Enable and configure preauthorization for bar tabs
About preauthorization for bar tabs
Preauthorization gives you the ability to temporarily preauthorize a credit card for a set amount to ensure a customer's credit card is valid and able to pay for their bill when closing out their tab. Preauthorizations typically last around 36 hours, but may vary depending on the customer’s card network and issuing bank.
If a card is preauthorized through Square, customers may see 2-3 pending transactions depending on how their bank represents authorizations. Once the transaction is settled, any preauthorization charges will be consolidated into a single line item. This process can take up to 3-5 business days depending on the customer’s card network and issuing bank. If a customer runs into an issue with a long hold, they should reach out to their bank for additional support.
Learn more about Bar tabs and preauthorization for Square customers.
Enable and configure a minimum preauthorization amount for each of your applicable locations. Preauthorization minimums can range from $1.01 to $250.
Sign in to your Square Dashboard and select Device Management > Service Settings > Bar tabs pre-auth.
Select Pre-Authorization > Enable Pre-Authorization.
Set a Minimum pre-authorization amount.
Select Enable.
Preauthorize a card
You can preauthorize a card via the Checkout tab or the Orders tab on iOS devices, the Square Register and Square Terminal. Square will authorize the minimum preauthorization amount configured in your Square Dashboard or the value of items in the cart at the time of preauthorization, whichever is greater.
If the preauthorization is successful, the cardholder’s name will be added to the check if the check is unnamed. If the cardholder name cannot be read, the card type and last four digits will be added as the check name.
Manage preauthorizations
You can manage any pending preauthorizations from the Square Restaurants POS app.
Complete a preauthorized transaction
If a check has a preauthorization associated, the preauthorized card will be the first payment method listed during checkout. If the customer asks to pay their tab by using a split tender payment, the preauthorized payment can only be used for one of the split payments. To complete a preauthorized transaction:
From the Square Restaurants POS app navigation menu, tap **Checkout**.
Tap Pay > choose the top **Pre-authorize [Card ####]** option.