Use this article to set up security deposits for your Hospitable properties, understand how deposits are collected and released, manage deposit statuses from the Inbox, waive deposits for individual reservations, and troubleshoot collection issues.
Hospitable's built-in security deposits feature helps hosts protect their properties by automating the collection, management, and release of deposits for Direct Premium, Airbnb, and Booking.com reservations. This removes the need for third-party tools and creates a smoother experience for both hosts and guests.
Hospitable Security Deposits are not currently available for Vrbo Legacy (the older, Chrome extension-based Vrbo connection) or Vrbo Partner connection (the newer, API-based Vrbo connection) reservations.
Security deposit support for Vrbo Partner connection reservations is on the roadmap.
Security deposits are collected and managed directly within Hospitable. Hosts can track deposit statuses, waive deposits for individual reservations, and submit charge requests when needed.
What is a security deposit?
A security deposit is an amount of money collected from a guest before check-in to cover issues such as:
Accidental or intentional damage
Missing or stolen items
Excessive cleaning required after check-out
If no issues occur during the stay, the deposit is released automatically after check-out.
In most cases, the deposit is placed as an authorization hold on the guest’s payment method rather than charged immediately. This means the funds are temporarily reserved but not withdrawn from the guest’s account.
Who Can Use Security Deposits?
This feature is currently available for Direct Premium, Airbnb, and Booking.com reservations for users on the Host, Pro, and Mogul plans, as well as users subscribed to Direct Premium.
For Direct Basic (a Direct subscription tier), hosts can set a manual deposit amount shown to guests, but authorization holds require an external setup through Stripe.
Not supported: Vrbo Legacy reservations, Vrbo Partner connection reservations, and manual reservations. Security deposits apply to new reservations only and do not affect existing bookings.
How To Set a Security Deposit Amount
Go to Properties
Select the property you want to add a deposit to
Go to Pricing > Security deposits > Hospitable automatic deposits
Enter the amount you'd like to collect between $100-$5000
Ensure your payout method is verified by navigating to Settings > Payout and completing the verification process.
Save your changes.
Your changes are saved. The new security deposit amount will apply to all newly booked reservations going forward.
Hospitable security deposits currently support USD, GBP, and AUD only. Additional currencies are planned for future releases.
Property pricing settings in Hospitable showing the Hospitable automatic deposits section and deposit amount field
How Do Security Deposits Work?
Once enabled, Hospitable automatically manages the deposit process for supported reservations.
When Are Deposits Collected and Released?
Deposits are collected automatically 2 days before check-in.
The collection may appear as either a hold or a charge depending on the guest’s card provider and payment network.
Deposits are automatically released 2 days after check-out if no charge request is submitted.
How Are Guests Notified?
Hospitable automatically informs guests throughout the process.
Guests can:
See the deposit amount and collection timeline during booking
Review deposit details in the guest portal
Receive reminder emails before collection
Submit payment details directly through Hospitable
Pre-check-in messages are withheld until the guest has completed the security deposit task and submitted payment information.
What Can Hosts Control?
Hosts can:
Track deposit status from the Inbox
View scheduled collection and release dates
Submit charge requests when issues occur
Waive deposits for individual reservations
Inbox reservation panel in Hospitable showing the security deposit status and deposit controls
What Are the Security Deposit Statuses?
The Inbox displays real-time deposit statuses for each reservation.
Pending
The reservation has not yet been fully accepted. Deposits cannot be placed until the booking is completed.
Scheduled
Guest payment details have been submitted, and Hospitable will attempt to secure the deposit 2 days before check-in.
Secured
The deposit was successfully secured. Hosts can submit a charge request if needed.
Released
The deposit has been fully or partially released after check-out.
Cancelled
The host has cancelled the security deposit for this reservation. The guest is no longer required to submit payment for a security deposit.
How To Disable Security Deposits
How To Disable Deposits for Future Reservations
To disable security deposits for future bookings:
Go to Properties → Pricing → Security Deposits.
Change the setting to Leave my booking unsecured.
Save your changes.
Repeat these steps for additional properties if needed.
Your changes are saved and the updated setting is reflected in the UI. Deposits will no longer be collected for newly booked reservations.
Security deposit settings page showing the option to disable automatic deposits
How To Waive a Deposit for an Existing Reservation
This option only affects the selected reservation and does not change future security deposit settings.
To remove a deposit from an existing reservation:
Open the reservation thread in the Inbox.
Click Remove deposit.
Confirm the change.
The deposit is cancelled and will show as Cancelled in the Inbox. The guest is not notified and will no longer be required to submit a security deposit for this reservation.
This flexibility allows hosts to enable security deposits by default while waiving them for specific reservations when needed.
Vrbo is not supported. Pending security deposits cannot be removed during the Inquiry, Pre-approval, or Request to book stages. Deposits can only be removed after the booking is completed.
Inbox reservation panel in Hospitable displaying the Remove deposit button for a scheduled deposit
How To Reinstate a Waived Deposit
If you accidentally remove a deposit for a reservation, you can reinstate the security deposit for that reservation.
To reinstate a security deposit for a reservation with a cancelled security deposit:
Open the reservation thread in the Inbox.
Click Reinstate deposit.
Confirm the change.
The security deposit's status will be reset and your guest will be asked to add their payment details.
Inbox reservation panel in Hospitable displaying the Reinstate deposit button for a cancelled deposit
How To Communicate With Guests About Your Security Deposit
To help set clear expectations, Hospitable recommends updating your listing description and rental agreement to include:
The deposit amount
When the deposit is collected
When the deposit is released
That Hospitable securely processes the deposit
What Are the Benefits of Hospitable Security Deposits?
Hospitable security deposits help automate and simplify the deposit process.
Key benefits include:
Built-in payment processing managed directly within Hospitable
Reduced reliance on external tools or manual workflows
Automated guest communication and reminders
Deposit tracking directly from the Inbox
Charge request submission when issues occur
Per-reservation flexibility through the Remove Deposit option
Additional protection against payment disputes and chargebacks
What Does Hospitable Charge for Security Deposits?
Hospitable charges a processing fee equal to 2% of the secured deposit amount.
This fee is added to your monthly subscription invoice only when a deposit is successfully secured.
Example:
A $500 deposit results in a $10 processing fee.
Some hosts offset this fee by increasing their cleaning fee by a similar amount.
How To Troubleshoot Deposit Issues
If deposits are not being collected correctly, confirm that your payout account is fully verified.
Go to Settings → Payments & payouts → Bank accounts.
Complete the bank account verification process.
Wait for verification confirmation.
Once verification is complete, future reservations will follow your configured deposit settings.
Payments and payouts settings page showing bank account verification options in Hospitable
Frequently Asked Questions
Are security deposits charged immediately?
Security deposits are not always charged immediately. Depending on the guest's payment provider, the deposit may appear as either an authorization hold — a temporary reserve on the card, not a withdrawal — or a charge.
When are deposits released?
Deposits are automatically released 2 days after check-out if no charge request is submitted.
Can I remove a security deposit for a single reservation?
Yes, you can remove a security deposit for a single reservation. You can remove a security deposit for a single reservation using the Remove deposit option in the Inbox. This is available for Airbnb, Booking.com, and Direct reservations only.
Does this feature support manual reservations?
Hospitable security deposits are not currently available for manual reservations. Hosts who need to collect deposits for manual reservations must do so outside of Hospitable.
Does this feature support Vrbo reservations?
Hospitable security deposits are not currently available for Vrbo Legacy (the older, Chrome extension-based Vrbo connection) or Vrbo Partner connection (the newer, API-based Vrbo connection) reservations. Security deposit support for Vrbo Partner connection reservations is on the roadmap.
Can I reinstate a waived deposit?
Yes, you can reinstate a waived (cancelled) security deposit. You can reinstate a removed security deposit using the Reinstate deposit option in the reservation's conversation in your Inbox. This is only available for Airbnb, Booking.com, and Direct reservations.