Warning: Refund Processed Incorrectly - No Recourse

Cj24
Level 2
Atlanta, GA

Warning: Refund Processed Incorrectly - No Recourse

So I had a guest cancel mid-stay way back in 2017. Didn’t understand how that could happen at the time, but not the issue. The guy had an emergency and returned for a second visit.

 

The issue is that I had 10 additional payouts after this refund totaling over $6300 before eventually selling the house. Fast forward 4 years, I recently added a new listing, and I’m having payouts held up due to a negative balance. The rep I spoke to says that their team admits there was a technical error. They also recognized this refund should have been taken out of that $6300 four years ago ($620 of which came from the same exact guest). However, Airbnb wants me to eat this cost and only offered to report it to their technical support team so that what happened to me won’t happen to someone else in the future. Basically, they’re using me to improve their platform without compensating me for the error.

 

Has anyone else ever had a similar issue? Does anyone know what department at Airbnb I might be able to reach out to if I want to escalate. The issue. The rep was very polite, but refused to give me that information. 

6 Replies 6
Mike-And-Jane0
Level 10
England, United Kingdom

@Cj24 you can't escalate issues within Airbnb. You could try either a public Twitter campaign that might get your issue solved or failing that it is the small claims court or arbitration I am afraid. There is, of course, the 4th option of swallowing your loss - I guess that is the preferred Airbnb solution.

Cj24
Level 2
Atlanta, GA

Thanks for the info. I was hoping to avoid something more litigious (or even too public) but we must do what we must

Mary419
Level 10
Savannah, GA

There have been several other posts about this scary risk. This one was updated just last week about an adjustment from 2015

https://community.withairbnb.com/t5/Help/adjustment/td-p/1498707

this is beyond scary for anyone like me who handles other peoples properties. I’ve had lots of clients sell their property and I have to close out books with them meaning if Airbnb takes money way down the road I would be stuck paying myself even having already paid out that homeowner not knowing Airbnb might rake back that much later.   My account is the one they would take money from. I can’t go to someone years later and get them to pay me back for a refund on their house that suddenly came through. They would think I was crazy. Nobody would believe Airbnb is doing this. 

This isn’t a risk that merchants normally have. Charge backs on credit cards for example have a time limit of around 6-12 months depending on the card the customer used. 

A manager or home owner is the same as a merchant here. They shouldn’t have this risk looming that much later. 

Cj24
Level 2
Atlanta, GA

Thanks for sharing everyone - Latest update on this, don’t expect to be treated fairly when you have no choices but these giant companies. You’re gonna be left holding the🛍 and be forced to 🤐.

 

@Airbnb could care less about me, you or what’s decent. Hosts don’t matter to them beyond the coin we hand deliver them with our hands. We take all the risk, but where’s the appreciation? I very disappointed in this company that I’ve spent the last few years working to get back to while promoting as a great thing.

 

They completely shut me out. The rep who seemed to be trying to at least answer me was forced to cease all communication and the bot wouldn’t even let me complain anymore. I’m still hoping to find an actual decision-maker to assess the fairness of this but who knows when that’ll be. Good luck to whoever else runs into this. Just check and double check every transaction with them.

 

I just hope my algorithm won’t be slowed down for speaking up.

Brian2036
Level 10
Arkansas, United States

@Cj24 @Mary419 

 

I don’t have any statutes or precedent handy, but my legal instincts tell me that this is just WRONG, particularly in Mary’s case.

 

There has to be a limitation.

 

In contract law, (which is a labyrinthine abomination unto itself,) we often use a device called reductio ad absurdum.

 

[Anyone who is not fascinated by the perversities of English Common Law can quit reading now.]

 

So, Mary, suppose you continue your property management enterprise, eventually turn much of the management duties over to your granddaughter, and 50 years from now Airbnb decides that they overpaid you in 2017.

 

Can they lift the amount of the alleged overpayment from your 2071 account, plus compound interest?

 

Of course not. Without interest? Still no.

 

So there must be a time limit. But what would be reasonable?

 

Five years? I think not. Three years? Does Airbnb not conduct an annual audit by an independent agency?

 

If they don’t, they are grossly negligent and probably in violation of some statute.

 

There is an issue of “detrimental reliance” which I would probably investigate first.

 

Hosts rely on Airbnb’s purportedly expert accountants to pay them that which is due, no more and no less.

 

Hosts reasonably rely on this.

 

If they accept payouts in good faith, use said payouts to subsidize their businesses, and are later subjected to confiscation of unrelated assets which impact their businesses negatively, they have a valid complaint.

 

I’m still thinking, but I do believe that what they are doing amounts to theft of property.

 

Small claims court is an inexpensive alternative and you have a good chance of winning. Airbnb would probably settle, but even if they don’t, you will cause someone a huge pain in the posterior at a very small cost to you.

 

NOTE: I am not a licensed attorney, but I play one in my mind.

Aline559
Level 1
Mooloolaba, Australia

Omg reading this gave me some hope.

 

I recently had a reservation change where the guest requested to reduce  the nights significantly from the original booking.

 

in the “change reservation” tab, I was able to change dates however not the price. Airbnb automatically recalculated the prove based on my initial special offer to this guest. This is not what I had agreed with the guest, I told her the nightly prive would be more. Upon contacting Airbnb they directed me to proceed with the change from my end which I’ve done so and they immediately refunded the guest the incorrect/higher amount.

 

a week into the guests departure and here I am still trying to recover the incorrect refund. Airbnb just says they have been unable to contact the guest and can’t charge them without their permission but, how about me?! Why do I need to pay for a fault in their system?!

 

I’m so frustrated and unsure if I want to host other listings here, grrrr