Incremental Authorization Scenario

An incremental transaction is an additional authorization that increases the original amount of a transaction. The final authorized total combines the amounts from the initial and the incremental authorizations.

This type of authorization is used to increase the total payment amount when the initial authorization is insufficient to cover the total cost of lodging and associated services.

Lodging transactions comprise these types of incremental authorizations:

Initial authorization: Upon reservation or check-in, the guest's payment card is pre-authorized for an estimated amount based on the initial reservation details and potential additional charges. The lodging staff obtains explicit consent from the guest to process the incremental authorizations when charges exceed the initial authorization.

Additional charges: As the guest's stay progresses and additional charges are incurred, such as dining, spa treatments, or minibar consumption, the initial pre-authorization might become insufficient to cover the total amount due for payment. To ensure adequate coverage for the guest's expenses, the lodging staff initiates an incremental authorization request for an additional amount.

For examples of scenarios in which an incremental authorization could be used, see Check-In Transaction Scenario and Check-Out Transaction Scenario.