What a hold does
A hold reserves funds so they cannot be spent twice while a transaction is pending. The money stays in the account but an available balance drops. Escrow goes further by moving funds to a neutral account until a condition is met.
Available versus ledger balance
A held account tracks two numbers. The ledger balance is the real total and the available balance is what can still be spent. A hold reduces available without removing the funds.
Release or capture
A hold ends in one of two ways. It is captured, turning into a real transfer, or it is released, returning the reserved amount to available. Escrow releases funds to the seller or refunds the buyer when the condition resolves.
Operational guidance
- Expire stale holds so reserved funds do not leak available balance forever.
- Make capture and release idempotent against repeated callbacks.
- Keep escrow funds in a segregated account separate from operating cash.
Key idea
Holds reserve available balance and escrow parks funds in a neutral account until a condition captures or releases them.