Does the host service fee still apply if a host gives a full refund to a cancelling guest

Answered!
Barbara-And-Lisa0
Level 2
Oxford, United Kingdom

Does the host service fee still apply if a host gives a full refund to a cancelling guest

A guest has just cancelled a 28 day booking for next year which is outside the 48 hour free cancellation window.   This is covered by the long term cancellation policy which means that we're entitled to full payment for the 28 day booking minus the host service fee.  

We would like to give the guest a full refund but want to check if we do whether we would still be liable to pay the host service fee.  I can't find any info via Airbnb so does anyone know the answer?

 

The figures given by Airbnb just don't add up and we don't want to give the refund out of good will and then end up actually having to pay a significant host service fee for a cancellation that wasn't our fault.

 

According to the cancellation email from Airbnb and the reservation details, we are due a payout of £3053.95, the host service fee is £114.05 giving  a total of £3168.00.

 

Going through the refund process in the Airbnb resolution centre, the full refund option is as follows;

 

"What is this payment for?
 
Refund for cancellation
How much would you like to send to Peter?
 
Full refund (£3,168)
Their total refund will be £3,571.64 including taxes and fees"
 
The next page says;
"Reason
Refund for cancellation
Amount
£3,168 GBP
Payment methodThis payment will be deducted from your next payout."
 
So it looks like our  payout is £3053.95 and that the refund of £3168 will be deducted from this which would leave us owing Airbnb £114.05, which is the host service fee.
 
I have 3 questions;
 
1. Do Airbnb cancel the host service fee when the host issues a full refund or will we end up owing them £114.05?
2. For future reference what host service fee would Airbnb charge in the case of a partial (say 50%) refund?  Would this be £114.05 or 50% of £114.05?
3. Airbnb says that the "total refund to the guest will be £3571.64 including taxes and fees".  This is the full amount that the guest paid for the reservation so does the guest really receive this full refund from Airbnb including their guest service fees?  I thought Airbnb penalised the guest for cancelling by keeping the guest service fees....
 
We'd really appreciate any advice on this!
Barbara
Top Answer
Emiel1
Level 10
Leeuwarden, The Netherlands

@Barbara-And-Lisa0 

 

For an upcoming reservation (not yet started):

 

Full refund is what the guest has paid to Airbnb: 3168,- + taxes (if any), it sets the amount of the reservation to zero in your Transaction History (upcoming transactions) and no host service fee is calculated (as there is no payout).

 

Host service fee is calculated on the amount of the payout, so in case of a partial refund, host service  will be recalculated on the actual amount paid to you.

 

Please note the guest still has to pay the Airbnb Guest service fee to Airbnb, but this is outside your scope of control.

When on "host only fee" structure things are slightly different.

6 Replies 6
Emiel1
Level 10
Leeuwarden, The Netherlands

@Barbara-And-Lisa0 

 

For an upcoming reservation (not yet started):

 

Full refund is what the guest has paid to Airbnb: 3168,- + taxes (if any), it sets the amount of the reservation to zero in your Transaction History (upcoming transactions) and no host service fee is calculated (as there is no payout).

 

Host service fee is calculated on the amount of the payout, so in case of a partial refund, host service  will be recalculated on the actual amount paid to you.

 

Please note the guest still has to pay the Airbnb Guest service fee to Airbnb, but this is outside your scope of control.

When on "host only fee" structure things are slightly different.

@Emiel1 

 

Thank you very much for clarifying that for us!

It is what we thought but it's good to have confirmation as we didn't trust that Airbnb would necessarily waive the host service fee.

Daniel420
Level 2
New York, NY

I have a guest who, like this, is cancelling 30 days in advance. We offered a partial refund but airbnb support says that I will still pay the host fee on the full amount. As I was working this out with airbnb support the guest canceled and is now expecting a partial refund but I am really angry that airbnb charges me a fee on the refunded amount (certainly seems unethical)

Any thoughts on it?

@Daniel420 

 

We made a full refund to our guest when he cancelled and we did not have to pay any host service fees at all to Airbnb.  

 

In his reply to my query Emile1 said that the  "Host service fee is calculated on the amount of the payout, so in case of a partial refund, host service  will be recalculated on the actual amount paid to you."

 

I'm guessing that this will apply to you and that you will only pay host fees on the non refunded amount.

 

However, we are based in England so perhaps the Airbnb policy is different in the USA?

 

Interestingly our guest received the full refund amount so didn't pay any Airbnb fees either contrary to what Emile1 said about them still having to pay the guest service fee.

@Daniel420 

 

Airbnb customer support is not at all reliable.

 

They get paid by"resolving" cases so there is a strong incentive to tell the customer whatever is likely to get rid of them quickly.

 

It's easier and less frustrating to flip a coin when you want answers.

Daniel420
Level 2
New York, NY

I guess I keep hoping that it will change but it doesn't. They talk a good talk about community yet stick us very chance they get. I want to still fight this but not sure what path to take.