As Foodbomb is designed for a wholesale market and usually caters to venues, cafes, large pubs and RSL’s pre-authorisation is a standard feature we have enabled on all purchases. The pre-authorisation allows room for quantity and weight variances. Suppliers might supply a little more or a little less than you asked for i.e. 1.10kg of beef instead of 1kg. We reserve an extra 15% on your card to cover any differences. As soon as the order is processed by the supplier, your pre-auth is released- this may take up to a few days depending on who you bank with. You will only pay for what you are supplied.
This Pre-auth amount is clearly outlined to you before you check out and is also reflected on the Order Confirmation email you receive.
Here is how it is calculated;
Total order = $100
Credit card fees = $1.5 (1.5%)
Pre-authorisation = $16.7 (15% of total + credit card fees)
Funds reserved = $118.2 (this is the amount we freeze on your card)
Once your order has been fulfilled the Supplier will adjust any product differences and the final payment is taken to reflect what you received. At this point the Preauth amount is automatically released back to you. This may take up to a few days depending on who you bank with.
Certain banks such as ING, Up and Xinja recognise the Preauth release quite quickly with customers seeing this reflected on their accounts immediately. However, other banks such as CBA, Westpac and NAB can take up to 3 or more business days to reflect the release of funds. We also find that these banks often have a delay in displaying the Preauth amount date correctly. This causes some users to see a Preauth taken on a different day than actually charged. Rest assured that if your order is in a 'Dispatched' state your Preauth funds have been automatically released back to you.
For all final payment charges we recommended you check your Dashboard for ‘Completed’ Orders or check your Order Processed Email.