Also called: Open batch
What unsettled transactions are
An unsettled transaction is an approved card payment that has not yet been submitted for settlement. It is waiting in a batch, a group of processed transactions that gets sent to the processor together. An open batch is a batch that has not been closed and submitted.
Approval and settlement are separate steps. An authorization confirms that the card can be charged and may place a hold on the customer’s available funds. Capture submits the approved amount for settlement. Until that happens, the transaction is not part of the deposit for that batch.
An approved sale is not in your deposit until it is captured and submitted for settlement.
How the process works
Your point-of-sale system or processor adds transactions to a batch. Closing and submitting it starts settlement. Without a hold, funds arrive in your bank account within 1 to 2 business days after the batch is submitted.
Batch closing is automatic on some accounts and manual on others. Some processors automatically close an open batch after 48 hours to 6 days; others let transactions expire. The exact window depends on the processor’s rules, so an old unsettled sale deserves attention before it drops out of the batch.
A sale waiting in an open batch
| Card sale | $100 (illustrative) |
|---|---|
| Batch status | Open |
| Included in deposit | After submission |
The sale amount is illustrative. Actual deposit timing depends on batch submission and any account holds.
What it means for your costs and cash flow
Unsettled status does not itself create a card-processing fee. It delays when the sale reaches your bank deposit, which affects cash available for payroll, inventory, or bills. Some processors charge a batch-settlement fee, but the research does not establish a standard amount.
For example, a $100 sale (illustrative) sitting in an open batch is not included in the deposit until the batch is submitted. If you void the transaction before settlement, you stop it from being submitted. After settlement, you need to issue a refund instead.
Where to monitor them
Use your processor’s transaction view or settlement report to find pending sales. Transaction ID, status, submit date and time, and payment amount help you match an unsettled sale to your register or order records. A transaction view may show the authorized amount, so confirm the capture amount before submitting it.
A statement shows settled activity and fees, but it is not a substitute for checking pending transactions before the batch closes. Compare the batch total with your sales records, then match the resulting deposit to the settled batch.
What you can actually change
- Review pending sales. Check the transaction view before closing each business day. Match unsettled amounts to your register or order records.
Frequently asked questions
Does an unsettled transaction mean the customer has been charged?
The customer’s card has been approved, and the authorization may place a hold on available funds. The sale is not yet included in your settled batch. Capture and settlement move it toward the final charge and your deposit.
Can I void an unsettled transaction?
Yes, if the transaction is still unsettled and your processor provides a void option. A void stops it from being submitted for settlement. Once the transaction settles, issue a refund instead.
How long can a transaction stay unsettled?
There is no single deadline for every processor. Some automatically close open batches after 48 hours to 6 days, while others let transactions expire. Check your processor’s batch settings and review pending sales before the cutoff.