Common use of Holds Clause in Contracts

Holds. When we approve a request from a merchant or other financial institution to authorize a transaction you conduct with your Account, we may place a hold on the funds. The hold reduces the available balance on your Account by the amount stated in the request. Because the hold reduces the available balance on your Account, your remaining available balance must be sufficient to cover other items that post to your Account. In most cases the hold expires when the transaction posts to your Account or three business days after the request, whichever occurs first. When the hold expires, the amount being held is added to or subtracted from your available balance. The amount is not applied to a specific transaction. Please note that placing these holds reduces the available balance on your Account and removing these holds either increases or decreases the available balance on your Account. We are not responsible for damages or losses of any type, including wrongful dishonor, for any transaction that is not authorized because of a hold.