This article will merchants through understanding batch and settlement process and searching for transactions.

Batch and Settlement Process

Authorize.net automatically creates a batch from your captured transactions once every 24 hours. The batch is created immediately after your Transaction Cut-Off Time, which by default is 4:00pm Pacific time. Transactions cannot be manually batched and settled. Once the batch is created, it is sent to your Merchant Service Provider's (MSP) payment processor for funds transfer. When the processor completes the settlement, they inform Authorize.net, which then lists the settled transactions in your transaction reports. For more information on MSP please see, support article: What is and who is a merchant service provider (MSP)?

After a batch has settled, if there is a positive balance, most merchants can expect their MSP to fund their credit card transactions within 2-3 business days. If there is a discrepancy or you have questions regarding the funding of your credit card transactions, please contact your MSP. Funding for eCheck transactions takes place based on your agreement with Authorize.net.

The default Transaction Cut-Off Time can be changed. However, if your credit card processor is First Data Omaha (also known as Omaha, FDCO) it is recommended that you contact your MSP before changing this setting in your account. These processors and Authorize.net should use the same Transaction Cut-Off Time to avoid any potential settlement and funding issues that may occur. To identify which processor your account uses, log into the Merchant Interface, click Account from the main toolbar, and click Merchant Profile from the left side menu. Your processor is listed next to your Payment Gateway Service.

Once a batch has settled, Authorize.net has completed their part in the transaction process. Your payment processor will transfer funds from the card issuing banks to your MSP, who will deduct any applicable fees and deposit the remaining funds into your merchant account.

The time frame for depositing funds varies by MSP, but deposits will generally happen within 48 -72 business hours. If you see a batch settled in your Authorize.net account and have questions about the funding for that settlement, please contact your MSP for more information.

Transactions must be settled before funding can occur. Depending on the current status of the transaction, you may be able to change the transaction status if needed. Transactions with the status "Authorized/Pending Capture" may only be captured for settlement or voided. These transactions will expire if they are not captured within 30 days from the original authorization date.

Transactions with the status "Captured/Pending Settlement" may only be voided or left in the status "Captured/Pending Settlement" where the transaction will settle at the next Transaction Cut-Off Time specified within your account's settings. Settlement occurs automatically once every 24 hours.

Please note that a void is used to cancel funding of a transaction that is pending settlement, and a refund is used to send money back to a customer. Refunds are not applicable to unsettled transactions because funding has not been transferred for these transactions.

To void or capture a transaction, you should search for the transaction, then click the Transaction ID, and click the Void or Capture button as applicable to your needs. Please note that you are not able to void a declined transactions or a transaction that resulted in an error status.

Changing Time Zone and Cut Off Time

It is recommended to first change the Time Zone on your account, before changing the Transaction Cut-off Time. To change the Time Zone:

• Sign in to the Merchant Interface.
• Click Account from the main toolbar.
• Click Settings in the main left side menu.
• Click Time Zone.
• Select the correct time zone using the drop-down list.
• Click Submit.

To change the Transaction Cut-Off Time:

• Sign in to the Merchant Interface.
• Click Account from the main toolbar.
• Click Settings from the main left side menu.
• Click Transaction Cut-Off Time near the bottom of the page.
• Click Edit.
• Select the desired Transaction Cut-Off Time.
• Click Submit.

Changing the Transaction Cut-Off Time may delay settlement of the current batch by one day if the new time is less than 24 hours from the last settlement.

View Unsettled Transactions

Follow these steps to view transactions that are waiting for settlement:

To change the Transaction Cut-Off Time:

• Sign in to the Merchant Interface.
• Click on Unsettled Transactions from the main left side menu.

Additional information on viewing unsettled and settled transactions can be found the below support article: 

• How do you view unsettled transactions and capture or void transactions?
• What reporting and search options are available in the Merchant Interface?

Settlement Email Report

Authorize.net sends a settlement report each day to merchants that have processed transactions. Below is the information contained in a typical settlement report and an explanation of those terms.

• Settlement Time: The date the batch settled.
• Merchant: Your business name.
• Batch Total: this is the total amount of your transactions for this settlement period (total number of transactions).
• Debits: this is the total amount of money that you have charged your customers (total number of transactions).
• Credits: this is the total amount of money you are crediting back to your customers (total amount of transactions).

Why did I receive an email notice about a batch that totaled $0.00?

If any transactions that are eligible for settlement were processed since your last settlement, a new batch entry is created in the transaction reports of your account. This activity also prompts an email notice to be sent regarding this activity. If the batch resulted in $0.00, this is because the total of all charges, voids, refunds, and any transaction activity that resulted in errors within the batch totaled $0.00.

To review transaction details about your most recent batch settlement:

1. Sign in to the Merchant Interface.
2. Click Transaction Details from the main left side menu.
3. The most recent batch is selected by default. Click Run Report.