Which term describes an authorization for a purchase scheduled for a future date?

Which term describes an authorization for a purchase scheduled for a future date?

• A. Overcapture.
• B. Multicapture.
• C. Extended authorization.
• D. Incremental authorization.

Answer: (C)

In card payments, an authorization is a hold placed on funds to approve a transaction. When a purchase is planned for a future date, you need that hold to stay valid until the actual charge happens. The term for this longer-lasting hold is extended authorization. It lets you reserve the funds now and capture them later on or near the scheduled date. For example, hotels or car rentals may authorize the expected amount at booking and then capture closer to the stay or service date. This is distinct from an incremental authorization (which increases an existing authorized amount) or a standard authorization that would expire after a short window. So, for a purchase scheduled for a future date, extended authorization is the correct term.

In card payments, an authorization is a hold placed on funds to approve a transaction. When a purchase is planned for a future date, you need that hold to stay valid until the actual charge happens. The term for this longer-lasting hold is extended authorization. It lets you reserve the funds now and capture them later on or near the scheduled date. For example, hotels or car rentals may authorize the expected amount at booking and then capture closer to the stay or service date. This is distinct from an incremental authorization (which increases an existing authorized amount) or a standard authorization that would expire after a short window. So, for a purchase scheduled for a future date, extended authorization is the correct term.