Security deposits

[Bob39]

Can a host collect a deposit directly from a guest? For example, can a host set a Security Deposit of zero for the listing on Airbnb, but when the guest arrives, the host collects or charges a deposit directly from the guest at check-in time. Would this be allowed, or is this going against Airbnb rules?

[Sharon114]

Airbnb advise that no cash transactions should take place between guests/hosts.  If circumstances arose wherein you decided to withhold all or part or the security deposit where is the protection for the guest?  Who decides what amount should be deducted.  You could be getting into deep water here, especially if a guest complains to airbnb.

[Danny9]

I agree with @Sharon114 here. 

First off, it would be entirely disingenuine to state that your security deposit is $0.00 and then, try to collect any amount in cash from a guest who very well may have booked based on the $0.00 security deposit that you listed? The guest may have absolutely no cash on his hands, and cannot be expected to provide for something that he had been entirely unaware of beforehand. 

Second off, Airbnb blocks the amount of security deposit from the guests credit card, and keeps it blocked for 48 hours after the checkout date. If you report no claim against the security deposit, the blocked amount is released. 

Third off, Airbnb is very likely to see such an attempt as a possible violation of their TOS, and act accordingly!

---

Be wise. Set a reasonable, realistic amount of the security deposit and list it as such. If you feel that you really do not know, err on the side of safety. No one gets hurt unless they cause damage. 

Danny

Expert support for your listings in Palma de Mallorca, Spain

[Gerry-And-Rashid0]

It would be reported to AirBnB as a scam. Travellers tend to know that they should not exchange cash and that their deposit is protected. You will be in very deep water very quickly

[Bob39]

OK, thanks. I get it. It's a "no." But just to clarify:

I wasn't talking about taking cash. No cash involved. 

I would have stated in the description that a deposit would be charged on arrival, and how much. Then, on check-in, run their credit card for that amount, but at check-out issued a refund in the same amount if there is no damage or loss.

The whole reason for doing it that way would have been because Airbnb decides disputes in favor of the guest, not the host. So the host loses. Allowing Airbnb to have control of the deposit creates far too much risk for the host and puts far too much power in the hands of Airbnb. It's equivalent to giving temporary ownership of all of your property over to Airbnb. They settle disputes by siding with the guest. So by using Airbnb, the host loses. The host charging their own deposit would retain some measure of control over their own property, instead of handing over total control to Airbnb. So it's obvious why Airbnb would not allow this.

[Lee59]

I absolutely agree with you that airbnb favors guests over the host!  In my experience I have been bullied by a police officer from New York and when I stood my ground, airbnb favored the guest -- who never stayed on my property!  Other safety issues have also been disregarded in favor of the guest -- even when it was clearly stated in my House Rules!  I understand you thought process, but you run the risk of being removed from airbnb by doing this.  Experience will teach you how to accept guests carefully, but dealing with the public carries inherent challenges!  Lee

[David126]

AirBnB is not set up this way, bearing in mind their focus on moving to managed properties I wonder of this will become an option as it seems common in that area to do what you want to do.

[Bob39]

Well, it should become an option. Letting Airbnb decide the outcome of a dispute over the deposit is giving Airbnb too much power. No matter what the actual decision is, or the amount awarded. When a host agrees to let Airbnb make the decision (and you're forced to let them), that by itself is a huge transfer of power from the host to Airbnb. And there is no compensation by Airbnb to the host for that gain in power. And it puts the host at a huge risk, with Airbnb taking on no risk.

[David126]

I think VRBO lets you control the Deposit.

[Thomas177]

The Airbnb method is a joke. VRBO allows the owner to collect the deposit. It is listed in the breakdown of charges for the guest and the owner holds the money. While this does allow for unscrupulous behavior by the owner, the review process should be able to flush out bad owners. I have a Reolution Center claim in at this moment and I'm pretty sure the guest knows that their is no weight behind the Airbnb process. It's been 68 hours and they have not taken the time to even refute my claim. Somewhere on the vast and hidden Airbnb site, I found something that said the security deposit cannot be used if there is a violation of house rules! What can it be used for?

[David126]

Basically damage, something you can invoice, it is not a penalty from breaking house rules.

Detailed on the site.

[Lisa293]

We collected a credit card swipe from guests for 2 years before we found out that we were not allowed to.  We never had occasion to charge any damages in that time.  A guest complained (a horrible set of guests who did give the swipe and left the property clean) and we were told to stop the practice.  A month later we had guests do excessive damage and tried to make a claim against the deposit.  The guest said the property was filthy and damaged when they arrived  and AIRBnB said they had to believe the guest over the host despite reviews on multiple platforms that the property was clean and well presented.  This also extended to the items that they had damaged with photos sent in.  They told me the best solution was to up the rate and collect the damage expenses from incoming guests so this is what we have done.  Our rate is more expensive on AIRBnB than on other listing sites.  It will take years to make our money back but we will eventually I suppose.  I have seen one AIRBnB listing where they clearly state that they will be asking for a credit card swipe.  Because we have been specifically asked not to do this we won't but if I would have known this beforehand I would have put it in italics or pasrtly in capitols on the listing and if guests want to book - they book and if they don't - they don't.  On other sites we have written that we will ask for a credit card swipe but do not collect one.  It seems to be enough of a deterrant at the time of booking to get a better calibre of guest.  If in doubt when they arrive, you have the option to get the swipe.  It is really insulting when the resolution centre declares that you have welcomed guests to a filthy damaged property - luckily we did not have to pay out compensation to the guest I suppose.  And lets not start on the 1 star review from these folks that I imagine always accompanies this type of scenario!  We have just separated this listing from our other ones because we will not recover from that scoring and it just feels like a constant reminder.  Even if they removed reviews after one year it would allow everyone to put these bad experiences in the past and move on.  On the whole we do have lovely guests and look forward to not having the constant reminder of the one really bad one.  Cancelled the original listing yesterday so hopefully the scores will be adjusted in the next couple of days and we can have a fresh start.  If I had the option, I would ask for the swipe on the listing and not collect it on arrival.