Can someone explain to me why banks (such as HSBC) take account of some transactions in “Available Balance” an?
I thought that debit card payments and show on were taken account of in your available balance. So you might be showing £100 in credit, but you can see the available balance is £95 if you just spent £5 and the company hasn’t processed it yet.
But I’ve just had a situation where a company took a debit card payment but only processed it and took the money two weeks later. In that time, apart from the first couple of days, the money was showing in my available balance. it was added again even though the company were due to take it.
(UK)
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Where I work this is how holds with "available balance" work.
You have 100 in your account and do a purchase for 5. There is the 5 that is put on hold by the financial institution for 2 business days in order to guarantee the funds are in the account. If the merchant takes longer like it did in your case the funds aren't guaranteed to them but they do have a right to them.
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