Long-term booking, guest has not paid the second installment

[Elena3730]

Hello everyone,
I have one or more problems. I just have a guest staying from 30.11 to 19.01. booked hat.
As it is a long-term rental, the payment has been split into the second installments.

1 tariff - 30.11. until 29.12 was paid in advance
2 installment - 29.12 to 19.01 has not been paid until today

Airbnb emailed me about this on December 23rd. They had contacted the guest several times about payment and set a deadline of December 25th. If by then the second installment is not paid, they would cancel the booking. I then immediately informed the guest, both in writing and in person. He promised to transfer the money immediately. But nothing happened.

I tried to reach Airbnb but I kept getting roasted. You are very sorry and the person responsible will get back to me. Also, they would try to reach the guest to sort it out. After that, my messages from Airbnb were completely ignored. I also tried to contact the guest again at the same time, but he also hiding.

Then on 12/27 Airbnb suddenly wrote to me that the guest still hadn't paid and they set the deadline for 12/28, if the money hasn't been transferred by then they will cancel the booking.

It is now December 29th and nothing has happened so far. The guest is still there, the booking is still active, the rate still shows as unpaid.

Today Airbnb suddenly wrote to me that I can cancel the booking if I want to. Then the calendar would be free again, but I only get a fraction of the money back. That shocked me. The guest does not want to cancel or pay. Airbnb doesn't want to cancel either, even though the guest doesn't pay and then blames everything on me.

I'm in Cameroon right now, there is no Airbnb hotline. Calling a hotline abroad several times is very expensive for me. This means that communication usually takes place in writing. I feel like Airbnb is taking advantage of it.

Has anyone ever gone through something similar or have general tips for me? I would really be very grateful.

[Mike-And-Jane0]

@Elena3730 I am afraid the situation is very simple. The guest hasn't paid so you need to evict him today as his initial instalment covered him until today (or yesterday).

I am afraid this is the issue with long term bookings on Airbnb.

I don't know how things work in Cameroon but I suggest you could contact local bailiffs and or some large friends to help you with the eviction.

Before you start I would take Airbnb's advice and cancel the remainder of the booking. If they block the dates or fine you come back for more advice

Good luck

[Elena3730]

Many thanks for the feedback. Here in Cameroon people usually pay at least 6 months rent in advance plus deposit (2 months). In hindsight I think that the guest took advantage of that. I found out yesterday that the guest is no longer there and that he simply gave the keys to two strangers who are now staying in the apartment and that without informing me. No idea whether the guest will come back.

I don't think that getting them out is the biggest problem and in an emergency I'll pay a bailiff to clear the apartment.

But honestly, my biggest problem is Airbnb. Firstly, they are very difficult to reach, both in writing and by telephone. If you reach them, no one is responsible for the problem. And the statements you make today are suddenly no longer valid tomorrow. Basically, I'm completely alone. I'm also completely stuck with the costs. Thanks to such behavior of Airbnb, they make scammers very easy.

[Maximilian294]

Hi Elena, 

today i am where you were back then and i gotta tell you, if it's this easy to scam via airbnb, I dont know why more people are doing it. 

[Elena3730]

@Maximilian294 After a long discussion I got the payment from the guest. It wasn’t easy but he paid and even apologized. But it was just because he was happy with the apartment and the service. And also how I have spoken to him. I did make a scandal or talked with him disrespectful. I explained to him that if he  doesn’t to pay for the service on time, then unfortunately he has to leave the apartment immediately. He paid and we were fine. In these case Airbnb has done nothing to help me out of the situation. So the only advice I can give to you is, do your work good, stay in conflict situations professionally and strict. 

[Fred13]

I wonder how Airbnb is 'taking advantage of you'. They already suggested for you to cancel the reservation (presumably without penalty to you) if the guest doesn't pay, and then is up to you to get him out of your home. What exactly you expect them to do, send a goon squad from Dublin to Cameroon to evict him?

You are brand new to this renting gig and have a lot to learn, but it would help to stop blaming Airbnb, they are a mere booking agency not property manager and re-take charge of your property. And perhaps best not to start long-term renting right off the bat. Re-start 'small' with simpler overnight stays, less risky.

[Elena3730]

I have already agreed to cancel the booking several times and the booking is still active.

Of course I don't expect Airbnb to send a Goon Squad from Dublin to Cameroon 😉

I also didn't see her as my house manager.

But I expected from them to get clear statements and that they would stick to them. One day they say, the case is clear, we'll cancel the booking immediately, you'll get all the money paid out. On another day, the case suddenly has to be examined. Then they say again, we are really sorry we'll cancel the book if you want.

And it's been like this for a week, back and forward.

You are definitely right that I still have a lot to learn and I will definitely think carefully about how and whether I will rent my apartment on Airbnb.

I definitely learned from this case. And I'm also open to further criticism and suggestions, especially from such experienced host like you. And I mean it in earnest.

[Huma0]

@Elena3730 

I am guessing you are a new host because you don't have any reviews yet either for your listing or on your profile. I am sorry you experienced such a difficult situation when just starting out.

There are a few things that you need to consider:

- It's natural for a host to assume that, because the booking came via Airbnb, that they are going to do everything they can to help you and that it is their responsibility to sort out problems. Certainly, Airbnb's marketing to hosts, e.g. "We have your back" or multi $ Aircover policies can give that impression. Do a bit of reading on this forum, and you will find out it's not as straightforward as that.

As much as Airbnb tries to micromanage and control its hosts, it's basically a booking site and, when the proverbial bleep hits the fan, you cannot necessarily rely on them sorting out the situation. On top of that, customer support is extremely hit and miss and, in most cases, a miss, as you have found out.

- Part of what we pay our host fee for is for Airbnb to handle the payments, right? Yes, true, but if they cannot get a payment from a guest, there is really nothing more they are going to do about it. They are not going to go to court, call the police, send it the bailiffs or whatever. All they can do is try to contact the guest/collect payment, but if that fails, the you are on your own.

- With long term stays, Airbnb collects the first payment in advance and the rest monthly. It is easy for a guest to simply cancel that payment method making it impossible for Airbnb to charge them. I suspect this was your guest's game plan all along. Who knows if they took 'rent' or a 'deposit' from the people they handed the keys over to as well. It seems like a premeditated scam to me. As the guest has not paid Airbnb, you are not going to get any money from them. Sorry.

- As you do not get the opportunity to do proper checks or hold a proper deposit, renting long stays on Airbnb is risky. I do it, but I rent rooms in my own property where I live, so that's a bit different. Are you aware of the tenancy laws in your location? Here, for example, you cannot simply send bailiffs round without a court order. If someone manages to obtain tenant's rights, you would be the one breaking the law and potentially forcing prosecution if you changed the locks or put their stuff out on the street. Make sure you read up and are well versed on those type of laws and know which apply to your listing.

If you want to continue with this once you have the trespassers out, I would:

- Consider sticking to short term stays until you have more experience.

- Vet all guests as best you can. Don't just accept anyone who books. Have some correspondence back and forth with them until you feel comfortable. Make sure you know why they are booking and that that reason means they will need to leave! Maybe stick at first only to guests who have several great reviews. Turn off instant booking.

- Have a clear and strict set of house rules. Many people will tell you that having these will be off putting to guests. Yes, it will be, but it will put off the type of guests that you DON'T want, not those that you do.

[Elena3730]

Thanks you very much, that is very nice.

I went down the rental price because I don't have a rating yet and I understand that the guests are unsure without such ratings.

I also thank you for the tips. I am open to any criticism and advice. You never stop learning. I definitely learned from this situation.

I already rent an apartment, but unfurnished. And here in Cameroon you don't normally get an apartment without paying in advance, namely at least 6 months' rent plus 2 months' rent deposit. This gives you some protection against non-payment or damage.

It was definitely my fault for trusting Airbnb too much, on their promise of service and safety. I don't protect myself, I'm annoyed with myself.

In any case, I will have to think about a better concept of whether and how I will rent out the apartment on Airbnb.

But what still annoys me is that Airbnb have not even canceled the booking to this day. And that even though they know all the problems I have with the guest. I informed them several times both in writing and by telephone that they should cancel the booking.

I keep hearing from the hotline employee that they are very sorry, but they are not responsible for it. They understand me, but there is nothing they can do but write down the case and pass it on to the appropriate team. they are not allowed to connect with an employee who is responsible for the case and they cannot tell me when the responsible person from airbnb will get in touch with me. I have to be patient and wait for them to get back to me.

[Frances3408]

@Elena3730 

Its a horrible lesson to learn but you need to treat your Airbnb listing like a business if you are going to host remote. Start by beefing up access- a smart lock with remote app access so you can monitor. If you cant afford hard wired external cameras then at least a doorbell camera. Inside a motion sensor (so privacy not breached). Then landlord insurance specifically for holiday letting your place- if its occasional only this may be problematic. None of this requires Airbnb approval, just disclosure after its done. On the payment side that first notification from Airbnb should be enough for you to have a plan of action by the expiry day, even though it was Christmas Day. I think you were looking forward to the second months rent and that was weighing on your mind, more than the risks a departure allowing new uninvited, unvetted "guests". Airbnb is not like normal renting- there is no separate account where they put aside extra funds exclusively for you; they also do not appear to advise hosts whether a booking is paid in full or 50/50 (available on short term) and appear to assume the same payment method can be reused for any balance owing (until it doesnt work). Take control and cancel booking yourself and as suggested here, deal with any adverse consequences of cancelling later. I am only a year into hosting but could write a book on all the things not to do as a new host and the mistakes I've made. There are lots of articles on this so try to spend the time reading them. Its your place and no one will care about it as much as you. Good luck.

[Kristina764]

Hi Elena,

I’m in a similar situation today, though unfortunately, my guest has no intention of making the next payment. It’s clear that he exploited the system, knowing a second payment would be required, and canceled his payment method in advance. This way, he effectively avoids penalties, as my listing has a 28-day cancellation penalty.

I’ve always wondered what happens if Airbnb can’t collect subsequent payments. Now I know! The host won’t receive the payment, and the guest can remain on the property for the initial 30 days without facing any penalties. Since Airbnb can’t collect the payment, the guest avoids penalties entirely, and the host loses income.

A straightforward solution:

1. Avoid accepting reservations over 30 days, or
2. Ask guests to book in 30-day increments. This way, if a guest doesn’t pay, you don’t have to deal with them or customer support; the following reservation will simply be canceled, and your calendar will reopen.

Unfortunately, I had to learn this the hard way!

[Zheng49]

@Kristina764 

Are you going to try to get the guest to pay somehow still?

[Kristina764]

I spoke to Airbnb, and they informed me that all they can do is continue attempting to collect the payment for the next 10 days. If the guest doesn’t make the payment, they may potentially suspend the guest’s account. However, if Airbnb isn’t able to collect the payment, the host won’t receive any compensation. That being said I am not going to accept a reservation such as this one (75 days) again.

[Elena3730]

Thank you @Kristina764,

for the great advice!

I hadn’t thought about the second solution.

After my one and only bad experience with long-term rentals, I avoid accepting reservations for over 30 days.

I’ll take your advice and offer bookings in 30-day increments instead.

[Kristina764]

Exactly, and you can also politely explain your reasoning. For example, in my case, I’m in a neighborhood that attracts an older clientele, so last-minute reservations are highly unlikely. This means I’m putting myself in a vulnerable position by keeping my calendar blocked without guaranteed payments.