How do I cancel a credit card transaction?

The best way to stop recurring payments on a credit card (like utilities, subscription services, or rent) is to contact the service provider directly. You may be able to do that online, by phone, in person, or by mail, depending on the service.

Here's how to stop recurring payments on a credit card:... read full answer

• Online: If you have an online account with the merchant, you will need to log in. There should be a link under your bank information tab to stop recurring payments.
• Phone: Some companies allow you to stop recurring payments by phone. Even if you cancel online, this is a good way to confirm the payments have been stopped.
• Get confirmation: Make sure you keep a confirmation page, number, or certified mail receipt to prove that you made a request in case you run into any trouble.
• Be firm: If you call, the representative will probably try to talk you out of stopping payments. Politely insist to cancel. If they refuse or say they can’t cancel your payments, request a mailing address to send your request.

You should make your request at least three days before the next scheduled payment date, to avoid having another payment go through. Even if you’ve already paid for some of your recurring expense, it’s still worth calling the biller’s customer service department. That way, you can ask about getting a partial refund if you cancel. This can actually work with credit card annual fees, too.

What you should know about recurring payments:

• A recurring payment on a credit card is when you give a merchant the authority to automatically charge your card for a product or service at regular intervals (e.g., monthly) until cancelled.
• Recurring credit card payments can be household expenses such as a phone or electric bill, or a contract payment like gym membership dues. Other recurring payments include loan installments and charges for subscription services such as Netflix, Amazon Prime, or Spotify.
• Generally, you shouldn’t have trouble stopping a recurring payment. But the big issue is making sure to identify all the services you may be charged for on a recurring basis. Then, make sure to stop the ones you don’t want before you get charged again.

If all else fails and it is within your right to cancel, you could report any future charges to your card as fraudulent. This will get the credit card issuer to intervene.

Finally, while you’re allowed to stop recurring payments, you’ll need to find another way to pay if you plan to keep getting service from the provider in question, especially if it’s something like rent. Some places may only let you pay using a card. So, you could always substitute a debit card instead of a credit card. But you’d have to make sure you have enough money in your checking account every month.

A pending charge usually stays on your credit card account for five business days.

Several factors affect how long will a charge stay pending, like when you made the transaction or the merchant's processing time.

Pending charges immediately reduce your available balance. Even though the merchant hasn't charged you yet, the amount you owe will still be deducted from your available balance. It will remain like this until the purchase has been processed by the merchant.... read full answer

A credit card authorization, also known as a hold, lasts anywhere between a minute and 31 days. Holds last until the merchant charges your card for the purchase and clears them, or they naturally "fall off" your account. The exact length of time depends on the type of transaction, the merchant, the issuer, and the ... read full answercard network.

When you make a transaction or give your card information to a merchant to charge later, you authorize the merchant to take up a certain amount of your credit line. That amount of your credit is then immediately unavailable to use until the hold ends.

Here's how long a credit card authorization lasts:

• Hotels: Typically, holds are released a few days after checkout.
• Car rentals: Usually, holds are released when you return the car or a few days after.
• Gas station pump purchases: Holds are generally released on the day you made the transaction, or a couple of days later. You can avoid the risk of longer holds by paying inside the gas station.
• Other card-present transactions: Typically, holds are released on the day of the transaction date.
• Other card-absent transactions: Up to 7 days from the day of the initial authorization approval.

Credit card authorizations are pretty straightforward when the exact purchase amount is available upfront. But that’s not always the case, especially with things like gas purchases and hotel reservations, where the amount you owe is not clear from the start. In these cases, holds will be released after what you owe is settled.