When somebody makes a booking I usually reply saying the booking is only confirmed when we receive the deposit so please send the deposit within 10 days or the booking will be cancelled.
Unfortunately, I recently received a booking for August, sent my usual reply, and then had to advise two other possible bookings for the same date that the villa was probably booked - just waiting for the deposit.
After 10 days I hadn't received the deposit so sent an email chaser and they advised me that they had booked a different villa.
How do other people handle this type of situation and how long do you give them to send their deposit?
How long do you wait for the deposit to arrive?
How long do you wait for the deposit to arrive?
Last edited by reddevil on Fri Oct 14, 2005 11:05 am, edited 1 time in total.
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What would you attempt to do if you knew you would not fail?
What would you attempt to do if you knew you would not fail?
Yes, that is a nightmare.
I actually ask people to pay at once and to send me a mail when they have done the bank transfer.
If I do not get a mail within the next two bank days I assume they have changed their mind and start to accept new bookings.
I only "got burned" once, and were lucky that they accepted equivalent accommodation.
I actually ask people to pay at once and to send me a mail when they have done the bank transfer.
If I do not get a mail within the next two bank days I assume they have changed their mind and start to accept new bookings.
I only "got burned" once, and were lucky that they accepted equivalent accommodation.
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musicmonkey
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As far as I am concerned a booking is not a booking until the deposit is received. I would expect that to arrive with the booking form. That way if people are serious about booking they make sure they commit with the 'cash' and you know where you stand.
My advice would be, if you have had no money you are free to book the dates with someone else!
My advice would be, if you have had no money you are free to book the dates with someone else!
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Normandy Cow
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I allow normally allow people one week to send in their deposit.
If I were to get another enquiry in the meantime, I would re-contact the original people to advise them that I have had another enquiry, and ask them whether the deposit is on its way. Obviously this is not foolproof, as the first people could say "yes it is", and then still change their minds, but so far this has never happened (but there's always a first time!)
If I were to get another enquiry in the meantime, I would re-contact the original people to advise them that I have had another enquiry, and ask them whether the deposit is on its way. Obviously this is not foolproof, as the first people could say "yes it is", and then still change their minds, but so far this has never happened (but there's always a first time!)
When someone inquires, I hold the house for them for 5 business days. After that, it's open market again...
When I get another inquiry for the same week, I explain the situation to the new inquirers. I then e-mail the original client and ask them to let me know if they have any questions, say we have another inquiry for the same week but they still have first priority, and that if they decide to book somewhere else, I'd appreciate it if they'd let me know. People have been fine with that so far, since I don't put any pressure on them and let them know they still have X days to decide without any fear of being scooped.
In terms of deposits, this is another vote in favor of PayPal, with which there is no justification for a "the check's in the mail" excuse.
Cheers!
When I get another inquiry for the same week, I explain the situation to the new inquirers. I then e-mail the original client and ask them to let me know if they have any questions, say we have another inquiry for the same week but they still have first priority, and that if they decide to book somewhere else, I'd appreciate it if they'd let me know. People have been fine with that so far, since I don't put any pressure on them and let them know they still have X days to decide without any fear of being scooped.
In terms of deposits, this is another vote in favor of PayPal, with which there is no justification for a "the check's in the mail" excuse.
Cheers!
Brooke
I hold for 5 working days too,if the money hasn't arrived by then I feel free to re-book,after contacting the "originals" to let them know.
www.thepetitmanoir.com
www.thepetitmanoir.com
We give our renters one week after they get our contract to get us a deposit (We guess the arrival date).
For us it really depends on the week in question. If its a popular week there is less pressure and we will wait a while longer than the set times as you know you will sell it in any case. For fringe weeks we chase the initial enquirer.
It also really depends on the discussions we have had with the existing booker. We find you tend to get a feel if they are serious or not. In any case we will tell the new enquirer we have a booking request and will contact them to know the outcome, if they are keen on the property they sometimes hold out to hear.
For us it really depends on the week in question. If its a popular week there is less pressure and we will wait a while longer than the set times as you know you will sell it in any case. For fringe weeks we chase the initial enquirer.
It also really depends on the discussions we have had with the existing booker. We find you tend to get a feel if they are serious or not. In any case we will tell the new enquirer we have a booking request and will contact them to know the outcome, if they are keen on the property they sometimes hold out to hear.
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Christine Kenyon
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Good question! We tend to follow the approach taken by Catherine, Brooke and Fraise. I tend to chase for the deposit pretty quickly. I'm not always so quick off the mark for the final payment (but I'm working on it 
)
)Christine
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holiday cottages in Glenridding, Ullswater
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Accept credit cards is the answer!
We booked a place in Gaucin (Andalucia) last Christmas and I faxed the owner my credit card details - I never email my card details, and he didn't have facilities to take card payments on-line.
OK, so the owner happened to also own a small rural hotel across the street, so he was able to take cards.
On the day before we checked out, he billed my card in his restaraunt. But I would've been willing to pay him on the day we did the initial deal. Why? Because I wanted to stay at his place and not miss out.
If you're running a rentals business then you should have credit card facilities - pure and simple. I would never send an owner a cheque. Old skool.
Deposits are hassle, why bother? If I'm interested enough to pay you upfront then why make our lives more complicated by asking for a deposit, then final balance? Do hotel booking sites do that? No, they want full payment upfront (usually)
If you can't obtain a merchant account then use Paypal and become verified.
We booked a place in Gaucin (Andalucia) last Christmas and I faxed the owner my credit card details - I never email my card details, and he didn't have facilities to take card payments on-line.
OK, so the owner happened to also own a small rural hotel across the street, so he was able to take cards.
On the day before we checked out, he billed my card in his restaraunt. But I would've been willing to pay him on the day we did the initial deal. Why? Because I wanted to stay at his place and not miss out.
If you're running a rentals business then you should have credit card facilities - pure and simple. I would never send an owner a cheque. Old skool.
Deposits are hassle, why bother? If I'm interested enough to pay you upfront then why make our lives more complicated by asking for a deposit, then final balance? Do hotel booking sites do that? No, they want full payment upfront (usually)
If you can't obtain a merchant account then use Paypal and become verified.
Having credit card facilities costs commission which owners generally have to bear (unless they charge a 'convenience' fee for the person paying). There are cheaper/free ways of receiving money.Garri wrote:If you're running a rentals business then you should have credit card facilities - pure and simple. I would never send an owner a cheque. Old skool.
Not asking for full payment at the time of booking is beneficial to the renter, not the owner. As a renter I am much happier to pay 25%, with the balance payable later, than the whole lot straight away.Deposits are hassle, why bother? If I'm interested enough to pay you upfront then why make our lives more complicated by asking for a deposit, then final balance?
Paolo
Lay My Hat
Lay My Hat
Paolo said
With my French bookings, I don't take the final balance until the renters arrive on site (as per Gites de France).
I totally agree. People sometimes book over a year in advance for their holidays, especially large groups. However, they may still be in the process of paying for the current years holidays. Or they book just after Christmas when they can't afford to pay out a lot of money immediately. So a 25% deposit works very well in all instances, except for last minute bookings when people expect to pay the total balance.As a renter I am much happier to pay 25%, with the balance payable later, than the whole lot straight away.
With my French bookings, I don't take the final balance until the renters arrive on site (as per Gites de France).
Yes, but you're running a business, right? I run a business too, and I take credit cards, so well aware of commission costs. Any business offering these facilities bears the cost - not the buyer, that's life.Having credit card facilities costs commission which owners generally have to bear
For example, if you had a merchant account (in the UK) you would only be charged a straight 50p if someone paid by debit card. That's not bad, is it?
Yes, but are they quicker than taking cards?There are cheaper/free ways of receiving money.
As someone who has been running my own business for over 10 years I've yet to find any 'free' ways to receive money! Even when clients send me money from overseas my bank takes 7 pounds for the privaledge.
I can't run my company with a personal bank account so have to use a business account.
Again, as a customer I wouldn't want to pfaff around with sending 25% desposit cheques etc. I'm happy to pay all upfront
by credit card, safe in the knowledge that it's booked and protected by my card issuer.
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Alan Knighting
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Paolo,
In my experience Garri is right in saying there are big differences between personal accounts and business accounts.
I used to be the managing partner of a fairly large UK law firm and, as such, ran the firm including its finances. The firm's banks would make a charge on every single transaction going through the Office account (as opposed to Clients' Account). The individual charges were very small but when applied to an account which had many millions of pounds going through it in any one year they added up to a substantial figure. The only way the firm could avoid those charges was to accept a lower than normal interest rate on deposit accounts.
When it comes to personal accounts I think you are right, so long as there is no cross-border or cross-currency element involved.
That brings us back to the question bothering many property owners. How can one take a rental payment in £'s and convert it to €'s at minimal cost?
When sitting on your terrace enjoying a cool and relaxing moment after a long hard and hot day have you never noticed a slight itching in your back pocket? I'll tell you what it is. It's the fingers of the tax man and your banker getting between you and your hard earned money.
Regards
Alan
In my experience Garri is right in saying there are big differences between personal accounts and business accounts.
I used to be the managing partner of a fairly large UK law firm and, as such, ran the firm including its finances. The firm's banks would make a charge on every single transaction going through the Office account (as opposed to Clients' Account). The individual charges were very small but when applied to an account which had many millions of pounds going through it in any one year they added up to a substantial figure. The only way the firm could avoid those charges was to accept a lower than normal interest rate on deposit accounts.
When it comes to personal accounts I think you are right, so long as there is no cross-border or cross-currency element involved.
That brings us back to the question bothering many property owners. How can one take a rental payment in £'s and convert it to €'s at minimal cost?
When sitting on your terrace enjoying a cool and relaxing moment after a long hard and hot day have you never noticed a slight itching in your back pocket? I'll tell you what it is. It's the fingers of the tax man and your banker getting between you and your hard earned money.
Regards
Alan