2006

Overview
Honor Period and Authorization Period
16 June 2006 Authorization & Capture Integration Guide
2. You cannot reauthorize an order authorization.
Honor Period and Authorization Period
The honor period and authorization period for orders and basic authorizations differ slightly as
described below. However, the following points are true for both types of authorizations:
z If you attempt to capture funds outside the honor period, PayPal applies best efforts to
capture funds. However, there is a possibility that funds will not be available at that time.
z Buyer and seller accounts cannot be closed if there is a pending (unsettled) authorization.
Order Authorizations
An order period is 29-days long. Within this period, you can request an authorization to ensure
the availability of funds. You can request an authorization on an order up to 10 times, up to
115% of the originally authorized amount (not to exceed an increase of $75 USD). Every
successful authorization includes an honor period of 3 days.
After a successful authorization, PayPal honors 100% of authorized funds for three days. A
day is defined as the start of the calendar day on which the authorization was made (from
12AM PST to 11:50PM PST).
PayPal honors 100% of the authorization amount within this 3-day period. However, PayPal
will not allow you to capture funds if the buyer’s account is restricted, locked, or a fraudulent
case occurs, or if your account has a high restriction level. You can use Authorization &
Capture only when your account has a low restriction level.
Basic Authorizations
When your buyer approves an authorization, the buyer’s balance can be placed on hold for a
29-day period to ensure the availability of the authorization amount for capture. You can
reauthorize a transaction only once, up to 115% of the originally authorized amount (not to
exceed an increase of $75 USD).
After a successful reauthorization, PayPal honors 100% of authorized funds for three days. A
day is defined as the start of the calendar day on which the authorization or reauthorization
was made (from 12AM PST to 11:50PM PST).
You can settle without a reauthorization from day 4 to day 29 of the authorization period, but
PayPal cannot ensure that 100% of the funds will be available after the three-day honor period.
However, PayPal will not allow you to capture funds if the buyer’s account is restricted,
locked, or a fraudulent case occurs, or if your account has a high restriction level. You can use
Authorization & Capture only when your account has a low restriction level.