Failing Security Deposit Policy

[Tammy416]

I am so frustrated with Airbnb security deposit policy.  So I have had damages to my property and missing items, but I have no method to collect the $200 security deposit or even a portion of it, without waiting 72-hours for the guest to respond and then some power to be to decide if I get paid!  Why do I require a security deposit if I can’t really collect it???  I called to request payment from the security deposit and no one is available to talk about disbursing the funds or even how to access the funds.  I was told someone would contact me twice, almost 24-hours later no response!!!  AirBnb needs to fix this policy, I should be able to immediately collect on the security deposit within the first 48-hours and if the guest has an issue they should be the ones who have to file the claim....not the host!!!  Also, AirBnb should have a legitimate department, where you can talk to any actual person who cares about your loss!!!

[Natasha466]

I’m also having issues with Airbnb and damage to my property. How exactly do you get the damage deposit?

[Doug8]

You don't.  There is no damage deposit.  It's a mirage.  Airbnb collects no security deposit from guests.  It does not place a hold on the guest's credit card.  You are unprotected. 

You can try to get compensated through the so-called Host Guarantee, but unless your guest drove a truck through your front door, or you have access to the media, you will not succeed.  They will invent a way to not compensate you.

The ultimate solution is for you to disabuse yourself of the idea that Airbnb supports its hosts or that it is anything more than a place to list your property for a short-term rental.  Get your own homeowner insurance to cover big damages and be prepared to swallow the small ones yourself.  That's how it is.

[Lisa722]

I would love to know how to do this, as well!

[Aaron823]

I'd like to respectfully ask AirBnb why their deposits even exist in the first place, if they are something hosts have no control over and need to arbitrate through AirBnb.

The problem has become so bad that AirBnb has now unofficially encouraged hosts to use the resolution center to collect up-front deposits for non-physical damages. 

This is cumbersome for both guests and hosts. Instead, why doesn't AirBnb offer a separate "physical damage security deposit" and a "general deposit", and give hosts the option to require that deposits be collected in cash as opposed to an un-charged hold on the guest credit card?

Just a suggestion.

[Doug8]

You pre-suppose that Airbnb cares even a whit.  They don't.

[Lisa722]

That is now very apparent to me! You'd think they'd be more supportive of the people that create their massive profits. 

[Jon279]

I agree with virtually everything that I have read in this thread. The security deposit is smoke and mirrors. Airbnb is loyal only to the transaction. As a result I have made MULTIPLE claims for compensation - I refuse to allow guests to get away with wilful damage to my property (accidental is different).

My latest incident had guests get drunk or high and then attempt to chop down a tree on my neighbor's property (right beside a powerline!). In fairness to Airbnb, I pursued this and the guest is now banned from Airbnb.

Unfortunately my ratings take a hit from some guests because I make claims but I have enough ratings to absorb a bad one. Here are some strategies that I suggest could help sometimes:

1. Try to meet guests at check-in and/or check-out. Ask for ID for Instant Bookers. Read the Reviews. For risky guests the rental income simply is not worth it.

2. I have an automated message that goes to all guests at time of booking that outlines 10 criteria for a successful vacation.

3. We do our own cleaning. We immediately inspect the property and start taking photos. Some people also take photos beforehand (for example I have problems with theft from my woodpile).

4. Keep receipts for all purchases handy in case items go missing or are damaged.

5. Contact the renter (by phone) and try to resolve with them first rather than going through the Resolution Centre.

6. Use the Resolution Center but also be persistent and telephone Airbnb as well BEFORE THE NEXT GUEST CHECKS IN (stupid technicality). It helps if you are a Superhost.

7. Finally, my wife has her own independent business as a residential property manager. We bill AIrbnb an hourly rate for our time in these instances.

8. And lastly, please leave honest reviews of your guests! AIrbnb will not protect us from bad guests - hosts must protect one another.

Remember also that we are in the hospitality industry. We will get some bad guests and sometimes we have to take a small loss. Build that expense into your rental rates and also write it off on your taxes at the end of the year.

[Stephanie365]

How exactly do you bill AirBNB for your time acting as a property manager?

[Jon279]

We have our own separate business with its own GST number. When Airbnb asks for a receipt for extra services, damages, etc. (things that other hosts might ask a property manager to do) we generate a bill from our property management company.

[Matt-and-Tatiana0]

Hi Jon

How are billing Airbnb, I have a Property  Mgmt company as well?

[Lisa722]

Sounds like some good suggestions, but two things: since it's clear the guest that just caused me all this gross bloody damage isn't going to give me a review of any sort (she isn't even answering any messages or calls), there is no way for us to warn other hosts since OUR review of the guest won't be published without THEM posting their review of US. I def want to let other hosts know why I'll never host this guest again so is there another way to do it?  Secondly, Airbnb is screwing me big time on the reimbursement (I guess they think I'm supposed to find replacements at a thrift store?) so I'm VERY interested in how you're billing them for your time and actually getting them to pay it. I'm currently on Day 12 of this mess with no resolution yet and I've taken my cottage off of the calendar until then so I'm losing that income, as well! 

[Stephanie365]

@Lisa722 Your review will post either when the guest posts their review of you OR after 14 days from check out. But your review WILL post so please make it a good one!

[Lisa722]

That's great to know, Stephanie, thanks! I was getting angry about the fact that someone might suffer through the same mess this couple created for me and I was feeling like I wouldn't get the opportunity to warn people. I just feel so blindsided by this treatment by Airbnb and now I'm having to rethink my whole relationship with Airbnb.

[Stephanie365]

Under the AirBNB Terms of Service, section 5.3, AirBNB states we hosts have autonomy to set the terms for hosting. Under this clause I would think we could still charge a deposit. Might have to call it something else.

[Lisa722]

Is this current? If so, why are they sandbagging me with this claim? I need to know how to put my security deposit back on my listing so I have some remedy for reimbursement if something like this gross mess happens again. As it is, Airbnb is telling me to get reimbursed from the guest (which, of course, isn't happening) and now I'm still involved in hand to phone combat with them to try and get actual reimbursement, not 5 cents on the dollar! I believed everything Airbnb sends us that tells us we hosts are valuable to them and they are going above and beyond to support  us. Bull**bleep**! They are leaving us twisting in the wind at this point.