Penalties for Cancellation Policy Waivers and Custom Refunds

[Deirdre130]

What should I  be aware of if my LTR guest wants a refund for the unused days of his reservation?  I want to be fair and come to a different amount than what is in the LTR cancellation policy.

My guest is moving here for a job.  He booked a 2 month stay and checked in on Oct. 10, 2021.  He found a permanent apartment and is checking out a month early.  He sent an alteration request, which I accepted and is not requesting a full refund for his unused days.  He has already been charged on his credit card and I just received the deposit into my account.

I have a moderate policy that would enable me to collect 50% of the unused days.  There is the LTR policy that overrides my policy and allows me to collect 100% of the unused days.

I don't want to lose a lot of money, but I want to be fair to my guest.  I see that I can offer a different amount of refund, but would like to know:

1.  Will my guest know that I am able to give him a full refund but have decided not to?  I'm trying to avoid an awkward and unpleasant experience with him.

2.  Are there any pitfalls I should be aware of if I don't adhere to the LTR policy.  For instance, would I be charge by Airbnb to make up the difference of what the policy allows versus what I give to the host.  

I need to reply to him by tomorrow afternoon and could really use some feedback.  I'm tired of being sent in circles to the same "help" articles in the resource center,.

[Emiel1]

@Deirdre130

The best thing to do (in future) when wanting to give more refund then the LTS cancellation policy offers:

The reservation must be changed (shortened) by the host (and not by the guest) , as the host can amend the calculated price in the change form to the desired "fair deal".

It also means the Airbnb Guest Service fee is recalculated (=more refund for the guest). BTW Be careful when shortening an LTS reservation to a less then 28 nights stay (No LTS anymore, so different discounts / Guest Service fees will apply)

But as this reservation is already shortened and the guest did not request any refund, you can provide some extra refund via the resolution centre.  There is are no penalties or extra charges from Aiirbnb, you just are sending money to the guest.