What to do when a security deposit declines due to "insufficient funds"?

Learn what to do when a security deposit declines for a reservation:

Establishing your business practices and risk tolerance

If the security deposit fails, your team will be notified and you can choose to either request a new card or inform the guest that you are not willing to host them. In order to make the decision that's best for your business, it's important to create a set of rules to cover a wide variety of scenarios.

What to consider:

In general, if there were other concerns flagged (especially if payment was initially an issue), then a declined deposit might be a sufficient reason to cancel. However, if there’s a possibility it's an honest and temporary issue, many PMs would choose to give the guest another chance to enter a different credit card (or free up funds on the existing one).

In that case, you can “retrigger” the request to charge a security deposit by directing the guest to go through the security deposit screen again to enter the new card.

Note: If funds are being released on the old card then no action is required, as Autohost will re-attempt to charge the pre-authorization every few hours.

 You can send the guest the dedicated payment validation/security deposit link by clicking on Links tab of the specific reservation (see image below). 


Important note: The actual security deposit (the pre-authorization that starts as early as 7 days before check-in) will only be processed for verified/approved guests. The security deposit is meant to hold funds on pre-authorization for the duration of a guest's stay, not to charge as validation (that’s the pre-authorization you see during the payment validation stage). To learn more about security deposits, check out this article.