Airbnb Violated Section 2.11.1.5 of Terms of Service

[Sarah-Grace1]

I entered into an agreement with Airbnb, Inc. (“Airbnb” or the “Company”) regarding a reservation for an apartment in Barcelona, Spain from January 9, 2024 – April 25, 2024 (Reservation Code: **). I agreed to a payment plan, with the first payment due upon booking, on September 29th, 2023. I connected my checking account at Texas First Bank to my Airbnb account to pay for the reservation. The initial payment of $1,724.01 was successful, and my payment information has not changed since September 29th, 2023. The next payment of $1,612.78 was scheduled for January 28th, 2024.

My reservation began on January 9th, but on Sunday, January 14th at 3:09pm, I received an email from Airbnb stating that the reservation was cancelled due to a failed payment. At 3:14pm, I verified with a Customer Service Representative (“Representative” or “Agent”) that I had sufficient funds in my checking account to cover the payment amount scheduled for January 28th (Checking Account Balance as of January 14th: $5,529.27; Scheduled Payment Amount: $1,612.78) and offered to change my payment method to complete the failed payment in a chat with an Agent. I was told that the reservation was cancelled and the only way to continue my stay would be to rebook the apartment through Airbnb. I was immediately charged a cancellation fee on January 14th per the Payments Terms of Services (“Payment Policy” or “Payments Terms”) of $309.38 that successfully went through to the same bank account that Airbnb claimed it could not access to complete the original failed payment.

The second payment was not due until January 28th, 2024, meaning that Airbnb is claiming to have attempted to charge my account before the payment was due. Upon reviewing Section 2.11.1.5 of Airbnb’s Payment Policy, Airbnb is required to notify a Guest that he or she has 72 hours to change payment methods upon failure to receive a payment; otherwise, the Guest authorizes Airbnb to cancel the reservation on their behalf. I never received a notification of the failed payment and was never offered an opportunity to change my payment method before my reservation was cancelled. I have requested proof of Airbnb’s attempt to charge my account as well as proof that Airbnb provided the 72-hour period, and the Company has refused to provide proof of either occurrence.

Airbnb failed to send the notification detailed in Airbnb’s Payment Policy; therefore, Airbnb violated its Terms of Service, and wrongfully cancelled my reservation.

I contacted my bank on January 16th, 2024 regarding this issue, and my bank has no record of Airbnb’s attempt to charge my account on January 14th or earlier for the payment that was due on January 28th. Once I verified that Airbnb had indeed violated its Terms of Services, I authorized a Stop Payment order with my bank to decline the Cancellation Fee of $309.38. The Stop Payment Fee was $29.50. On January 18th, I received the notification of a failed payment for the Cancellation Fee that I declined to pay, as well as a notification that my account has been deactivated due to my failure to pay. Please note that my declination of the cancellation fee was intentional and was authorized on January 16th, after my reservation was cancelled and after confirming that Airbnb violated its terms.

As of today, the Company is not calling me back nor responding to my requests for support. I have opened over 18 (eighteen) support cases, each of which ends with a representative telling me that a “Specialized Team” is working on my case, but that they are unable to transfer me to that team. The representative always assures me that the specialized team will reach out to me, but I still have not been contacted. I have asked someone to call me at least 12 (twelve) times and have not received a phone call. The representative then closes the case, meaning that I am unable to respond or ask further questions. I reported this issue to the Better Business Bureau, to which Airbnb responded that they will no longer be engaging with me because I declined to pay the Cancellation Fee. Lastly, my account has been deactivated because I declined to pay the wrongfully charged Cancellation Fee.

I mailed a Demand Letter to Airbnb’s Lawyers as well as to their Main Office in San Francisco on January 28, 2024. I received a response from Airbnb stating that the Company is “in receipt of the demand letter complaint” and that the “records indicate a payment issue with the reservation;” however, (1) there was no payment issue, (2) I never received the 72 hours to change my payment method, and (3) the Company has not provided proof of any payment issue.

In summary, Airbnb:

1. Claims that they attempted to charge my account two weeks early.
2. Failed to notify me of a failed payment.
3. Failed to provide 72 hours to change my payment method.
4. Wrongfully terminated my reservation.
5. Refuses to refund me the $1,724.01 that I paid to initiate the reservation.

I have proof of every fact listed in this letter that I have sent to the BBB and the Arbitrator designated in Airbnb's Terms of Services. They still refuse to resolve my issue and have in fact stated that I still owe them the Cancellation Fee. 

**[Reservation number hidden - Community Center Guidelines]