Deposit vs. pre-authorization
A deposit is a real charge for part of the price, taken when the customer books. A pre-authorization is a hold that reserves funds without charging them; you later capture the final amount or release the hold. Both reduce risk before you deliver.
When to use a deposit
Deposits suit bookings, events, custom orders and appointments, anywhere a no-show or cancellation costs you. Collecting even a partial deposit dramatically reduces no-shows because the customer has skin in the game.
When to use a pre-authorization
Pre-auths fit rentals, hotels, equipment and services where the final total is uncertain (incidentals, damage, fuel, time). You hold an estimated amount, then capture the exact figure when service ends. Holds expire automatically if not captured.
Setting it up
Use payment links or your checkout to collect deposits, and the gateway to place pre-auths. Combine with recurring payments for instalment plans. See online payments or book a demo.