Understanding when a customer is actually charged versus when their card is simply authorized can help you answer customer questions confidently and avoid payment confusion.
Here’s how the SauceyDirect payment flow works from start to finish.
🕐 Step 1: Authorization at Checkout
When a customer places an order and clicks “Check Out,” their payment method is authorized, not yet officially charged.
This means:
The customer’s bank confirms funds are available.
The amount is temporarily held (pending charge).
No money has moved yet; it’s just a pre-authorization hold.
💡 Think of authorization as a “pending” transaction; it ensures payment is valid before the order is fulfilled.
🚚 Step 2: Charge Upon Order Completion
Once the order is completed, the authorization settles and the customer’s card is charged.
This happens automatically:
For delivery orders: when the driver marks the order as delivered.
For pickup orders: when the store clerk clicks “Complete” in the Merchant Dashboard.
At this point:
The transaction officially posts to the customer’s account.
The funds are captured and added to your next merchant payout.
⏳ Step 3: If an Order Is Not Completed or Cancelled
If an order is left in limbo, meaning it’s not completed or not cancelled, the customer’s card can not be charged after 7 days.
Instead:
The authorization hold remains active for up to 7 days.
If the order is still pending after 7 days, the hold will automatically expire.
Once the hold is released, the timing for funds to be available in the customer's account depends on the policies of their bank, which can vary from a few hours to several business days.
When the hold expires, the authorization releases and the customer’s funds become available again.
✅ In short:
Completed = Customer is charged.
Cancelled = Authorization is voided immediately.
Unresolved = Authorization releases after 7 days.
🧾 Example Scenarios
Situation | What Happens | Customer Charged? |
Customer places an order, it’s delivered successfully | Authorization settles | ✅ Yes |
Customer cancels order before fulfillment | Authorization voided | ❌ No |
Customer’s order is never completed or marked delivered | Authorization expires after 7 days | ❌ No |
Pickup order completed by clerk in dashboard | Authorization settles | ✅ Yes |
⚡ Common Questions
Q: Why does the customer see a pending charge before delivery?
A: That’s the authorization hold. The funds are reserved until the order is completed or released after 7 days.
Q: What if a customer’s order is cancelled, but they still see a pending charge?
A: Some banks take 1–3 business days to release pending authorizations. The customer will not be charged once the hold clears.
Q: What happens if my order wasn’t delivered but I was charged?
A: If we're able to confirm a completed order was never delivered then we're happy to help ensure refunds are issued as needed. Refunds typically take 3–5 business days to process depending on your bank. For specific scenarios, some banks may take longer or shorter to process release timelines, reaching up to a few business days depending on the bank's internal operations.