Card Transaction Lifecycle

Authorization hold, capture, clearing and settlement, with amendments, reversal and expiry

Card Transaction Lifecycle Authorization hold, capture, clearing and settlement, with amendments, reversal and expiry 01 / Money states 02 / Live hold 03 / Pre-capture exits Authorized · hold placed · Money states · hold 01 Authorized hold placed hold Captured · amount to collect · Money states · receivable 02 Captured amount to collect receivable Cleared · batch submitted · Money states · scheme 03 Cleared batch submitted scheme Settled · funds received · Money states · cash 04 Settled funds received cash Hold Amended · incremental / partial · Live hold · adjust Hold Amended incremental / partial adjust Reversed · voided before capture · Pre-capture exits · terminal Reversed voided before capture terminal Expired · hold aged out · Pre-capture exits · terminal Expired hold aged out terminal Legend active state waiting terminal success failure / exit

Three money states

  • • Authorization only holds funds, it moves nothing
  • • Capture creates the receivable and sets the amount
  • • Only settlement realizes cash days later

Amend the hold

  • • Incremental auth raises the held total
  • • Partial capture collects less and releases the rest
  • • All amendments reference one authorization id

Pre-capture exits

  • • Reversal voids the hold and releases it in full
  • • Expiry drops the hold once the issuer window closes
  • • Reconcile authorized against settled per transaction

Lifecycle diagram • Built with Archify • Create yours ↗ • Hover to trace • R route • Click to focus • +/− zoom • M radar • [/] views • P play story • T theme • E export