Can money in my Direct Express® card account be “blocked” or put on “hold” by a merchant to cover the estimated cost of a transaction?
In some cases, a merchant may place a “hold” on a debit or credit card account in an amount to cover the entire estimated cost of transaction, sometimes for up to 72 hours. This practice is typically used by hotels, rental car companies and gas stations, and merchants who block, in advance, for more than the actual cost of the transaction. This practice is determined independently by each merchant as a way to limit their risk when accepting any debit or credit card payment. However, Direct Express® cardholders may avoid such instances by not using the card to reserve hotel rooms or rental cars unless the card account has a balance sufficient to cover the hold (see question 4.20). Although certain gas stations may put a hold on pay-at-the-pump debit card payments — where valid ID and a signature are not required for payment — Direct Express® cardholders may avoid such practices by simply paying the cashier (see question 4.17).
Related Questions
- Can money in my Direct Express® card account be "blocked" or put on "hold" by a merchant to cover the estimated cost of a transaction?
- What happens if I do not have enough money in my PayPower Prepaid Card account to cover a bill?
- What if I don have enough money in my PayPower Prepaid Card account to cover any fees?
