How Shopify card vaulting works for preorder payments

When a customer places a preorder with a deferred or partial payment, Shopify securely stores (vaults) their card details at checkout so the merchant can charge them at a later date — without asking for card information again. Understanding how Shopify card vaulting works helps you decide the best payment strategy for your preorder campaigns in STOQ.

What Is a Deferred Payment Order?

A deferred payment order allows a customer to place a preorder without paying for it immediately.

Instead of charging the full amount at checkout, the customer accepts a future charge and the associated payment terms. Their card details are then vaulted (securely stored) so the card can be charged programmatically at a later date when you are ready to fulfil the order.

With deferred payments you can either:

• Charge the full amount later — The customer pays nothing upfront. You charge the entire price when ready to ship.
• Take a deposit now and charge the rest later — The customer pays a percentage or fixed amount at checkout. You charge the remaining balance at a later date.

Deferred payments are powerful when paired with preorders because:

• Customers are less likely to be frustrated by manufacturing or shipping delays since they haven't paid yet.
• If a customer changes their mind, no refund is needed (for the deferred portion).
• You have flexibility to choose when to charge based on your actual fulfilment timeline.

How Shopify Card Vaulting Works

Shopify uses a special "purchase option" (internally called a selling plan) to enable deferred payments. Here is what happens when a customer places a preorder with deferred payment on your store.

1. You configure a preorder offer in STOQ with partial or deferred payment. STOQ creates the selling plan in Shopify on your behalf.
2. The customer adds the preorder product to their cart and proceeds to checkout.
3. At checkout, the customer enters their card details, reviews the payment terms (including the due date), and accepts the future charge.
4. Instead of processing payment immediately, Shopify vaults the card details with the payment provider (Stripe, behind Shopify Payments).
5. The vaulted card remains on file until you are ready to trigger the charge — days, weeks, or months later.

Shopify Card Vaulting vs. Card Authorization vs. Draft Orders

Merchants sometimes confuse vaulted cards with other "pay later" approaches. Here is how they compare.

Vaulted Cards (Deferred Payment)

Vaulting is the process Shopify uses for deferred charges. The customer's card details are recorded on file at checkout so they can be charged at a later date. There is no time limit — you can charge whenever you are ready.

Card Authorization

Card authorization is where the card issuer confirms the customer has sufficient funds and holds that amount for a limited window (typically 5–10 days). If you do not capture the charge within this window, the authorization expires and the funds are released back to the customer.

Draft Orders (Invoice)

Draft orders work by sending payment invoice emails to customers. The customer receives a link and completes checkout separately. No card is stored — the customer must actively return and pay. This is technically a "pay later" method but does not capture any future transaction automatically.

When to Use Deferred Payments

Deferred payments work well for several preorder strategies.

Preorder Campaigns

When launching a new product or running a preorder campaign, deferred payments let customers commit without immediate payment. This is especially useful when you are unsure how long manufacturing or freight may take. Customers can also be charged a deposit to show commitment while deferring the balance.

Made to Order

For products that require extended time to create or manufacture, deferred payments give you flexibility to charge only when the item is actually ready. Customers are less frustrated by long wait times when they haven't paid upfront.

Long Lead Times

When products won't ship for several months — such as seasonal collections or crowdfunded items — deferring payment prevents customers from having funds tied up indefinitely and reduces cancellation and refund requests.

Reducing Refund Risk

If there is any chance of shipping delays, deferred payments eliminate the need to process refunds. Since the customer hasn't been charged, you simply adjust the due date or cancel without any financial transaction.

Requirements and Supported Payment Methods

To use deferred payments with Shopify card vaulting in STOQ, you need the following.

• Shopify Payments must be enabled as your payment provider. Shopify vaults card details through Stripe (which powers Shopify Payments).
• A STOQ preorder offer configured with partial or deferred payment (see the "How to Collect Preorder Payments Later" article for setup steps).
• Any credit or debit card that Shopify Payments supports can be vaulted.

Advantages of Shopify Card Vaulting

Deferred payments using vaulted cards offer significant benefits for both merchants and customers.

For merchants:

• No time limit — charge when your product is actually ready, unlike the 5–10 day authorization window.
• Reduced refund overhead — if a customer cancels, no refund is needed since nothing was charged.
• Flexibility to reschedule the charge date if manufacturing or shipping timelines shift.
• Higher conversion rates — customers are more willing to commit when immediate payment isn't required.

For customers:

• No upfront financial commitment for products that won't arrive for weeks or months.
• Confidence that they won't be charged until the product is ready.
• Simple checkout experience — enter card details once, no need to return later.

Disadvantages and Risks

The main risk of vaulted card payments is the potential for failed charges when you attempt to collect.

• Expired cards — If the customer's card expires between checkout and collection, the charge will fail.
• Insufficient funds — The customer may not have sufficient funds when you trigger the charge.
• Cancelled cards — The customer's bank may have cancelled or replaced the card.

When a charge fails in STOQ, both you and the customer are notified by email. You can customize the failed payment email under Preorders > Notifications to include instructions for updating their payment method. Here's our detailed guide on [what to do when a preorder payment fails

](https://help.stoqapp.com/en/article/what-to-do-when-preorder-payment-collection-fails-ftgetk/)

How STOQ Enables Deferred Payments

STOQ generates the Shopify selling plans on your behalf and manages the payment terms shown to customers. You configure payment options in the Payment settings panel when creating or editing a preorder offer under Preorders in the STOQ app.

STOQ supports three payment type configurations:

• Full payment — Customer pays the full price at checkout. No card vaulting is used.
• Partial payment or deposit — Customer pays a deposit (percentage, fixed amount, or nothing) at checkout. Card is vaulted for the remaining balance.
• Full payment & partial payment — Customer chooses between paying in full or paying a deposit via a widget on the product page.

When "Partial payment or deposit" is selected, you can set the deposit to No upfront payment — meaning the customer pays $0 at checkout and their card is vaulted for the full amount.

Known Limitations

• Shopify Payments required — Card vaulting only works with Shopify Payments. PayPal, Authorize.net, and other gateways are not supported in STOQ.
• Card expiry risk — Vaulted cards can expire or be cancelled before you collect. There is no fund guarantee like card authorization provides.
• No fund verification at checkout — Unlike authorization, vaulting does not confirm available funds. The card may fail when you charge later.
• Full & partial payment widget requires a paid plan — The combined payment option with a customer-facing widget is only available on paid STOQ plans.
• One checkout only — If the vaulted card fails and the customer needs to provide new details, they must go through a separate update flow.

Troubleshooting

FAQs

Q: What is the difference between vaulted cards and card authorization?

A: Card authorization holds funds for 5–10 days and then expires. Vaulted cards store the card details indefinitely with no time limit — you charge when ready. However, authorization guarantees funds are available, while vaulting does not.

Q: How long can I wait before charging a vaulted card?

A: There is no time limit imposed by Shopify. However, if the card expires or is cancelled by the customer's bank before you charge, payment will fail. Charge as soon as your products are ready to ship.

Q: What happens if the vaulted card fails when I try to charge?

A: Both you and the customer receive an email notification. The customer is prompted to update their payment method. You can customize this email under Preorders > Notifications > Payment failed notification in STOQ.

Q: Can I use PayPal or other gateways for deferred payments?

A: No. STOQ requires Shopify Payments for card vaulting. Other gateways do not support the deferred charge mechanism that Shopify uses for preorders.

Updated on: 11/06/2026