Security deposit

[Stephanie26]

I just received the below email from airbnb telling me I was getting it as I had a security deposit in my listing.  However, I do not have a security deposit in my listing.   I used the link provided to read up on the new policy, and it seems to indicate even if you do not have a deposit, airbnb will require one, choose a value, and make it prominent in your listing.  Does anybody know what is going on here?

How this affects you

Because one or more of your listings require a security deposit, please review the amount you require. It’s important to do this since it may be displayed more prominently and will need to be authorized on each guest’s payment method 48 hours before check-in.

Please review your security deposit settings

As part of our continuing effort to build trust on Airbnb, we're testing improvements to our security deposit feature.

Thank you for hosting,

The Airbnb Team

[Sarah977]

@Ian-And-Anne-Marie0  As I said, I contacted Airbnb with the specific question and the answer was that this will only apply to listings which already have a security deposit. (Of course I know they sometimes give erroneous information, but I have this in a written message from Airbnb CS, so at least I have back-up if one of my guests reports that they had a security hold put on their booking.)

Why is it worse if I don't list a security deposit?

[Ian-And-Anne-Marie0]

@Sarah977 Why is it worse if I don't list a security deposit

It would be worse for your guests having their credit limit reduced by some undefined amount imposed by ABB which you would have no idea of.  In this case their credit limit is affected. If you impose a security deposit yourself it does not affect their credit limit. Neither will it force any imposed cancellation.

Your information from ABB CS is in fact in conflict with the written article published by ABB. The article states that if ABB cannot authorise 'their' security deposit from the specified payment method 48hrs before check-in and the guest is not forthcoming with an alternative payment method during the ensuing 12hours then the reservation (despite at this point the whole booking payment being made (!) ) The reservation will be cancelled.

Nothing is mentioned about any Host being compensated for any cancellation in this situation, so by having a security deposit (just a number) you are ensuring three things;

1. The guest doesn't need to have any credit card or bank balance headroom for payment authorisation of some unspecified level.
2. The guest doesn't get cancelled by ABB for failing to provide payment authorisation and
3. You don't lose a booking for no fault of your own.

Your note would certainly provide an interesting battle ground.

[Sarah977]

@Ian-And-Anne-Marie0  As per usual, Airbnb has made this super unclear. But I interpret it differently than you are interpreting it.

This is how I read it:

Airbnb may actually put a hold on the credit card for a listing for which there is already a security deposit listed. This will not be an additional, arbitrary, who-knows-how-much security deposit, but the same deposit hosts currently list, except it will be held instead of being just an empty threat they have to try to collect on in case of damages. I imagine they will do this for guests with some history of causing problems.

This will not be done at all on listings which do not list a security deposit at all. (According to the answer I received from Airbnb)

What "article" are you referring to? That email we were all sent?

[Ian-And-Anne-Marie0]

@Sarah977 

In my first reply to you I posted the link to the article:

https://www.airbnb.co.uk/help/article/140/how-does-airbnb-handle-security-deposits

With respect, you are not interpreting it differently, you simply haven't read the article. As I pointed out it is at odds with your received information and note from ABB CS.

This Airbnb required Security deposit places an authorisation on a payment method.  It states in part:

Airbnb-required security deposits

As part of our continuing effort to build trust and enhance safety, we may independently require a security deposit for certain reservations. This can happen if something stands out when we review the reservation details. Factors may include the timing of a reservation or the listing's features.

The security deposit amount is set by Airbnb, and you’ll always have a chance to review the amount before you decide to make a reservation.

As you see this is Independent. Set on Certain Reservations. Based on Something standing out. And is an amount set by Airbnb.

YOU (the guest) will always have chance to review the amount BUT, No mention about you the host.

It is interesting how the language matches between the email and the article.

The article stating:

As part of our continuing effort to build trust and enhance safety, we may independently...

The email stating:

As part of our continuing effort to build trust on Airbnb , we're testing improvements to our security...

This article is in the Travelling section, not the Hosting section. However the hosting section links to the same article too.

There is a separate section within the article which deals with the host set security deposits entirely, these set Security deposits do not make an authorisation on a payment method:

Host-required security deposits

Some hosts require a security deposit for their listing. If you’re a guest and you’re booking a listing with a host-required security deposit, you’ll be shown this amount before you make your reservation. The amount is set by the host, not Airbnb. In this case, no authorisation hold will be placed, and you’ll only be charged if a host makes a claim on the security deposit.

The article is very clear, I think.

I'm currently trying to untangle the spaghetti which is the hosting do's and don'ts for my own benefit so this information is particularly useful. I can't see that they can provide conflicting information in this way.

[Ian-And-Anne-Marie0]

@Sarah977 

It just gets more confusing...

The email states: "Because one or more of your listings require a security deposit, please review the amount you require. It’s important to do this since it may be displayed more prominently and will need to be authorized on each guest’s payment method 48 hours before check-in." THAT is contrary to 'The Article''.

Besides what I posted previously, this email seems to be an update on security deposits for hosts who already have security deposits. Essentially, taking this email as a 'change' or an update to existing policy set out in 'The Article', what Airbnb seem to be doing is consolodating their deposit mechanism.

Rather than having two types of deposits (Monopoly money and Authorised) they are now saying they will be having one type... the 'authorisation' type. This doesn't mean that hosts who do not have security deposits set o their listing will be exempt from security deposits as Airbnb have already stated in 'The Article'. Those Airbnb-required security deposits still exist.

Specifically to Hosts who do have security deposits set, Airbnb are pointing out this change from a 'numerical' deposit to an actual 'authorised' deposit.

I've seen some hosts requiring $2,000 - $3,000 security deposits. On the 'old' system thats just monopoly money as it never gets authorised. Now, those security deposits like all other security deposits set by the Host will have to be authorised on some payment method by the Guest. Where before the security deposit might be used as a deterrent it is now more proactive because the funds need to be actually made available.

In reducing 'Host / AirBnb / Guest' conflict by actually 'holding' a deposit when it comes to damages, extra guests, breaking house rules etc... AirBnb might be in a more balanced position to make judgement. Perhaps this will ultimately help Hosts and is an attempt to move AirBnb in the right direction?

[Susan17]

[Ian-And-Anne-Marie0]

@Susan17  More Spaghetti !

Your first screen grab doesn't match the email, but it matches what I believe WAS the case in the article I linked to.

The email says "Because one or more of your listings require a security deposit, please review the amount you require. It’s important to do this since it may be displayed more prominently and will  need to be authorised on each guest’s payment method 48 hours before check-in."

Articles: The guest doesn't make the deposit when they make the reservation

Email: ...the payment will  need to be authorised on each guest’s payment method

What are they talking about? Clear as mud !

[Susan17]