What is a pre-authorization?
A pre-authorization is a hold on a specific amount of money on your Green Money Card to ensure payment to the merchant requiring a pre-authorization. For example, a restaurant may pre-authorize a set amount when you open a tab. The pre-authorization amount is held for a period before being released to your available balance. The period of hold depends upon the service being purchased (e.g. hotel, car rental, etc.
A pre-authorization, or pre-auth, is a type of authorization that reserves (holds) a dollar amount on the customer’s credit card for the merchant to process later, usually within 7-14 days. If the transaction is not processed (known as post-authorization) by the end of the hold period, the amount is added back to the available credit on the cardholder’s credit card. The customer is not billed. A pre-auth transaction cannot be voided. Pre-authorizations are common in the hotel industry, where the amount of the expected stay is “reserved” on the cardholder’s credit card.
A pre-authorization is done when a merchant places a hold on funds on your Card to ensure payment. For example, a restaurant may pre-authorize a set amount when you open a tab. If your bill is less than the pre-authorized amount, those remaining funds may be held for a period before being released to your available balance.
Most insurance companies require Pre-Authorization for a patient to undergo radiological studies, biopsies and/or surgical procedures. In addition, your insurance plan (usually an HMO) may require a Referral from your primary care physician (PCP) to undergo the study, test, biopsy and/or surgery. This referral is in addition to the Pre-Authorization. With most insurance providers, the authorization process can take up to 72 hours, and in some cases up to one week. Because of the uncertain turn-around time to obtain a Pre-Authorization, it is not possible to schedule radiological studies or surgeries until the Pre-Authorization has been obtained. If a Pre-Authorization is denied, additional time will be needed to appeal the denial. Our office appreciates your patience during this process, and will submit all the required paperwork for an authorization within one day of your visit. Our staff will work diligently to obtain the Pre-Authorization from your insurance provider as quickly as p
