What You Should Know About Pending Transactions

At first, pending transactions may seem confusing. The good news is they’re simple to understand and typically no cause for concern. Below, we’ll uncover what a pending transaction means, how long they take to process, and how it may affect your balance.

A pending transaction refers to a charge or purchase that has been approved but hasn’t been fully processed yet.¹ Let’s say you use your credit card to pay for a bill at a restaurant or buy some clothes online. If you check your account, you’ll find that these transactions immediately show up as “pending.” This means that you’ve committed to making them, but the funds are still moving between accounts.

Pending transactions typically post within two to three business days, but this can vary. Some transactions may post immediately, or take up to 30 days.² Factors like the bank or credit card issuer, payment network, and the type of transaction will impact this time frame.

Here are some examples of when pending transactions may post:

Keep in mind that holidays and weekends can lead to delays in transaction approvals as they are only processed on business days. Also, more extensive transactions, such as airfare and hotel accommodations that often come with extra fees and charges can take longer to clear than simple transactions at a local coffee shop, for example.

You can expect a pending transaction to put a hold on your credit limit or account balance until it gets processed. While you may still use your credit card or bank account, the pending transaction will affect the funds available to you. It’s important to note that if you use online or mobile banking, pending transactions may not always be included in your current balance. If this is the case, you might want to keep your own records of them.

Did you know? As soon as a pending transaction is processed, it turns into a posted transaction, which will be shown in your available balance and monthly statement.