What to do in this case?

How to communicate with your potential renters - how to turn site visitors into enquiries, and enquiries into bookings.
eloro
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What to do in this case?

Post by eloro »

Hi to all and many thanks to Paolo for this forum.
Probably this things happened even to you: refund a sum for health problems of a customer.

It's not the first time it happens to me. This summer happened to another guest before the arrival (her husband get a terrible illness). In that case I refund her the advance payment.
It happened 3 months after her booking an so it was not surely a scam like the one I have read.

Anyway that week (in August) was not rented and I have lost a great sure sum.

Now I have received another one for a similar reason.
He paid me by paypal a week ago more or less.



******
this afternoon we got bad news about our father/father in law (age 81). His
doctor told us that he is suffering from an agressive bladder cancer with a
critical and alarming classification (T4 G3). Therefore he urged us to
cancel our atumn vacation, in order to be prepared for possible medical
incidents...

Sorry about this.

Cab you help us by refunding the already paid ? Because it is so
early in the year and hopefully you have a chance to let the apartment
again!

*****


I'm a correct person and I don't want to speculate at all.
But I have always the doubt that in some case they found another accommodation and write this things.

In my website there are booking rules and it is written that there's no refund in cancelled bookings.

I'll surely refund the money but I fear, probbably it is not this case, that someone is not always sincer.

P.S.: It is possible to receive a SCAM if I'll refund to the same email address?

Thanks
[/quote]
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HolidayWebs
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Post by HolidayWebs »

This won't help you now but you should insist that people get travel insurance & then they'll be covered for cancellations.
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eloro
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Post by eloro »

travel insurance?
This normally happens with travel agency. I'm a private.

I know that with some websites like homelidays the lessee may do an insurance that assure them that the property listed is like the one described in the website and probably even the refund in case of cancellation. But the website from which they contacted me don't offer a similar insurance.
How I can do as a private owner?
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HolidayWebs
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Post by HolidayWebs »

I always take out annual Travel Insurance from direct-travel.co.uk but there are plenty of others. That covers you for cancellations costs for any 'accommodation' - it doesn't specify what sort. A few years ago I was ill & did have to claim. I had booked flights through a web site and paid for a rental villa via an agent. All I had to do was send in the invoices to get the claim.

I don't know what would happen if you submit an invoice from a private owner. They key thing they need to see is the medical certificate if you or close relative are ill.
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alexia s.
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Post by alexia s. »

Eloro,
If these people had taken out holiday insurance (they can do this through their household insurer) they would have been refunded the deposit they had paid you (serious illness of a parent is normally covered under this type of insurance). You should include a strong recommendation to buy holiday insurance in your booking form.
For your existing problem you can either refund the deposit or promise to do so if you succeed in booking this lost week/s (or refuse to return the deposit because the contract allows this).
As the owner, you can't insure against cancellation.
Best,
Alexia.
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paolo
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Post by paolo »

Welcome to the forum, Eloro!
Image

As has been said above, you should make sure the problem of cancellation is not your problem, but your renters'. This is easily done:

1. State when you take the booking, or in your rental agreement, that the renter must have adequate holiday insurance.

2. State your cancellation policy at the time of the booking, for example:

"If you cancel, I will return any money sent to me (minus bank charges) if I can find another renter for your dates. If I can find a renter for only a portion of the period you booked, I will return the same proportion of any money received."

I believe that a receipt from you for a payment received is all that an insurance company needs to repay a renter who has to cancel. You don't have to be a company for your receipt to be acceptable.

In the situation you find yourself in, it is a difficult one, because you want to be sympathetic, but then again you have clearly stated you do not refund cancellations.

Personally, I am a bit soft, and since they only booked a week ago, and you probably haven't lost another potential booking for that period, I would repay the deposit. But you are perfectly entitled to wait till someone else books it, or indeed not at all.

Can you be scammed with a PayPal payment? I don't think so, but there are more knowledgeable people than me here (Alexia for one!)
Paolo
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vrooje
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Post by vrooje »

Welcome, Eloro!

If the week is not too near and you think you'll be able to rent it again, I would probably refund the deposit, but first I would ask them if they purchased travel insurance.

I guess I'd just go by what my intuition was saying based on what I knew of the people doing the booking. Most of the time we have a good chance to get to know our clients through the inquiry and booking processes (one of the things that sells them on our property is the little details that we provide during "small talk"). So if I had every indication that they were sincere I would just refund their money and wish them the best.

If I wasn't sure about them, my first reply to them would probably start with an expression of sympathy, followed by a statement that our usual policy is to not refund any cancellations, and since January and February are our best months for bookings, there was actually a chance that we wouldn't be able to let the property again. Then I would suggest that if they had travel insurance it should be a simple matter to get the week refunded that way. I'd be very sympathetic and polite and never actually say that we wouldn't refund the money...

If they responded that they hadn't gotten insurance, I'd probably refund the money, after contacting PayPal to make sure that there was no way their initial payment could be reversed. I'm kind of a softie -- but not completely! :)

Cheers!
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livinginitaly
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Post by livinginitaly »

Now i'll admit upfront that I have partaken of some extremely 'fine' brandy this evening, so my slightly impaired reading of previous posts could be held responsible if my advice is 'lacking'.

But ...... what's to stop people from booking > taking out travel insurance > making a claim > then cancelling?

Surely then they'd get twice their money back? or would you normally be contacted by the insurance company?

My instinct would be to go with Paolo and only give refund when the dates are 'resold' (within reason of course).
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oskar
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Post by oskar »

I had to cancel a private villa holiday once due to illness.

I claimed on my insurance and had to provide a doctor's certificate as well as a letter from the owner saying that I had cancelled. The owner kept the money and the insurance paid out to me.
eloro
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Post by eloro »

Thanks to all!

As I said I'd like to refund them because probably they are sincer.
In my website it is indicated that booking cancelled will be not refunded anyway I'm not sure they read this and I forgot to mention them about my rental policy.

What I don't like in this event is that:

1) He preferred to pay immediately through paypal and not through bank transfer (preferred by me)
2) Illness, true or false, too fast
3) Refund request without a call (only through email)

I thought that a possibility would be:
refund them if I'll receive a booking for the same period or after receiving a doctor's certificate.
Perhaps I'll seem too naughty and suspicious.

What do you think about this?
Thanks

P.S. I'll contact paypal to know if the initial payment , even after refund, would be reserved.
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John Borg
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Post by John Borg »

Eloro,
If this was to happen to me, i would probably refund the money, but only on the following conditions:
1: Only when and if the rental period is "sold" again.
2: Refund less cost of transfer/bank charges or other charges
3: Refund less an administration fee (say 25% of the sum)

Things do go wrong in this world and yes, we have to be human too, though we also have to protect our interests. If a booking for August is cancelled in March it would not be difficult to "re-sell", but if a booking for April is cancelled in March, it's a totally different story.
I suppose you haveto judge each case on it's own merits.
Malta – always in the sunshine!
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vrooje
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Post by vrooje »

That's an interesting idea... you could say that you have a policy that in case of medical emergency you are willing to refund a client's deposit if they are willing to furnish a doctor's certificate.

I like that idea.
Brooke
alexia s.
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Post by alexia s. »

Brooke,
That can't be right: you would be out of pocket, because you can't insure against cancellation. The tenant CAN and s/he should do so...... or bear the consequences of choosing not to.

Vrooje,
Doctors' certificates take as long to get in the south of France as it takes to telephone your doctor cousin/friend/in law..... it has to be the same in a lot of other places. The tenant should insure.

I agree with the idea of an administration charge, although 25% seems high.
Best,
Alexia.
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paolo
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Post by paolo »

I think you have to shift the onus of responsibility onto the renter, because you can't insure against a cancellation, and a renter can.

I wouldn't charge an admin fee because although it is inconvenient to arrange a refund, in doing so freely you keep open the possibility of a re-booking next year, or word-of-mouth referral.
What I don't like in this event is that:

1) He preferred to pay immediately through paypal and not through bank transfer (preferred by me)
2) Illness, true or false, too fast
3) Refund request without a call (only through email)
I actually don't think there is anything wrong with any of these, so they wouldn't make me doubt the truth of the illness story.
Paolo
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debk
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Our Current Cancellation Policy

Post by debk »

Since cancellation is the topic, here is our policy as posted on the website. (Before they can process a booking payment, guests are presented with a complete copy of our rental terms and must check a box indicating they have read/agree to them. A copy of these rental terms is also automatically included with their online credit card receipt.)

Any suggestions for improvement, clarity, etc? Too short, too long, too confusing, too vague? I've never had a cancellation so don't have any real-life test cases to run against our policy.

========================
Cancellation: Please consider purchasing travel insurance for protection against losses due to emergency change-of-plans.
* If you cancel your reservation more than 60 days prior to arrival then all funds received, minus a €200 cancellation fee, will be promptly refunded.
* If you cancel within 60 days of arrival, we will attempt to re-rent the property at the current rate and, if successful, all monies received will be credited back to you minus the €200 cancellation fee.
========================

The €200 is intended to ensure people are serious before they book and covers fees, time, etc. I don't explicitly cover what happens if I re-rent at a lower price than the current rate but I would refund any extra, as appropriate. Appreciate any input. Thanks!
debk
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