Authorize VS. Authorize and Capture in Authorize.net
Authorize and Capture is the default setting and the process is automatic. Authorization Only has to be approved first through your processor.
The Difference Between Authorize and Authorize and Capture
Authorize and Capture
With an AUTH_CAPTURE transaction, the process is completely automatic. The transaction is submitted to your processor for authorization and, if approved, is placed in your Unsettled Transactions with the status Captured Pending Settlement. The transaction will settle at your next batch and settlements occurs every 24 hours, within 24 hours of your Transaction Cut-off Time.
Authorization Only
When an AUTH_ONLY transaction is submitted to Authorize.net, they send the transaction to your processor for authorization. If approved, the transaction is placed in your Unsettled Transactions with a status of Authorized/Pending Capture. The authorization then places the funds on hold with the customer's bank.
When the transaction is captured, the funds transfer process will occur.
This can be useful in situations where you need to make a sale, but won't be able to ship merchandise for several days. You can authorize the transaction to ensure funds availability, then capture the transaction to obtain the funds upon shipment. Authorize only transactions are only kept in your Unsettled Transactions for 30 days. If a transaction is not captured for settlement within 30 days, the transaction status will change to Expired, and the funds will not be transferred.
You can adjust the Settlement/Capture Amount. You may only adjust the amount to a lesser value. The transaction cannot be settled for more than the original authorized amount but may be settled for less than that amount.