why does AirBnB sit on hosts payouts for so long?

why does AirBnB sit on hosts payouts for so long?

I had a guest check in on Thursday, check out the following Sunday, but the payout advice from AirBnB says it will arrive next Friday. That's 8 days after the guest checked in. Why does it take so long for payment when the guest pays immediately they book?

17 Replies 17
Ben551
Level 10
Wellington, New Zealand

@Kaye36Does this happen to you often?  It's certainly not the same as my experience. In my experience, I've been paid the day after the guest checks-in every single time.  If this is the first time it has happened I'd ask more questions.  It likely means Airbnb had trouble processing the guests credit card or something.

It used to be two days after, but now it seems to be getting longer

That’s what I heard when I signed up to host on Airbnb. My first guest is in and I won’t get paid for a week 

I haven't hosted since the beginning of the pandemic and always used direct deposit. I was paid the day or two after the check in date.

I just started hosting again, and when I called support to inquire why my money hadn't been paid was told that, "...with ACH or Direct Deposit, you may have to wait 10 business days in the US to be paid."


That's TWO WEEKS!!

 

What happened? Are they just sitting on our money?

Gillian19
Level 10
St Leonards, Australia

@Kaye36 That's how they make much of their profit from investing the money paid by guests. Common practice 

Yes I know... I used to get paid the day after check in but now it's getting longer...this is a bit ridiculous though 8 days!

@Gillian19 No, the common practice isn't investing, it's delaying cash outflow.

Gillian19
Level 10
St Leonards, Australia

@Ann72 and the reason they delay cash outflow is bacuase they make money from holding the funds.  I've worked for ocmpanies who do EXACTLY that, so please don't tell me it's not so they can make money from our money. Do you seriously think they keep it in a non-interest earning account?

I didn't say that.  But active investing is completely different from collecting interest.  The correct term is "delaying cash outflow," which has multiple benefits, one of which is the accumulation of interest.

Elif15
Level 2
Brussels, Belgium

Perhaps it is not as bad as we think, being paid late. Because in 3 days time if a guest demaged your house, you can ask reimbursement from the guest. So the credit card of the guest is blocked until 3 days time. l think even after they check out you should consider 3,4 days of critical time. 

Kate1592
Level 1
Shrewsbury, GB

It’s the same for me too. I used to be paid two days after check-in and now it’s 8 or 9 days and it has been like that for some time now. It’s very frustrating!

My guests reservation started December 11. They moved in December 12. I won’t get my money til December 18!!!  Not a good feeling. This was my first Airbnb guest. Not sure about this 

 

I'm surprised it says you'll receive payment on the 18th. New hosts usually have to wait up to 30 days to get paid for their first booking. So it may take even longer than the 18th to actually see the money appear in your bank account, paypal, or whatever. @Jolene57 

That's illegal. The Federal Law instituted in 1999 called "Check 21" calls for ACH transactions to be paid by midnight of the day of the transaction.

 

Something very suspicious is afoot. I just started hosting after a two year Covid hiatus, and am shocked at how long direct deposit payments are. Up to 10 days I was told.