Using your KAF Digital Bank (KAF DB) Debit Card-i at a petrol station for refuelling involves a pre-authorisation process that temporarily earmarks a specific amount in your account. 

This article aims to clarify the background of this process and reassure cardholders about the availability of their funds during and after the transaction.

The Pre-Authorisation Process

When you swipe your KAF DB Debit Card-i at a petrol station's Point of Sale (POS) terminal (payment machines) to refuel, a pre-authorisation hold of a predetermined amount, in this example, RM200, is placed on your account. To note, the amount of RM200 was not the amount of your final payment when the transaction was made but most likely the transaction you made is less than that. 

However, due to this being a VISA card management policy and feature, the RM200 will be temporarily held. Further explanation of the process of returning the balance after the transaction is processed will be discussed in more depth in this article.

It's important to note that this amount is not considered spent but is temporarily locked, impacting your ‘Available Balance' while leaving your ‘Current Balance' unchanged.

Understanding 'Available Balance' and 'Current Balance' 

Available Balance: 

This is the amount reflected on your Home Screen (Account Dashboard) under 'My Net Worth.' Upon the pre-authorisation transaction that results in the holding of a certain amount of funds, your ‘Available Balance’ will suit the changes. 

In the given example, if your account holds RM5,000, and made a pre-authorisation transaction of RM200, your ‘Available Balance’ will be reduced to RM4,800, reflecting a decrement and delta of RM200. ‘Available Balance’ represents the usable balance.

Current Balance:

The 'Current Balance' is available in the mobile app, visible on your Individual Account Dashboard through the info ‘i’ icon. By using the same example as above (made pre-authorisation transaction of RM200), nothing changes reflected upon the transaction successfully made. 

Changes in the amount under ‘Current Balance’ will be seen after the settlement is done or when the transaction is fully processed by the Bank and the merchant (in this case, the petrol station).

Accessing Individual Account Dashboard 

1. Seamless Authentication: 

Launch the app and effortlessly log in using biometric authentication (fingerprint or face ID).

2. Overview of the Home Screen (Account Dashboard): 

Upon login, you'll land on the comprehensive Dashboard summarising your financial status.

3. Navigate to Individual Account: 

Locate the list of your accounts and tap on the specific account you want to explore. (Note: Currently, one account per user is supported)

4. Individual Account Dashboard Unveiled: 

Instantly access the Individual Account Dashboard to explore personalised financial insights.

5. More Information on Individual Account: 

Navigate towards the info icon denoted by ‘i’. You will find all other information about your account including the ‘Available Balance’ and ‘Current Balance’. 

Post-Transaction, Reconciliation and Settlement (Processing Transaction):

The pre-authorisation hold is a precautionary measure to ensure that sufficient funds are available for the intended transaction. After reconciliation and settlement (transaction processed) between the bank (KAF DB) and the merchant (petrol station), you will only be charged the amount you use. 

If there is any unused balance, it will be credited back into your account. In addition, you can also cross-check both of your balances. The 'Available Balance' should align with the 'Current Balance'. 

This settlement process may take up to a maximum of 7 days, but efforts are made to release the hold immediately.

Unused Amounts and Crediting Back (Refund for Unused Funds)

Any portion of the pre-authorisation sum that remains unutilized will be credited back into your account. This ensures that you are only charged for the actual amount spent on refuelling (or other transaction that involves pre-authorisation process). This process is contributing to the accuracy and transparency of your financial transactions.

Understanding the pre-authorisation process when using your KAF DB Debit Card-i at a gas station or any merchant that requires you to do the pre-authorisation transaction is essential for managing your account effectively. The temporary hold does impact your 'Available Balance’. However, rest assured as any unutilized funds are promptly returned to your account after the reconciliation and settlement (transaction have been fully processed). This transparency reflects our commitment to providing a secure and reliable financial experience for our debit card-i holders.