In most cases the $1.00 is an authorization and not a charge. It is used to verify the card information and in most cases is voided seconds after it is authorized. Note that banks do not have to process the void immediately and so sometimes the void is not processed for a few days. Until that time it may stay on the account as an authorization.  In some cases, such as ACH transactions, the authorization must be a charge and in those cases cannot refunded.