Have you ever been told you were over your credit limit, even though you knew
you weren't? If this happened shortly after you stayed in a hotel or rented a car,
the problem could have been credit card "blocking."

What's Blocking?
When you use a credit or charge card to check into a hotel or rent a car, the clerk
usually contacts the company that issued your card to give an estimated total.
If the transaction is approved, your available credit is reduced by this amount.
That's a "block."

Why Blocking Can Be a Problem
Blocking is used to make sure you don't exceed your credit line before checking
out of a hotel or returning a rental car, leaving the merchant unpaid.

If you're nowhere near your credit limit, chances are blocking won't be a problem.
But if you're reaching the limit, be careful. Not only can it be embarrassing to have
your card declined, it also can be inconvenient, especially if you have an
emergency purchase and no available credit.

How to Avoid Blocking
To avoid the aggravation that blocking can cause, follow these tips:

• Consider paying hotel, motel, or rental car bills with the
  same credit card you used at the beginning of the transaction.
  
  
• When you check into a hotel or rent a car, ask clerks how
  much will be blocked, and how the amount is determined.
  
  
• If you pay with a different credit card or with cash or a check,
  ask the clerk to remove the block.

In addition, when you choose a credit card, ask issuers how long they block credit
ines for transactions involving hotels, motels, and rental cars. You may want to go
with an issuer that uses short blocks.