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Although CC Auth Forms are common in the hospitality industry, they are not technically PCI compliant because they are storing a customers full credit card information on a document that is not secured. Fines can be as high as $500,000 per incident for security bdocHubes when merchants are not PCI compliant.
If you trust the business you are dealing with, then you should have no problem with using this payment processing method; however, always make sure that you fully understand the document before authorizing any payments.
A credit card authorization form is a document that customers (or cardholders) fill out to grant businesses the permission to charge their credit card. Credit card authorization forms are more often used for larger purchases (think cars, computers, etc.) than they are for smaller, everyday items.
Credit card authorization forms are standard at most hotels when the guests name differs from the cardholders as is common with business accounts. The form protects the hotel by ensuring funds are available to pay for the room and that the charges will be approved.
Payment Authorization is a process through which the amount to be paid on a payment method is verified. In case of credit cards, authorization specifically involves contacting the payment system and blocking the required amount of funds against the credit card.
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A credit card authorization form is one way to protect yourself against chargebacks. If you have a signed document from the cardholder that gives you permission to charge their card for services rendered, your chances of winning your case with the card issuer are much more likely and less complicated.
PCI DSS requirement 4.2 states that credit card information must not be captured, transmitted, or stored via email.
Send electronic credit card authorization form via email, link, or fax. You can also download it, export it or print it out. Draw your signature, type it, upload its image, or use your mobile device as a signature pad. Send electronic credit card authorization form via email, link, or fax.
An authorization hold is a way for merchants to reserve a certain amount of funds in a customers account to ensure a future transaction can be processed successfully. Authorization holds may also be referred to as preauthorizations.
What are some alternatives to a credit card authorization form? If a customer does not want to sign this form, the customer can manually submit a payment each month for recurring services.

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