capturing more than was pre-authorized and some do not. An example of what is allowed is provided in the Visa Core Processing rules (but may differ for other card networks). The amount allowed to be captured may vary by the card network, type of transaction (for example: card present), time from original authorization, and other factors.

Future Plans:

Acumatica is investigating the ability to introduce the ability to charge more than the authorized amount by Processing Center. Message me if you would like to review the design of the proposedsolution.

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