How are guest payments collected?

Guest payments can be collected in one of the following ways:

  • Hotel collect: You are responsible for charging the payment. Collect a credit card from the guest and set up auto payments, or collect the payment manually. You can also charge via cash or use an external payment processor, and record the payment in Guesty.
  • Channel collect: The booking channel handles the payment and sends the hosts their payouts directly, usually via bank transfer, on a monthly basis. 
  • VCC: The booking channel sends a virtual credit card with a prefilled amount to charge, but you need to make sure the reservation has an auto payment to charge it.

How payments are collected determines the merchant of record - the function which processes payments and taxes, ensures compliance, and issues refunds and chargebacks. If the channel collects the payment, it is the merchant of record.

Payment collection options by booking channel

Some channels offer multiple payment collection options. 

Pro users Lite users

Booking channel

Hotel collect

Channel collect

VCC

Airbnb

   

Agoda

 

Booking.com

BookingPal

   

Booking engine

   

Booking engine API

   

Channels connected through Siteminder

 

Expedia

Feratel

   

Florida Panhandle

   

Glamping Hub

   

Google (Bookings happen in PMCs Booking Engine)

 

Hawaiian Islands

   

Holidu

   

HVMB (aka Marriot)

   

HomeToGo - UE properties

   

HomeToGo - non-UE properties

   

Hopper

   

Misterb&b

   

Plum Guide

   

Reconline CIH

   

Rentals United

   

Smiling House

   

Smoky Mountains

   

Travelstaytion

   

Trip.com

   

TripAdvisor

   

Whimstay

   

Vrbo 

 

Booking.com

You can collect your Booking.com reservation payments though Guesty, or use one of Booking.com's payment solutions.

For both options, the reservation's total amount and payment breakdown in Guesty are based on Booking.com, and Booking.com payment records should be used as the source of truth.

Learn about your different payment collecting and processing options below.

Charge your guests through Guesty

We recommend you use a payment processor supported by Guesty for your revenue management.

Important:

Guesty Lite users can only use Stripe as a payment processor.

If you are using a Guesty-supported payment processor, credit card transactions in Guesty will be processed through your connected payment processor. The accommodation fare, cleaning fee, and taxes will be collected by Guesty. Also, any price adjustments to the reservation invoice (such as making an accommodation fare adjustment, or adding additional fees to a reservation by default), will be collected from the guest's credit card.

If you’re not using one of Guesty’s supported payment processors, you need to collect your guests' credit card details from the Booking.com Extranet and charge your guests independently. See how to find your guest's credit card details on the Extranet.

Charge your guests through Booking.com

Booking.com offers two payment services: Payments by Booking.com (bank transfer) and online payments (VCC). Both options are subject to Booking.com approval. Check your eligibility and sign up via your Extranet’s finance page. Note that Booking.com charges a commission for both services.

When choosing Booking.com to charge your guests, reservation payments, including security deposits and authorization holds, won't be collected or synced to Guesty, and the guest's credit card details will not be imported into Guesty. We recommend you record your payments manually in Guesty. Otherwise, reservations will remain unpaid in your reservations reports.

Any payment adjustments you set in Guesty won't apply to Booking.com, including additional fees added by default. However, additional fees set in Guesty will appear in Guesty's reservation invoice, despite not being collected by Booking.com. Set your additional fees in the Booking.com Extranet to be collected.

Learn more about the two methods below.

Payments by Booking.com (Bank transfer)

Booking.com will charge your guest’s credit card, and the accommodation fare, cleaning fee, and taxes will be collected by Booking.com as well. You can add additional fees to your reservations via the Booking.com Extranet.

You will be paid via bank transfer once a month, with the channel's commission already deducted for each reservation (the processing fee is 1.1% - 3.1% of the total payout). Reservations will be received in Guesty once they're paid ("pre-paid" reservations). If you notice a discrepancy between the Guesty invoice and Booking.com's, it is most likely due to the processing fee. 

Auto Payment rules in Guesty won't apply to this method. 

Online payments (VCC)

For this method, Booking.com will provide you with a virtual credit card. You can view the VCC details on the Booking.com Extranet.  When a guest makes a reservation and pays for it online, Booking.com will send you a VCC with the reservation details, and you can charge it with the exact amount of the reservation price. See Booking.com's terms and conditions. You can also use Guesty's Auto Payment rules to charge the VCC.

Booking.com will collect the accommodation fare, cleaning fee, and taxes. If you need to collect additional fees from the guest after charging the VCC, obtain the guest's personal credit card details since the VCC will be empty.

Expedia (Pro users only)

Expedia has three business models for collecting payments from guests:

  • Expedia collect
  • Hotel collect
  • Expedia traveler preference, which combines the two models above

Information about these models can be seen in the Expedia group documentation.

Expedia collect

Payment is collected through an Expedia Virtual Card (EVC) that is provided to Guesty with a pre-loaded amount. A new EVC is assigned to each reservation and is deactivated six months after check-out. If you have auto payments set up, the rules will be overridden and the payment will be collected at check-out when the EVC becomes available.

Hotel collect

You are responsible for collecting the payment manually and recording it. This method is also known as "Pay Later" and is sometimes referred to as "HC", "Agency", or "Property Collect". This business model allows travelers to book same-day and next-day reservations on Expedia sites without a credit card and add a credit card after the reservation is made.

If your setup with Expedia is hotel collect and the listing has defined auto payment rules, the reservation will be charged according to the auto payment rules.

TripAdvisor (Pro users only)

TripAdvisor handles all payments for reservations. You'll receive an invoice from TripAdvisor for each processed payment. Payments are sent to your PayPal or bank account 24 hours after check-in, including in cases of a cancellation by the guest.

You can change the listing's payment schedule whenever needed.

Choose between "Full payment", where guests must make the full payment upon booking, or "Split payment", where guests can make smaller payments until check-in. You can also specify the number of days in which guests will need to make a payment before their quote expires.

Setting up or changing scheduled payments for TripAdvisor reservations

Follow the instructions below to set up or change a listing's payment schedule.

Step by step:

  1. Sign in to your Guesty account.
  2. In the top navigation bar, click the mode select menu and select Growth mode.
  3. Click Distribution.
  4. Click Connected listings, under the TripAdvisor thumbnail.
  5. Click the relevant listing. For a multi-unit, each sub-unit should be updated individually by accessing the sub-unit's settings.
  6. In the listing's menu, click Pricing & Policies.
  7. In the dropdown menu, click Channel payment settings.
  8. In the TripAdvisor section on the right-hand side, click Edit.
  9. Under the "Payment schedule" field, select either "Split" or "Full" payment.
    •  When you select Split payment, the guest will be able to pay in installments.
      1. Under "Payment percentage" field, enter the percentage of the payment of the installments.
      2. Under "How long before arrival", select the number of days before the check-in date that the guest's payment must be fulfilled.
    • When you select Full payment, the guest will need to pay 100% up front.
  10. Under the "How long until a quote expired" field, select the number of days the reservation's price quote will be valid for.
  11. Click Save.

Vrbo

Guesty Lite users:

If you connected Vrbo after 19 Feb 2024, payment is collected in Vrbo. If you started connecting prior to this date, follow the instructions below.

You can collect payments for Vrbo reservations in Guesty via Stripe. You can also collect them manually outside of Guesty.

Setting the payment options is done via Pricing & Policies>Channel Payment Settings in your property page.

Regardless of which option you choose, you must set up auto payment rules for each listing you want to publish to Vrbo.

Learn more about payment options in Vrbo

Payment processor

If you select this as the only payment method, the guest will be required to enter their credit card details when they book the reservation on Vrbo. The payments for their reservation will be automatically collected via your payment processor according to the auto payment rules set up on the listing.

Invoice payment (bill me)

Under "Invoice payment" there are four possible payment options:

  • Credit card
  • Cash
  • Check
  • Debit card

If you select at least one of these options, the guest will not be required to enter the details of any payment method when they book the reservation on Vrbo. They will be informed of the payment method(s) offered by you, and the payment for their reservation will be automatically recorded in Guesty according to the auto payment rules set up on the listing. You will need to contact the guest to retrieve their payment method and collect the payment outside of Guesty.

Tip:

If you need to edit the recorded payment due to incorrect information, issue a refund for the payment and then record the payment manually.

Payment processor and invoice payment

If you select both "Payment Processor" and at least one of the options under "Invoice payment" payment methods, the guest will be able to choose how they want to be charged when they book the reservation - based on the explanation provided above for each option.

The payment methods can be updated at any time by following the instructions below or watching our video.

Note:

Vrbo requires payments to be collected via Stripe if you are located in the Asia-Pacific (APAC) region. Collecting payments via other methods is not currently supported by Vrbo in this region.

You can change the payment method per listing or on the account level (Pro users only). The Vrbo account's settings above will not be affected by a change made to a listing's payment method.

Updating a Vrbo account's payment method

Pro users Lite users

Step by Step:

  1. Sign in to your Guesty account.
  2. In the top navigation bar, click the mode selector and select Growth mode.
  3. Click Distribution.
  4. Click the HomeAway/Vrbo thumbnail.
  5. Next to the relevant account, click the icon.
  6. Under "Payment Methods", edit the relevant details.
  7. Click Save.
Updating a Vrbo listing's payment method

Step by step:

  1. Sign in to your Guesty account.
  2. In the top navigation bar, click, the mode selector and select Growth mode.
  3. Click Distribution.
  4. Click the Vrbo thumbnail.
  5. Click the relevant Vrbo account.
  6. Click the relevant listing:
  7. In the listing's menu, click Pricing & Policies.
  8. In the drop-down, click Channel payment settings.
  9. In the Vrbo section on the right-hand side, click Edit.
  10. If already turned on, turn the "Use your account's default settings" toggle off.
  11. Edit the relevant information.
  12. Click Save.

 

Payment collection for direct booking integrations

For reservations received via the  Guesty Booking Engine (Booking Website for Lite uses) or via the Booking Engine API (Pro users only), process payments either via Guesty or outside of Guesty.

Processing payments via Guesty

To collect guest payments through Guesty, connect a payment processor. This option will allow you to approve reservations automatically. Set auto payments or collect payments manually.

Processing payments outside of Guesty

Outside of Guesty, you can collect guest payments via bank transfer, cash payment, or other methods. Send your guests payment instructions and track each payment. We recommend recording the payments as paid outside of Guesty, marking reservations as "paid manually" in the reservation page financial section. Otherwise, reservations will remain "unpaid" in Guesty reports.

If you manage payments outside of Guesty, reservations will be made as requests to book and auto payments cannot be used.

Booking Engine API (Pro users only)

When you create or edit a Booking Engine API instance, choose between three payment options:

  • Guesty invoice (for request to book): Use Guesty's guest invoice to collect the payment.
  • Stripe through Guesty: Setting up Stripe Checkout to process the payment directly on the Booking Engine API and pass the token to Guesty via the API. You can set up auto payments with this payment option.
  • External payment processors: Outside of Guesty, you can collect guest payments via bank transfer, cash payment, or other methods. Send your guests payment instructions and track each payment, then record the payment in Guesty.

Note:

If you choose the Only inquiries booking option, you can only collect payments using the Guesty invoice. If you choose Only instant booking, all three of the above options will be available to you. 

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