When you book a hotel room, you typically have to provide your credit card information to the hotel. The hotel will then run a pre-authorization on your card to make sure that you have the funds available to pay for your stay. This pre-authorization is generally for the amount of your room rate plus a small additional amount to cover incidentals.
The hotel does this to protect itself from guests who book a room and then don’t have enough money to pay for it. If you don’t have enough money in your account to cover the pre-authorization, your card will be declined and you won’t be able to check in to your room.
If you’re worried about a hotel pre-authorization impacting your credit, you can always call your credit card issuer and ask them to increase your credit limit for the amount of the pre-authorization. That way, even if the pre-authorization is eventually processed, it won’t put you over your credit limit.
Other related questions:
Q: How do credit card authorizations work at hotels?
A: When a guest checks into a hotel, the hotel will typically place a hold on the guest’s credit card for the estimated amount of the stay, plus any incidentals that the guest may charge to their room. The hotel may also place a hold for a higher amount, at the guest’s request.
Q: Do you ever pre authorize guests credit cards before arrival?
A: No, we do not preauthorize credit cards before arrival.
Q: What is a hotel authorization hold?
A: A hotel authorization hold is an amount of money that is temporarily withheld from your credit or debit card account when you make a reservation at a hotel. The hold is placed so that the hotel can ensure that you have the funds available to pay for your stay. The hold is typically released within a few days after you check out of the hotel.
Q: Do pre-authorization charges get refunded?
A: Pre-authorization charges are typically refunded by the issuing bank, but it can take a few days for the refund to post to your account.