Understanding cancellation policy

[Beth243]

Hi, I'm trying to understand a strict-flexible cancellation policy which states:

"For a full refund of accommodation fees, cancellation must be made within 48 hours of booking and at least 14 full days prior to listing’s local check-in time (or 3:00 PM if not specified) on the day of check-in."

Does this mean that if I book today to reserve a place five months from now, the only way to get a full refund is to cancel within 48 hours of today? Or would I get a full refund as long as I cancel prior to 14 days of my reservation?

Just a little confused because it seems odd to be penalised for reserving so far ahead of time.

Thanks.

[Steve143]

Hello Beth,

Yes, if the host has a strict cancellation policy for the listing the only way to get a full refund for a booking made today for 5 months time is to cancel within 48 hours of making the booking.

That 48 hours and 14 days in advance is to allow guests to change a booking penalty free if, for example, they have made an error in the booking.

The 48 hours free cancellation period is from the time you book but it applies only if the booking is made 14 or more days ahead of checking in.

A booking made today for checkin in 7 days time can't be cancelled penalty free.

A booking made today for check in a month's time can be cancelled penalty free within 48 hours of making the booking. After 48 hours, cancellation is subject to the policy the host has for the listing.

Steve.

[Jessica-and-Henry0]

Beth, the policy you mention is actually called "strict with grace period". 

If you are concerned about refunds, I suggest you should look for listings with a flexible or moderate cancellation policy. 

https://www.airbnb.com/home/cancellation_policies

Strict policies are not about penalizing anyone, imo it's about guests being held accountable for their decisions regardless of how much time there is left until the actual check-in date. Some places tend to get booked several months in advance of the check-in date so in certain cases, if a guest were to book 3 months in advance and keep the dates blocked for a whole month, then cancel with 2 months remaining, this could have a detrimental impact to the host. Who knows what kind of opportunities were lost during that one month and there is no guarantee that those exact dates will be rebooked by a different guest. 

[Letti0]

Beth You would get a full refund as long as you cancel 15 days prior to booking, 50% refund if you cancel 8-14 days prior to booking and no refund from 1-7 days prior to booking.

[Steve143]

Hello Letitia,

The text that Beth quotes is from the strict (grace period) policy.

https://www.airbnb.com/home/cancellation_policies#strict-with-grace-period

For a full refund, that is accommodation fees plus Airbnb's service fees, the cancellation must be made within 48 hours of making the booking *AND* at least 14 days prior to the listing's local check-in time, or 3pm if not specified. Cancelling 15 days prior to checkin time, when the booking is made months in advance, won't qualify for a full refund as the 48 hour grace period of the equation will have elapsed.

From the second bullit point in the policy document, Airbnb service fees are refundable if the cancellation is made within 48 hours of making the booking.

The policy text differentiates between "booking" and "check-in". Booking is the date and time when the reservation is made, check-in is the date and time when the reservation starts.

Steve.

[Letti0]

Steve, 

I have a strict with grace period policy. I assure you I do not get to keep any money until 2 weeks before check in time has arrived. AirBnB refunds it back to the guest in full for the rental if guest cancels. AirBnB service fee's can be refunded also 3 times a year per guest. So this booking would be eligible for a full refund until 15 days before check in, which is what she is asking about. 

Letti

[Lisa723]

Letitia, I agree with Steve, your statement is incorrect.

[Letti0]

@Lisa0 and @Steve0, 

Just got off the phone with AirBnB. I stand corrected on the service fee deal. It's refundable 3 times a year if the reservation is cancelled with in 48 hours of booking only. But the balance of what I said is correct. Host will not recieve any payment if cancelled prior to 15 days before check in with a strict grace period cancellation policy. All rental costs will be refunded in full to guest. Nightly rate, extra guest fees, cleaning costs and taxes will be refunded in full. So she will lose whatever the service fees she was charged, but nothing else. The AirBnB person even stated that if they (the guest) calls in before the cancellation more times than not they will refund the service fee's also if they are booking another AirBnB to replace the one they are cancelling, but it's up to the guest to request this refund and it is usually given.

Letti

[Matthew285]

@Letitia0,

No, I still don't think that is correct.

If a host has either Strict cancellation or (now the only choice) Strict cancellation with Grace Period,

once the 48-hour grace period has ended, then the most a guest will get refunded is 50%. It does not matter how far in advance the guest cancels (once the 48-hour grace period has ended).

Once the grace period is over, the host is supposed to get at least 50%. Closer than 7 days, the host gets 100%.

(This is assuming no extenuating circumstances, or tomfoolery on the part of the Airbnb support staff.)

[Beth243]

 Thanks everyone for your replies. Yes, it's a little confusing isn't. I really appreciate all the comments. Whether or not it's the case, it sure does make more sense to get a full refund if you are booking way in advance, and end up needing to cancel and do way in advance as well.  My potential host seem to think I'd get a full refund (less the service fee of course). I couldn't find the email or phone number to talk to Airbnb directly.  Thanks again!

[Matthew285]

Beth,

It is confusing, and it does not seem especially fair to not get a full refund if you cancel many, many months in advance.

But if your question is asking "Is that how the Strict Cancellation policy works?",

then the answer is yes; guests normally do not get a full refund no matter how far in advance they cancel under the Strict Cancellation policy.

That's why I generally try to avoid listings with Strict Cancellation policies, if possible.

[Letti0]

Beth, I call the 415 number usuallly never a wait time or it's short unlike the 855 number I have found with long wait times. Your host is right full refund less service fee until 15 days prior to check in. Please call and come back to let us know what they tell you. I think the others not on a Strict with Grace policy are confusing Super Strict with Strick with Grace Period. With a Super Strict 30 Day or 60 Day you will only get 50% back until the 30 or 60 day mark then nothing back after that point. 

AirBnB number:

United States and Canada

+1-415-800-5959 +1-855-424-7262 (toll-free)

[Ange2]

Beth, there are a number of cancellation policies, listings that have the 'flexible' and 'moderate' policies  allow you greater leeway to change your mind, you can cancel in advance and be refunded if you choose a 'flexible' or 'moderate' listing.

My understanding is, if the listing has a Strict/Grace policy you will get a 50% refund if you cancel after the first 48 hours of booking and within 7 days before check in, unless the host waives their policy and agrees to refund you in full (I do not know if Airbnb refunds their fee).

I have Strict and  I refund, but not all hosts can do that because of the way they are organized they lose money however far away the dates are.  If a host cancels even a year or more out

[Letti0]

I posted this and it disappered. So I am reposting it.

Just got off the phone again with AirBnB. Less than a minute wait time on the 415 number and the man spoke perfect English. Have a possible guest that read THIS thread lol and is panicing that I'll take all her money or at least 50% of it if she has to cancel a reservation she plans to make for a month and half in advance for end of July. 

Michael L, Jun 10, 23:53 PDT:

Hello Letitia and Marie,

Good day! My name is Michael and I'm a Case manager here in Airbnb. I hope this message finds you well. Thank you for letting me know about your concern regarding our Strict cancellation policy with grace period.

This is to inform you that if you book a reservation with this cancellation policy that you can still get a full refund if you cancel 14 days prior to your check-in date. If you cancel 7 days prior to check-in, you will still get a refund for 50%. The only time that you won't be getting a refund is if you decide to cancel less than 7 days before the check-in date. However, even if its already less than 7 days, a guest can still get a refund if the host approves it.

Therefore, there's no reason to avoid a listing that has a Strict cancellation policy. Furthermore, in case you decide to book a reservation in the future and encounter a problem, just call Airbnb and ask any of my colleagues to contact me and I'll be calling you to help you.

I hope this helps. If you still need assistance, please don't hesitate to send me a reply and I'll be more than happy to assist you again. Thank you so much for being the best part of the Airbnb community.

Your friend here at Airbnb,

Michael

[Matthew285]

Letitia,

This would not be the first time an Airbnb support representative has sent information that is in direct conflict with what Airbnb has publicly posted as their official policy.

The exact terms of the "Strict Cancellation with Grace Period" (not Super Strict) were discussed at length.

65 pages of discussion here: 

https://community.withairbnb.com/t5/Airbnb-Updates/New-strict-cancellation-policy-update/m-p/652735

12 pages of discussion here:

https://community.withairbnb.com/t5/Airbnb-Updates/An-update-on-changes-to-the-Strict-cancellation-p...

The specific text from Airbnb said this:

"Guests will get a full refund if they cancel within 48 hours of booking, as long as their check-in date is at least 14 days away. This means that even if a guest books a reservation months in advance, they’re only able to get a full refund if they cancel within the first 48 hours after booking."

So that text specifically says that if the guest cancels more than 48 hours after booking, they will *not* get a full refund even if the reservation is months in advance.

I don't know why that representative gave out information that is in conflict with Airbnb's stated policies, but what that representative said does directly contradict what Airbnb has stated in the past.

(This discussion in mainly academic for me, as we use a Flexible Cancellation policy.)

Really the only way to settle it is to see what actually happens when some guest tries to cancel a Strict Cancellation with Grace period reservation after the 48 hours from booking, but further than 14 days from check-in.

Has anyone had this happen?