Credit Card Authorisation Form

When Should Businesses Use Credit Card Authorisation Forms?

This form is essential for your business if you do any of the following;

You Provide Products or Services to Customers for a Fee and They Pay by Credit Card

If you provide services to customers in advance, or your services require a recurring subscription, having a credit card authorisation form clarifies the customer’s payment method, so you don’t have to make constant requests for it.

You might also use this form as authority to reserve the funds in a customer’s card so they can be processed later. 

You Do Not Have an EFTPOS or Other Credit Card Terminal

Credit card authorisation forms are primarily associated with transactions where both parties do not meet physically, or the customer’s card is not physically present at the time of the transaction. But it could also be relevant for those who run physical stores or offices but do not have an EFTPOS (Electronic funds transfer at point of sale) device or any other credit card terminal to process credit payments on the spot. In such instances, instead of losing the customer, have them complete a credit card authorisation form so you can process the payment later.

Your Business Does Not Operate in a Retail Store

Sometimes, online shoppers experience buyer’s remorse after a few days. But instead of going through the formal return process for the goods they purchase, they may initiate a chargeback claim, hoping to get their money back. 

If you run an e-commerce store or any other type of business online, you’ll need a credit card authorisation form to protect your business from such customers and their fraudulent chargeback claims.

You Want to Have a Clear Record That Customers Consent to Transactions

A signed credit authorisation form proves that your customer consented to the transaction. As stated earlier, this type of proof is crucial to fight fraudulent chargeback claims that could affect your business finances and reputation. 

What does the Credit Card Authorisation Form cover?

A Credit Card Authority Form allows a business to debit a customer and includes:

• Collection of personal information;
• Use of personal information;
• Disclosure of personal information to merchant service;
• Collection of funds from the customer’s account; and
• Transfer into the business’s account.

Other names for a Credit Card Authorisation Form include:

• Credit Card Authority.
• Credit Card Consent Form.

Other documents you may need:

• Tax invoice
• Website Terms and Conditions of Use