What do you say to guests who ask for a refund on a nonrefundable booking?

[Angela1583]

Hi everyone!

I am new to hosting and I was wondering what people say to guests who request full refunds on non-refundable or only partially refundable bookings?

So far I have had two people ask for refunds -- one who canceled the same day and one who cancelled a week in advance after realizing they booked the wrong dates. Both were nonrefundable. I went ahead and refunded the second guest but not the first.

Does anyone have any suggestions on what to say when these situations arise? I hate to just take someones money, but it also leaves me with potential income loss. 

Thank you!

[Alexandra316]

@Angela1583 I offer to refund if I can re-book the dates. I will also refund if the booking was made shortly before cancellation (like the day before) as long as no costs were incurred by me, like having to get my cleaner in. Otherwise, I would just tell them that unfortunately, you're not able to offer a refund, as per the terms of their booking. It's okay to say no.

One thing to bear in mind though: if your guest cancels on the day they're scheduled to arrive, they will still be able to review you. As a new host, you may want to refund to avoid a bad review, but I'd use your discretion on that.

[Emilia42 · Accepted solution]

@Angela1583 

Unfortunately, this is one of the issues of the new Non refundable cancellation policy. Your guest choose this policy in order to get a 10% discount off the nightly rate. Now they want to cancel and will still do anything to get their money back. Including leaving you a negative review if canceled on the day of arrival.

I would let the guest know that they choose this non refundable policy and unfortunately you will abide by it. If you feel bad about this and want to be the nice guy then I would change your cancelation policy and not offer the non refundable/get a discount option (I don't.)

[Allen65]

Hi Angela1710, I would inform them of their confirmed cancellation and acknowledge their cancellation policy they choose.

I would also impose a 15-day Cooling Off period(starting after their checkout date) for any decisions on the possibility of any refund(since you don’t have their funds from Airbnb yet and “potential for income loss”)

Good luck.

Allen

[Helen427]

hello @Angela1583 @Allen65 @Emilia42 @Alexandra316 

I decide on a case by case basis when I've had Guests request a refund for their cancellations.

@Angela1583

Perhaps in future where a guest has made a "mistake" with dates they have booked ask them which dates they were supposed to have booked and amend the booking.

It sorts the wheat from the chaf if the person is genuinely telling the truth or a porky.

It also saves a cancellation.

I had a guest who genuinely was unable to come so rather than cancel the booking we sorted it mutually as I offered her a night to come in and stay without charge in future rather than a refund - she knows simply to send me an 'enquiry'.

One must be firm if one knows someone may be trying it on.

Stick to your cancellation policy and as the others have said, if you are able to get a replacement booking maybe offer a partial refund because there's also your time in preparation, answering queries, changing your schedule etc to accommodate the Guest when you may have been doing other things.

One must remember acts of Goodwill and Good faith & the flow on impacts of what the said guest may or may not say about their experience with you as an ABB Host.

Check the guest background profile online and see what the potential flow on impacts may be in the longer term.

A very experienced long time operator of a Bed and Breakfast once said to me not to offer a refund as it's included in Terms of Service and helps pay the bills.

It's important to keep all communication open and friendly.

All the best

[Pamela791]

I have a guest who wants to cancel but only if she gets a refund.  It's 2 weeks until her check in date and she booked/chose nonrefundable.  (First I'm brand new at this. My first guest comes tonight. )  Anyway after reading this I thought I might give her a refund of 2 nights of her 3 night stay and then offer her a free night to come another time. She had asked if she could change the dates instead of losing her $.  The problem is I don't know how to issue a refund or if I can issue a partial refund or how I give her that 1 night free.

Does she need to cancel first then I go to the resolutions center?  Is it possible to give a partial refund?  What do I tell her about redeeming the free night?  Thanks.

[Jean5467]

Remind the guest that they booked a nonrefundable reservation. Let them know if you can rebook for their dates offer a refund if and only if you can nook for the same or greater rate and yjat the expenses you oncurred reading the rpom for them will be dedicted prior yo any refund neing authorized..text them after their vleckput day and let them know that due to their short notice you will mot be able to refind them. Nonrefindable is non refundable if yhey give you a bad review aor bmb will remove it if they violated upur tetms. Absolutely n money back if u do npt reremt