What to Know About Evie’s New EV Charging Pre-Authorisation Payment
Jesus Sisco
In this article:
On March 19, 2024, Australian EV charging network Evie introduced a pre-authorisation charge of $30.00 for each charging session. This amount is temporarily held until your charging session ends. At that point, your pre-auth payment is released, and the actual charge amount will be debited. This update is significant for businesses and individuals frequently using the Evie network, highlighting a move towards streamlined payments for EV charging in Australia. What does it mean for EV charging for your business? Find out below.
Pre-Authorisation Payment Explained
A pre-authorisation charge is a freeze on funds to your debit or credit card.
A pre-authorisation payment places a temporary hold on your card’s funds before the actual transaction occurs. It’s a security measure used by services, including EV charging companies, to ensure you have sufficient funds to cover the cost of the charging session.
This amount isn’t taken from your account but reserved. Once your charging session ends, the exact cost is charged to your account, and the pre-authorisation hold is lifted, making the funds available again. This process helps streamline transactions and prevent payment issues.
HERE’S HOW EVIE (& MOST) PRE-AUTH WORKS:
Evie holds a pre-auth payment of $30.00 from your linked bank account in the app.
However, you only charge $10.00. Depending on how the pre-authorisation matching process works at your bank, you may see three lines of entry on your statement, for example:
- $30.00 Debit (initial pre-auth debit)
- $30.00 Credit (reversal of the initial pre-auth debit)
- $10.00 Debit (actual charge amount)
Evie does not receive funds from your account for all of these three amounts, just the final charge amount.
Why Do Pre-Auths Exist?
Pre-auths exist to protect the business and the consumer.
Credit card pre-authorisation is a protective measure for the business and the customer. It temporarily holds the funds for the intended transaction, similar to depositing a cheque.
If a post-authorisation isn’t completed within the given timeframe (or if you don’t use up all of the withheld funds) the bank releases funds back to the customer. An unconfirmed pre-authorisation eventually expires, known as a ‘falling off’.
How Long Does a Pre-Authorisation Payment Last?
Pre-authorisation payments can last for up to 5 days.
In many cases, a pre-authorisation hold can last for a period of up to 5 days. However, the exact length will vary depending on the company holding the payment, as the customer’s bank.
Interestingly, when Evie announced its pre-authorisation feature to its customers, it added the note:
“Although we promptly update the transaction cost after your session ends, not all banks immediately reflect this change. If you notice that the hold has not been released within 7 days, please get in touch with your bank for assistance.”
EV Charging Companies With Pre-Authorisation Charge
| Company | Pre-Authorisation Policy |
| BP Pulse | $25 pre-authorisation per session. |
| Z Energy | No pre-authorisation holds (previously had pre-auth but removed this feature). |
| Evie | $30 pre-authorisation per session. |
| Jolt | May pre-authorise at signup or for EV charging services. |
| NRMA (Non-Members) | Temporary hold at the start of each session, released upon successful payment. |
| Tesla | Temporary hold at the start of each session, released upon successful payment. |
| ChargePoint | No pre-authorisation for charging sessions. |
What EV Drivers Think About Evie’s Pre-Auth Payment Update
In the Electric Vehicle for Australia Facebook group, EV owners had differing opinions on Evie’s pre-auth move. Generally, there wasn’t a strong reaction against the update. Many drivers seem to accept the pre-auth charge as a standard procedure, indicating an understanding that this approach could streamline the charging process and ensure payment security.
Anne N commented, “It’d be ok if it WAS refunded promptly but there’s no guarantee AND it’s up to the card holder to chase the bank. Needless to say, I’ll avoid Evie in future.”
Gary V said, “It’s not unusual, I’ve experienced it at self service fuel bowsers.
As others have said, it stops people using credit cards that are maxed out, and won’t allow further debits or are stolen. The hold confirms the card doesn’t have a lock put on it by the provider on it.”
Julian S added, “Most of the fuel station apps do this now as well. It’s to prevent drive offs. Without pre-authorisation, you could potentially connect an empty prepaid visa and simply drive off after you’re done.”
Monica Y said, “Not a fan as my charge is usually around $10.00”
Many people pointed out Costco is known for pre-authorisation fuel payments. However, the difference is with Costco, you can choose how much to pre-authorise before starting the session.
Jeremy A said, “My issue is when the pre-authorisation costs more than my actual charge, I’d end up paying hundreds of dollars per week just in pre-authorisation charges for about $40 of actual charging fees. I don’t have that sort of money [redacted].”
Pre-Authorisation for Debit Card Holders
Pre-authorisation for debit card holders operates in a similar way to that on credit cards, but with a few key differences that are important to understand:
- Temporary Hold on Funds: When a pre-authorisation is placed on a debit card, the merchant temporarily holds a specific amount of your available balance. This is to ensure that there are enough funds in your account to cover the purchase or service cost.
- Impact on Your Balance: Unlike a credit card, where the hold affects your credit limit, a debit card pre-authorisation directly impacts your available bank balance. This means the amount held won’t be accessible for other purchases or withdrawals until the hold is released. It acts as if the money has been earmarked for that specific transaction, even though it hasn’t actually left your account.
- Finalisation and Release: After the service is completed or the actual transaction amount is determined (like when you finish charging, the final charge is processed. The pre-authorised hold is then removed, and the actual transaction amount is deducted from your account. This process can take a few days, during which the pre-authorised amount remains unavailable for other uses.
- Potential Overdrafts: It’s crucial for debit card users to be aware that pre-authorisations can lead to overdrafts if the account balance isn’t carefully monitored. Since the held amount is deducted from the available balance, other transactions that occur before the hold is released might exceed the account’s remaining balance, potentially incurring fees.
Business EV Charging Solutions
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Pre-Authorisation Payment FAQs
Pre-authorisation is a hold on a specific amount of your available balance on your credit or debit card. It’s not an actual charge, but it reserves funds for a pending transaction, ensuring that you have enough money to cover the cost of a purchase or service. Once the actual transaction amount is processed, the pre-authorisation hold is removed, and the correct amount is charged to your account.
It may seem like you were charged twice if your charge exceeded $30 and the actual amount was charged to your card. Although the initial $30 hold is immediately released when the final charge is processed, it can take your bank 5 to 7 days to reflect this adjustment on your statement. This delay can make it appear as if both the pre-authorisation hold and the actual charge are simultaneously deducted from your account.
If you initiate more than one charging session in a day, you will be subject to a pre-authorisation hold for each session. Each session is treated independently, meaning separate holds will be placed on your account for each session, ensuring that funds are available for each transaction.
If your charging session fails but a pre-authorisation hold was placed on your account, the hold will still be released according to the standard timeline set by your bank. It’s not an actual charge, so no funds will be taken from your account for the failed session. However, it may take several days for the hold to be lifted and for the funds to be available again in your balance. If the hold does not get released within the expected timeframe, it’s advisable to contact your bank or card issuer for further assistance.
