Adding an authorization hold

An authorization hold freezes funds on a guest's credit card for a limited time to guarantee reservation payments or secure funds for potential damages.

An authorization hold expires automatically after seven days, or five days for Visa credit cards. You can release funds manually at any time during this period. Stripe fees only apply when you charge the held funds.

Add a manual authorization holds

Add a manual authorization hold to a reservation when the guest's remaining balance is not fully accounted for. The hold amount can't exceed the outstanding balance of the reservation.

To authorize an amount larger than the current outstanding balance, increase the balance by adjusting the guest folio.

Follow the steps below to add a manual authorization hold.

Step by step:

1. Sign in to your Guesty account.
2. In the side navigation menu, click Reservations.
3. Select the relevant reservation.
4. In the left submenu, click Payments.
5. In the top-right corner, click and select Add authorization hold.
6. In the side panel, enter the hold details.
7. Click Hold now or Save depending on whether you set the hold for a current or future date.

Add an automatic authorization hold

Set up automatic authorization holds as part of the payment automations workflow. Even when auto payments cover 100% of the reservation total, Guesty creates the hold and reserves funds at the scheduled time.

Understanding hold limitations

You can't charge reserved funds if the full reservation amount is already accounted for. To charge held funds in this scenario, update the guest folio to increase the total reservation amount.

For example, a $1,000 reservation has $500 charged at confirmation and $500 charged at check-in. An automatic $300 authorization hold also triggers one day before checkout. If the guest causes $200 in damages, you must add a $200 item to the guest folio to increase the total reservation amount to $1,200. This action creates an outstanding balance, allowing you to charge $200 of the held funds. The remaining $100 of the hold then releases back to the guest

Step by step:

1. Sign in to your Guesty account.
2. In the side navigation menu, click Properties.
3. Select the relevant listing. For a multi-unit, access the main settings of the listing to apply the change to all sub-units.
4. In the left-side menu, click Pricing & policies, and select Auto payments.
5. Click Add rule and select Authorization hold.
6. Fill in the relevant fields.
7. Click Save.

FAQs

How do I charge a guest for damages using a hold?

To charge held funds when the reservation is already fully paid, add a new item to the guest folio. This action creates an outstanding balance, allowing you to charge the held amount without exceeding the total payout.

When are Stripe fees applied?

Stripe only applies transaction fees to the portion of the authorization hold that you successfully charge, rather than the initial amount held.