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Pending transactions show what charges are waiting to fully process on your bank or credit card account. They temporarily reduce your available balance, which can help you avoid overspending. If you change your mind about a purchase or notice a charge you didn't authorize, you may want to cancel it before it is posted to your account.
In most cases, the best way to cancel a pending transaction is by contacting the merchant directly and asking them to cancel the charge. Here's what you need to know about pending transactions and what to do if you need to stop or dispute a charge.
What Is a Pending Transaction?
A pending transaction is an approved purchase that hasn't been posted to your bank or credit card account yet. This can also include an authorization hold for estimated charges or incidentals for a car rental or hotel stay.
At the pending stage, the merchant requests authorization to charge your credit or debit card. Your bank then confirms that your account is valid and that you have enough funds or credit available. However, the transaction won't be posted to your account until the merchant submits it for final payment.
While pending transactions reduce your available balance, they aren't included in your outstanding balance and don't accrue interest. Most clear within three to five business days, though certain purchases—like hotel stays, car rentals and international transactions—can take up to 30 business days.
Pending transactions include:
- Debit card purchases
- ATM withdrawals
- Wire transfers
- Online bank transactions
- Automatic bill payments
- Credit card purchases, returns or payments
Learn more: What's the Difference Between Available Account Balance and Present Account Balance?
Can You Cancel a Pending Transaction?
To cancel a pending transaction, your best option is to contact the merchant directly and ask them to cancel the charge before it's submitted to the bank or credit card company. If you contact them quickly enough, they may be able to remove the pending transaction before it's finalized.
You usually can't cancel a pending transaction through your bank or card issuer. That's because the merchant still controls the transaction. Once the transaction posts to your account, your bank can work with you to dispute a charge.
When to Contact the Merchant
There are certain situations when it's best to contact the merchant for help with canceling a pending transaction.
- You no longer want the purchase.
- The item hasn't shipped yet.
- You were charged twice.
- An expected discount wasn't applied.
When you contact the merchant, be ready to provide your order number, transaction amount and date. Keep records of your communication with the merchant in case you need to escalate the issue.
When to Contact Your Credit Card Issuer or Bank
If the merchant can't or won't cancel the pending transaction, you'll have to wait until it posts to your account. Once it does, you can file a dispute with your bank or card issuer online, through the app or by calling customer service. You might do this when:
- You don't recognize the transaction.
- You were charged for a purchase you didn't authorize.
- A subscription or recurring charge continues after you've canceled.
- You received a damaged or defective product—or no product at all—and the merchant has been unresponsive.
When you dispute a charge, the bank will investigate and determine whether to reverse it.
Tip: If you suspect fraud or identity theft, you have the right to place a fraud alert on your credit report. This can help protect you by making it harder for new accounts to be opened in your name.
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Frequently Asked Questions
How Long Does a Pending Transaction Take to Clear?
Most pending transactions clear within three to five business days, though some may take up to 30 business days. Your bank may automatically remove pending transactions if the merchant doesn't present it for payment after a certain amount of time, such as seven days.
Does Available Balance Include Pending Transactions?
Yes. Your available balance includes pending transactions as long as the authorization is still active. Pending transactions temporarily reduce your available balance to ensure the funds are reserved when the merchant finalizes the transaction. Keep in mind that your available balance doesn't factor in outstanding checks, recurring payments, scheduled transfers or automatic bill payments.
Can a Pending Transaction Be Declined?
Yes. A pending transaction can be declined if you don't have enough credit or money available when the merchant submits the final charge and you've opted out of over limit or overdraft protection. This can happen if other transactions post before the pending one clears and reduces your available funds, even if you had enough available funds when the transaction was authorized. In some cases, the final amount may be higher than the original pending charge, which can cause the transaction to be declined.
The Bottom Line
It's normal to see pending transactions on your account after you use your credit or debit card. It's an easy way to keep track of the purchases you've made and keep up with your available balance. If you need to cancel a pending transaction, contacting the merchant first is the best approach. If that doesn't work, you can dispute the charge with your bank or card issuer after it clears.