Avoiding holds at the gas station
For many of us, the temporary hold placed on our accounts when we pay at the gas pump can really tie up our finances. We have tips to avoid the hassle.
When you tap to pay or insert your debit card at the pump, the gas station doesn’t know how much gas you will actually buy. You could be filling up a small car or a large work truck. Though you might only buy $20 worth of gas, the station will often place a temporary pre-authorization hold, sometimes as much as $175, on your account until the charge clears. Once the gas station sends the actual charge to the bank to be finalized, they will release the hold. That can be anywhere from a few hours to a few days. For many of us, that temporary hold can really tie up our finances!
These temporary holds are not new – gas stations, hotels, and restaurants have been placing them for years to protect themselves against theft and fraud. Recently, the hold amounts have risen along with gas prices. While Old Glory Bank cannot control the holds retailers place, we do have tips to help you avoid unexpected inconveniences at the pump.
Pay Inside
Paying inside with your debit card before pumping allows you to specify the exact amount to pre-authorize, such as $50 or $75. The station will set the pump to dispense only that amount, so no larger hold is placed on your account.
Pay with PIN
Debit transactions entered without a PIN are subject to the largest hold, because they take a few days to clear. Debit purchases made with a PIN are settled immediately, allowing the gas station to release the hold quickly, often within minutes. So, when you do pay at the pump, be sure to choose the PIN option.
Enjoy the convenience of using your Old Glory Bank debit card with patriotic pride and without the surprises.