A guaranteed reservation is an agreement between a hotel and a guest that a room will be available, regardless of arrival time, secured by payment guarantee. Payment requirements vary, and compensation may be offered if a room is not available. Terms vary by hotel, and guests may forfeit some payment if they cancel. The hotel must disclose any terms or requirements, and additional terms must be in writing.
A guaranteed reservation is an agreement for hotel accommodation, secured by providing the hotel with a payment guarantee. Typically, a guaranteed reservation is an agreement between the hotel and the guest that a room will be available, regardless of the guest’s arrival time. Guests using this option authorize the hotel to debit the account associated with the reservation, even if the guest does not check-in for the booked dates. In short, a guaranteed reservation is an agreement between both parties that, regardless of the circumstances and any applicable standing policies or customary limitations, the guest will have a room and the hotel will receive payment.
Each hotel has its own policies regarding payment requirements for various types of reservations, including guaranteed accommodations. Some hotels only require a credit card to arrange this type of booking. Others offer the option of using a cash deposit or providing business billing information, known as a business guarantee. For most hotels, paying for the accommodation in full, usually before arrival, guarantees that the rooms will be available.
The exact terms of a guaranteed reservation also vary from country to country and hotel to hotel. If a room is not available when a guest arrives, the hotel usually agrees to arrange similar accommodations at an alternative hotel. Most hotels compensate the guest for the inconvenience in some way. Compensation may include a free stay at a future date, additional free nights, or food stamps. Shuttle service to alternative hotel can also be offered.
In regards to the guest’s responsibilities, some hotels require guests to arrive within a certain amount of time after the standard check-in time. Other hotels agree to keep the room for the whole night or for the period of the reservation. When a full cancellation is required, the guest may forfeit some or all of any cash deposit or be required to pay a percentage of the intended stay. Since few agencies regulate the terms of a guaranteed reservation, the hotel is free to set the terms it deems appropriate.
Prior to completing a guaranteed reservation, the hotel may be required by local ordinance to disclose to the guest any terms or requirements associated with the reservation. Printed contracts or reservation terms provide evidence of a reservation guarantee in cases where the hotel does not properly record the type of reservation. Additional terms outside of the hotel’s normal warranty policy are generally left to the discretion of hotel management, but typically must be in writing to provide remedy for non-compliance.
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