{"id":4655,"date":"2020-09-14T18:19:53","date_gmt":"2020-09-14T12:49:53","guid":{"rendered":"https:\/\/razorpay.com\/blog\/?p=4655"},"modified":"2024-06-25T10:56:38","modified_gmt":"2024-06-25T05:26:38","slug":"capture-settings-manage-failed-transactions","status":"publish","type":"post","link":"https:\/\/razorpay.com\/blog\/capture-settings-manage-failed-transactions\/","title":{"rendered":"“Transaction Failed, Money Debited” – Manage Late Auth with Razorpay Capture Settings"},"content":{"rendered":"

If you actively shop online, one of the bad experiences that might happen is delayed payments or failed transactions.<\/span><\/p>\n

While for a customer, this can lead to annoyance and irritations, for businesses, the impact could be much larger – not only the loss of a customer but also a loss in the brand image on social media platforms.<\/span><\/p>\n

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One of the reasons to cause this highly-dreaded event is a phenomenon called Late Authorization or Late Auth.<\/p>\n

It is worth noting that even such an extremely rare event (less than 0.5% of transactions), can affect the brand’s perception in the market. And, this is not even something the business owner was responsible for!<\/span><\/p>\n

In John Wooden’s words, “It’s the little details that are vital. Little things make big things happen.”<\/span><\/p>\n

What causes late authorization?<\/span><\/h2>\n

Consider the image below to understand what is late auth.<\/span><\/p>\n

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You or someone you know must have faced this at some point while making an online purchase or while booking a ticket.\u00a0<\/span><\/p>\n

To understand what causes Late Auth in the first place, we need a quick crash course on an online payment flow<\/a>.\u00a0<\/span>\"\"<\/a>Now, let’s look at how a small break in the above flow causes your customer’s transaction to fail despite the amount getting debited.\u00a0<\/span>\"\"<\/a>This typically happens because of network issues at the bank’s end.\u00a0<\/span><\/p>\n

Late auth, like bad weather, is not anybody’s fault and cannot be quickly done away with. However, like an umbrella or a raincoat (for bad weather), there are tools that businesses can use to handle this situation in a much better way when it occurs.<\/span><\/p>\n

[bctt tweet=”Late auth, like bad weather, is not anybody’s fault and cannot be quickly done away with. However, there are tools that businesses can use to handle this situation.” username=”Razorpay”]<\/p>\n

At Razorpay, we are focused on working on every little thing that affects a business. To help businesses deal with the challenges faced due to late auth, we have a solution. We are introducing the Capture Settings feature by Razorpay – a tool to tackle late auth payments.\u00a0<\/span><\/p>\n

Handling late authorized payments using Capture Settings<\/span><\/h2>\n

As mentioned above, only around 0.5% of payments are late authorized. What’s interesting that most of these payments are actually authorized within an hour. To understand this in a simplified way, consider the charts below.<\/span><\/p>\n

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Razorpay Capture Settings enables our partner businesses to provide improved customer experience by merely controlling how they presently capture payments.<\/p>\n

[bctt tweet=”Razorpay Capture Settings enables businesses to provide improved customer experience by merely controlling how they presently capture payments.” username=”Razorpay”]<\/p>\n

Now, let’s take a look at some of the use cases of Razorpay Capture Setting and understand how this can help your business in the long run. We will also be talking as to how some of the top businesses from different industries are using this feature to handle late authorizations.<\/span><\/p>\n

Use case 01 – Auto capture all payments<\/span><\/h3>\n

With Razorpay Capture Settings set to “Auto Capture All Payments”, all the transactions will be automatically captured as long as authorization happens within five days of the transaction.<\/span><\/p>\n

The Auto Capture All Payments feature is especially useful when:<\/span><\/p>\n