Beware of AirBnB "security deposit" ... does not exist. Host gets screwed.

Doug-And-Leslie0
Level 2
Deerfield Beach, FL

Beware of AirBnB "security deposit" ... does not exist. Host gets screwed.

Per AirBnB:  "If and when a host makes a request to collect on their security deposit, it will be handled according to the Host Guarantee Terms and Conditions. Airbnb’s Host Guarantee is a program that provides property damage protection of up to $1,000,000 USD for hosts of homes. Under the program, hosts are required to provide documentation of the damaged or missing items, and request reimbursement from the guest through our secure Resolution Center within 14 days of checkout or before the next guest checks in (whichever is earlier). If the guest is unwilling or unable to reimburse them, the host can then involve Airbnb."

 

This is what I did.

 

I contacted AirBnB the same day I learned of the damages and I asked for direction on how to proceed.  I followed EVERY direction given to me during that initial call.  At no time did the support rep tell me to contact the guest.  To be clear, I require a $500 security deposit  for all reservations. Always.

My next guest came only four days after this damaged occurred.  At no time during those four days did AirBnB assist me or direct me in the process to proceed…. Why?  Because AirBnB is woefully understaffed.

One day after reporting the damage to AirBnB, on the same damage claim thread in my AirBnB inbox, I sent a follow message to AirBnB  asking for help because my next guest was coming in three days and I was still finding damage.  This has never occurred before, so I looked to AirBnB support to guide me on how to proceed.

AirBnB never responded until 12 days later.  Well past the date of my next guest arrival.

 

Well, after 28 days I finally get the following email .... 

 

**


First of all, that is NOT how a security deposit works.  In the real world, a security deposit is set aside to be paid to the property management company if the renter / guest damages that property.  In this scenario, there is no middleman and the owner / property manager directly informs the guest that the security deposit will not be returned.  

However, AirBnB has this "other" policy that tells all of us not to conduct ANY transactions or business outside of AirBnB.  If you go outside of AirBnB and they find out about it, they will suspend your account, perhaps permanently.

But AirBnB also says that for damage claims, ignore all that and contact the individual directly.  

Yeah, that one sentence within a policy that contains about 10,000 words ... it would have been VERY helpful for your team to point out the key requirements such as contacting the guest for payment.

But if I have to contact the guest for damages,  rather than AirBnB (who actually holds the security deposit), then I should be able to obtain and access that security deposit directly in my account WITHOUT interference from AirBnB.  If I am spending the time playing collections agent with the guest who damaged the house, and am unsuccessful, it should NOT be up to AirBnB to then decide whether it will release the security deposit!  And not respond until after 14 days ... the time period after the security deposit expires!  It is THEN that Airbnb's Host Guarantee policy overrides the security deposit .. and because that policy requires you to contact the guest to obtain payment and you did not, then you are then not covered by the Host Guarantee.

At the minimum, on day one the AirBnB representative should have told me to contact the guest for payment before my next guest arrived.  I would have contacted the guest through the AirBnB inbox while I was on the phone with the AirBnB rep.  I followed every other instruction within minutes of speaking with the rep.

AirBnB ... this is on you  … and it is really a very poor reflection to offer such a lame and impersonal response when it knows very well that it failed to assist and coach and direct a valued Superhost and Traveller.   

 

It is disgraceful that you have the nerve not to accept your responsibility for poor customer service and support.  That is unjust and it is dishonest.  AirBnB support was understaffed, inadequate and failed me.  ... and I am not talking about the Call Center staff ... who are just contractors reading scripts from a computer screen and taking notes ... I am talking about the people who actually work for AirBnB and to whom I pay that AirBnB fee every rental.

It is my hope that by sharing this experience with other Superhosts will make them aware of this and hopefully they will have success in being reimbursed for the damages by a guest.

 

 

**[Private conversation removed in line with Community Center Guidelines]

7 Replies 7
Emiel1
Level 10
Leeuwarden, The Netherlands

@Doug-And-Leslie0 

Although i understand your frustration about the lack of quick and proper response from Airbnb CS, it is made clear in the terms (as even cited by you in the firsts lines) AND in the Help information that you need to inform the guest of the damages and the claim. Offcourse not outside Airbnb, but via the resolution centre, following these procedures:

https://www.airbnb.com/help/article/352/what-happens-if-a-host-wants-to-collect-on-their-security-de...

 

Best regards,

Emiel

Doug-And-Leslie0
Level 2
Deerfield Beach, FL

Sorry ... Emiel ... you are referring to the Host Guarantee ... which is NOT the same thing as a security deposit ... and you do NOT make that clear.  If I apply a security deposit, I don't expect to have to go through AirBnB to obtain those funds.  If I got the security deposit money, there would be NO need for AirBnB Host Guarantee to be used.  Give me the security deposit money that the guest greed to have a hold on their credit card... no need for AirBnB to be involved at all.

Well actually it pretty much is @Doug-And-Leslie0 

 

What you expect or how others handle deposits is not terribly relevant in this context.  What is relevant is sadly you didn’t contact the guest in line with Airbnb’s T&C’s for claiming under the deposit or guarantee  so you could make a valid claim.

 

Airbnb Help is a good resource for understanding how to manage your Airbnb listing. 

Not great to see you ‘shouting’ at a fellow host who was trying to help you. 

Doug-And-Leslie0
Level 2
Deerfield Beach, FL

You are using the Host Guarantee Policy to deny AirBnB paying out on insurance.  The security deposit should NOT be associated with the Host Guarantee.  The security deposit is supposed to be held on the guests credit card and should have been paid out to me IMMEDIATELY upon me providing AirBnB with all the pictures and replacement / cleaning costs.   That is how a security deposit actually works in the real world ... it is to PREVENT the owner from having to chase the offending person for funds AFTER THE FACT, unless the damage is greater than the security deposit.

 

Mike-And-Jane0
Level 10
England, United Kingdom

@Doug-And-Leslie0 I think @Emiel1 was trying to help so shouting at him is a bit rough. If only hosts actually read up on the Ts&Cs of the platform they use these misunderstandings would be few and far between. Of course Airbnb don't help by  using  'standard' words for concepts that in Airbnb's world are different and usually weighted to the guest.

Anna9170
Level 10
Lloret de Mar, Spain

@Doug-And-Leslie0  The security deposit is a host illusion, you can write any amount, it does not matter. These funds are NOT blocked on the guest's credit card. The procedure is always the same - departure of the guest, and before the arrival of a new guest, you must take a picture of everything and send a properly designed (it is important) claim to the guest, you can not immediately send it to Airbnb. Within 72 hours, if the guest does not respond to the claim, the document already gets to Airbnb Compensation Department and a new part of the performance begins...

I am in complete agreement that the Host-required security deposit provides no more than an illusion. I have had a few claims where I followed procedure exactly and did receive some compensation, but only according to Airbnb’s Host Guarantee.  Whether I had a security deposit or not (I do have one set at $500) I would have received the same outcome.  There is no ability to “tap into” the security deposit that you think you have.  Airbnb evaluates whether they want to pay out an item and it’s according to their Host Guarantee program. The security deposit should be precisely for the items the Host Guarantee does not cover, such as breaking house rules on smoking or pets, having extra people stay who are not on the booking, cost of removing unwarranted debris left by the guest, etc, etc.  There are plenty of things the Host Guarantee does not cover, that incur costs to the Host in both time and money, and that should be the reason for the security deposit. The other major hosting site has a completely opposite mindset. The Host is covered by the security deposit for anything they can prove.  That is fair to both Guest and Host.  Airbnb… time to stop being lopsided in favor of guests.