Configuration options

Reverse authorization configuration options are available in the Payment Type Details window and the Payment Card Type Details window of the IBM® Sterling Business Center.

Authorization reversal strategy

Sterling Order Management System offers the following authorization reversal strategies:
  • Do Not Reverse
  • Reverse When Expired
  • Reverse Excess

If the specific payment method does not support reverse authorization, Sterling Order Management System marks the authorization for reversal but does not contact the payment system and incur any cost.

Do not reverse

You can select this option if you do not want to implement an authorization reversal strategy. This means that the normal authorization lifecycle occurs; authorizations are acquired, then after some time, they expire. At expiration, new authorizations are acquired. No reversals are involved.

Reverse when expired

If this option is enabled, reverse authorization occurs automatically in the form of an authorization request for the same authorization ID, only in a negative amount. For example, if the original authorization was for $60, the reverse authorization request is for -$60.

If you have enabled automatic reversal of authorization and the specific payment method does not support reverse authorization, Sterling Order Management System marks the authorization for reversal but does not contact the payment system and incur any cost.

Reverse excess

If this option is enabled, reverse authorization occurs when an authorization exceeds the order total or settlement request.

When using Reverse Excess, ensure that Allow Authorizations to Exceed Settlement Request is disabled. Allow Authorizations to Exceed Settlement Request allows an authorization amount to exceed a settlement amount. If disabled, an authorization is not valid when the authorization exceeds the charge amount. Disabling this option makes sense only if you enable the Reverse Excess option because when you do not want an authorization to exceed the settlement amount, you probably do want to reverse excess and avoid penalty fees. If you want to support reversal, it follows that you would restrict authorizations to match settlement amounts.

Reverse Excess can be used without enabling dynamic CTR distribution for cancellation scenarios; however, if you enable dynamic CTR distribution, authorizations may be partially reversed for invoice mismatch scenarios.

The Partial Reversal Supported option becomes available when Reverse Excess is enabled.

If Reverse Excess is enabled, and when an authorization expires, the application verifies whether the authorization can be reversed and reverses the authorization.

Partial reversal supported

When Reverse Excess is enabled, based on the Partial Reversal Supported, you can specify that only the excess authorization amount is reversed. For example, if the system acquires an authorization for $100 and the charge turns out to be only $70, the system reverses the $30 authorization.

If Reverse Excess is enabled but Partial Reversal Supported is not enabled, the entire authorization amount is reversed and a new authorization for the order total is submitted. For example, if the system acquires an authorization for $100 and the charge turns out to be only $70, the system reverses the $100 authorization and initiates a new authorization request for $70. The unused $30 does not expire and cause fees.