Hotel pre-authorisation - what does this mean?

katepower

Hi all

I'm going on holiday to nyc soon. I've read through my booking email for the hotel snd have noticed the following;

"Upon arrival you will be asked to provide a valid credit or debit card and photo identification. The hotel will put a hold of the entire amount of any outstanding room and tax. Additionally, for incidental charges such as minibar, restaurant charges, or in room movies an additional USD 200 for a one night stay or USD 100 per night for each night you are with us. Any unused funds will be released back to you at checkout. These funds may take up to 72 hours for your bank to release them securely to your personal account. International banks may take longer depending on your institution. "

I wondered if anyone could tell me what this means in plain English? Ie does this money technically get 'held' or 'Frozen' in my account, or is it taken out? I had planned on using a debit card but had only budgeted for the amount the hotel was due to cost - I noticed that the mini bar cost has been added on St the end. Would it be better for my partner, who has a credit card, to pay it and for me to transfer the money?

jonesMUFCforever

If you can pay with a credit card - they put a hold on the money to make sure they get paid or in case you damage the room.
Let's say you have a credit card with £5000 limit and the hotel puts a hold of say £500 then you have £4500 left until you reach your limit.

If you pay by debit card it will be the same but you need to make sure you have sufficent funds in your account to pay for anything else you might need whilst away.