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renter confusion re sec dep hold.

Replies: 5 - Pages: 1 - Last Reply: Jan 28, 2021 4:00 AM by: ShenRent
BlueMtnCabins
Registered: 6/6/16
renter confusion re sec dep hold.

I am doing cc sec dep hold on direct bookings. What I have noticed is that about every 3rd renter is expecting a "refund" even though nothing was actually charged as a deposit but it was card hold only. I have it explained in detail in reply-to -inquiry quote email, rental agreement, FAQ etc. yet every week I seem to be getting text/email asking "when will my deposit be refunded". People do not seem to understand the concept of credit card HOLD. I am about to go back to traditional refundable deposit. Anyone has that same issue and how do you deal with that?

CTK
Registered: 12/7/20
Re: renter confusion re sec dep hold.

I'd caution you on going back to the traditional hold - you'll be charged by your CC processor that can add up. What language are using right now to inform? can you copy paste here

BlueMtnCabins
Registered: 6/6/16
Re: renter confusion re sec dep hold.

Chris O said:

I'd caution you on going back to the traditional hold - you'll be charged by your CC processor that can add up. What language are using right now to inform? can you copy paste here
My agreement is IC+ and I do get refund of CC fees.

"Rental Security Deposit of $300 is required; it will be released or refunded within 14 days after check-out if there are no damages, rule violations or excessive cleaning required (See the Rental Agreement for details)."

"REFUNDABLE RENTAL (DAMAGE) DEPOSIT in the amount of $300 is required:
If Rental (Damage) Deposit is included in the booking amount, it will be shown in the quote.
- Alternatively, for Direct bookings or 3rd party site bookings that do (did) not collect Rental (Damage) Deposit, Owners may require a Rental (Damage) Deposit:
--via placing credit card hold authorization $300 prior to the start of stay; or
--by other means of payment (such as bank transfer) $300 prior to the start of stay.

- The Rental (Damage) Deposit must be received by the Owners and cleared by the bank / credit card processor prior to granting access to the Property.
- Owners will return or release your Rental Deposit (as applicable) within two (2) weeks after check-out, less any damages or excessive cleaning fees, provided the following provisions are met:
...........

CTK
Registered: 12/7/20
Re: renter confusion re sec dep hold.

your message right there says "refunded" - I don' think the average renter is going to read beyond that and figure out what category of booking they fall into to determine how the deposit is made (hold verse charge).

Can you send an in BOLD/CAP line during your message, outside of the contract language, to only those that are direct explaining it's a hold?

ShenRent
Registered: 12/4/09
Re: renter confusion re sec dep hold.

Careful going back.... Credit card processors often don't refund you the fees anymore. On a $300 security deposit, you're going to eat about 10 bucks. That's on each and every booking.

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