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Our Bank reversing payments for Non Refundable Bookings

Earlier this week and again today our Bank has advised 2 payments taken for Non Refundable bookings would be reversed.

One of these bookings was a No Show, (but nevertheless a Non Refundable booking) whereby the Guest who failed to advise cancellation, claimed to his bank the payment taken by us was not authorized, as we processed the charge as a Motto or card not present. Despite our providing all relevant documentation from Booking.com and ourselves the Bank agreed with the Customer and processed a reversal to our account.

Today we have received another letter from our Bank advising the need for documentation where a charge is in dispute, despite the Guest staying in the Hotel. Having spoken to the Bank I am advised if any payment is processed without the credit card being present it can be reversed with or without notice.

Has any other property encounted this situation or is this just the attitude/policy of Australian banks? I would very much welcome any feedback or comments.

7 Replies

8
Leandri Klopper

Hi there,

Thanks for the post. Yes, we are experiencing this everywhere. I saw a few posts on this but none has given solid advise yet.

One chain said we must ask the client for consent (via email so as to have it on paper) before you process the card. But I see many hurdles with that in the sense that not all clients correspond with me.

Another chain is asking booking.com to add a Consent box that clients needs to check after they enter their card details, which will bind the client to honor the payment.

Sadly, I've heard no updates.

Keep well

1 year ago
4
Angela @Promhills

I am in Australia and have had a reversal requested one by one guest. I sent the bank a signed copy of the guest's check in form, saying they agreed to charges we placed on their card and a photo from our security camera showing the guest at our property. That was enough for them not to reverse the charge. Do you have anything in place that proves the guest was at your property?

1 year ago
8
Leandri Klopper

Hi Angela,

Thanks for that, just one question. The check in form, I assume it's one that they signed at your property upon arrival?

That would definitely help us ensure banks don't take back payment of guests who actually stayed at the property, but would do little if the guests never showed and the banks reverse the cancellation fee.

Keep well.

1 year ago
1
Alexandermotorinn

If guest signed on the sign sheet it would helped. But, for us, the most case were guests didn't show and didn't cancel the booking. So pretty desperate on this situation.

10 months ago
8
Leandri Klopper

Alexander,

I sent feedback on one of their many platforms regarding charge backs for cancellation fees. Maybe if we all do it, they will look into it as they don't really look at the forum for that type of feedback.

Keep well!

10 months ago
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Alexandermotorinn

I spoke to our account manager about this issue however he said only thing he could suggest is that marking this type of guest as misconduct on our externet as obviously bank is standing with guest side. But then what I found was by the time we received charge back form bank we couldn't mark misconduct because we have to do it within 7 days from their departure.

10 months ago
8
Leandri Klopper

Hi Alexandermotorinn ,

That's the worst luck. So your acc manager maybe didn't look at the specific booking and realise that it's too late. Which should have sparked another solution.

Well, if at least now you know what to do if it happens again.

Best of luck!

10 months ago