When a cash sale is made with credit card payment type enabled, what occurs?

When a cash sale is processed with credit card payment type enabled in NetSuite, both the authorization and the charge/capture of the funds occur. This means that when the sale is finalized, the credit card issuer is first contacted to authorize the transaction, confirming that the customer has sufficient funds or credit available to make the purchase. Following successful authorization, the transaction then results in a capture, which is the actual transfer of funds from the customer's credit card to the merchant's account.

This two-step process is critical for ensuring that the transaction is legitimate and that the funds will be secured before the goods or services are provided. In some cases, there are specific scenarios in which only authorization might take place (such as with pre-orders), but in the context of a direct cash sale with credit card payment, both processes are standard.

An option indicating that only authorization occurs would misunderstand the nature of a typical cash sale where payment is expected immediately. Similarly, suggesting that only a charge is captured neglects the necessary prior step of obtaining authorization for the transaction. Lastly, stating that no payment is processed contradicts the very premise of a cash sale involving a credit card payment type, which inherently involves processing a payment.