By default, Shopify and most payment providers automatically capture payments when placing an order. However, there are certain scenarios where you might prefer to capture credit card payments manually. This gives you greater control over the payment process, allowing you to verify orders, adjust inventory, or handle custom orders more efficiently.

Let’s explore how to set up and manage manual payment capture on Shopify.

Understanding Payment Capture on Shopify

Before diving into the setup, let’s clarify the concept of payment capture and why you might choose to use it manually:

What is Payment Authorization and Capture?

In Shopify, payment processing has two steps: authorization and capture.

• Payment authorization: This happens when a customer makes a purchase. The money is held on their card, but it isn’t transferred to you yet. It’s like a hold or a check to make sure the customer has enough money.
• Payment capture is when you take money from the customer’s card and deposit it into your account.

By default, Shopify captures payments automatically when a customer checks out, meaning you get paid right away.

Why Use Manual Payment Capture?

Instead of capturing payments automatically, some businesses prefer manual payment capture. This gives you more control, letting you charge the customer when you’re ready. Here are some reasons to use manual capture:

• Fraud check: You might want to review the order before taking the money, just in case of fraud.
• Fulfilling orders first: Some businesses prefer to capture payment after the order is fulfilled to comply with accounting rules or local laws.
• Multiple payments: You have the flexibility to capture the full order amount or just a portion of it, which can be helpful in situations like partial shipments or customer changes.

Step-by-Step Guide to Set Up Manual Payment Capture On Shopify

To set up manual payment capture on Shopify, follow these steps:

On Desktop:

• Step 1. From your Shopify admin, go to Settings > Payments.

• Step 2. In the Payment capture method section, select Manually.

• Step 3. (Optional) If you use Shopify Payments and want to receive a reminder before the authorization period expires, select Send a warning 1 day before an authorization expires. Note that this option only works if you’re using Shopify Payments.

• Step 4. Click Save to apply your changes.

On iPhone and Android:

• Step 1. Open the Shopify app, tap the … button, and then tap Settings.
• Step 2. In the Store settings section, tap Payments.

• Step 3. Under the Payment capture method section, select Manually. You can check the box if you want Shopify to send you notifications before an authorization expires.

• Step 5. Tap Save.

Limitations of Manual Capture

Despite its advantages, manual payment capture introduces a few challenges:

• Time limits: You have a limited time to capture the payment (usually a few days). If you don’t do it within that time, the payment might fail, and you’d need to ask the customer to pay again.
• More steps: Manual capture adds extra steps to your workflow, which can slow things down if not managed properly.
• Potential for delays: Manual capture can introduce a slight delay in the order fulfillment process, as you need to review and capture payments manually.
• Some third-party providers might not support manual payment capture: Check their documentation or contact their support team for clarification. If you use a payment provider that doesn’t support manual capture, those payments will be taken automatically, even if you have manual capture turned on.

Managing Orders with Manual Payment Capture

To check your current payment capture settings, go to the Payments section in your Shopify admin. There, you’ll find information about payment capture options and how to set them up.

When manual payment capture is active, orders ready for payment will have the status Authorized. You’ll need to manually capture the payment for each of these orders.

Capturing the payment changes the order status from Authorized to Paid, indicating that you’ve received the funds and can proceed with fulfilling the order.

Capturing Partial Payments

This can happen if some items are out of stock, the customer changes their mind, or you’re fulfilling the order in multiple shipments.

1. Go to Orders in your Shopify admin.
2. Click the order number.
3. In the Authorized section, click Capture payment.
4. Enter the desired amount for partial payment.
5. Click Capture to complete the process.

💡 Read everything about How To Accept Partial Payment On Shopify now!

Capturing Multiple Partial Payments

If your payment provider allows it, you can capture multiple partial payments up to the authorized amount. However, each capture will incur transaction fees.

• Shopify Plus merchants using Shopify Payments can capture multiple partial payments with manual payment capture or capture per fulfillment activated. This feature is currently supported for Amex, Visa, Discover, and Mastercard.
• If your provider doesn’t support this, consider sending the customer an invoice and marking the order as paid once they pay.

Capturing Payment Early

If you have automatic capture at fulfillment enabled but need to collect payment sooner, you can do so manually.

1. Go to Orders.
2. Click the order number.
3. Click Capture payment early.
4. Enter the amount for partial payment (optional).
5. Click Accept to finalize the capture.

Capturing Payments in Bulk

You can capture payments for multiple credit card orders at once. However, this will capture the full payment amount for all selected orders. For partial payments, you’ll still need to capture them individually.

Additional Tips & Considerations

• Voiding Authorizations: If you decide not to capture a payment, you can void the authorization to release the reserved funds back to the customer’s card.
• Partial Payments: For custom or pre-orders, consider capturing partial payments upfront as deposits.
• Communication: Keep customers informed about the manual capture process and any potential delays in order fulfillment.

Bottom Line

Manually capturing credit card payments on Shopify gives you more control over your payment process, inventory, and cash flow. While it requires more active management, the benefits often outweigh the drawbacks for many businesses.

FAQs

How long do payment authorizations last before expiring?

The length of time a payment authorization lasts on Shopify can vary depending on a few factors, but generally, it’s around 7 days.

Can I charge part of an order for split shipments?

Yes, you can! If a customer orders multiple items, but you can only ship some now, you can charge just for those items. Later, when you get the remaining items, you can charge and ship them separately.

What if I forget to charge a payment?

If you forget to charge a payment within 7 days, the authorization expires. This means you can’t take the money anymore. You’ll need to contact the customer and ask them to pay again.

Will customers see a pending charge on their credit card?

Yes, customers will see a “pending” charge on their credit card, even though you haven’t taken the money yet. This can confuse some customers, so it’s good to explain to them that you’ll only actually charge them when you ship their order.

Can I cancel an authorization if a customer wants to cancel their order?

Yes, if a customer wants to cancel their order before you’ve charged them, you can cancel (or “void”) the authorization. This removes the pending charge from their card. Remember, once you cancel an authorization, you can’t use it again. If the customer changes their mind, you’d need to start a new authorization.

Related Posts:

• Create a custom manual payment method on Shopify
• Deactivate a manual payment method on Shopify
• Activate a Credit Card Payment Provider on Shopify