Why can’t I use my card at certain merchants if I have the exact balance required for the purchase on my card?

Why can’t I use my card at certain merchants if I have the exact balance required for the purchase on my card?

At restaurants, hotels, spa salons, and other merchants where it is customary to leave a tip, cards work with a tip tolerance function.


Simply put, a "tip tolerance" is a security feature that ensures there are sufficient funds on the card for the tip you mark on a receipt, after the server swipes the card. It is usually 20%, by default. The tip tolerance isn't actually charged to your card; rather, the authorization is a kind of “hold” to make sure there are enough funds to cover the tip, if you choose to leave one.

Please note that while you will not be charged this amount nor will you lose any money, in these cases you will only be able to use 80% of the available card amount. The remaining 20% can be used later; it will be returned to your card within 7 business days.
Have a look at this article where we go further into what tip tolerance is.
If you require any clarification or assistance, please contact the number on the back of the card or email us at help@mycardholdersupport.com.

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