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Hospitable Security Deposits: Overview

Find out how Hospitable can collect, manage & release your security deposits

Written by Tim Parry

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.

Vrbo is not currently supported. Hospitable Security Deposits are not currently available for Vrbo reservations, including Vrbo Official. Vrbo support is on the roadmap. For Vrbo bookings, hosts can rely on Vrbo’s own refundable damage deposit or property damage protection at the channel level.

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 This means the funds are temporarily reserved but not withdrawn from the guest’s account.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, hosts can set a manual deposit amount shown to guests, but authorization holds require an external setup through Stripe.

Not supported: Vrbo (including Vrbo Official) and manual reservations. Security deposits apply to new reservations only and do not affect existing bookings.


How To Set a Security Deposit Amount

  1. Go to Properties

  2. Select the property you want to add a deposit to

  3. Go to Pricing > Security deposits > Hospitable automatic deposits

  4. Enter the amount you'd like to collect between $100-$5000

  5. Ensure your payout method is verified by navigating to Settings > Payout and completing the verification process.

  6. Save your changes.

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 Security Deposits Work

Once enabled, Hospitable automatically manages the deposit process for supported reservations.

Deposit Collection Timeline

  • 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.

Guest Communication

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.

Host Controls

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


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.


How To Disable Security Deposits

Disable Deposits for Future Reservations

To disable security deposits for future bookings:

  1. Go to Properties → Pricing → Security Deposits.

  2. Change the setting to Leave my booking unsecured.

  3. Save your changes.

  4. Repeat these steps for additional properties if needed.

Security deposit settings page showing the option to disable automatic deposits

Waive Deposits for Existing Reservations

This option only affects the selected reservation and does not change future security deposit settings.

To remove a deposit from an existing reservation:

  1. Open the reservation thread in the Inbox.

  2. Click Remove Deposit.

  3. Confirm the change.

This flexibility allows hosts to enable security deposits by default while waiving them for specific reservations when needed.

Per-reservation waiving through Remove Deposit is currently available for Airbnb, Booking.com, and Direct reservations only. 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


Recommended Guest Communication

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


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


Pricing and Fees

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.


Troubleshooting Deposit Issues

If deposits are not being collected correctly, confirm that your payout account is fully verified.

  1. Go to Settings → Payments & payouts → Bank accounts.

  2. Complete the bank account verification process.

  3. 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?

Not always. Depending on the guest’s payment provider, the deposit may appear as either an authorization hold 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 deposit for a single reservation?

Yes. Hosts can use the Remove Deposit option in the Inbox for supported reservations.

Does this feature support manual reservations?

No. Manual reservations are not currently supported.

Does this feature support Vrbo reservations?

No. Vrbo and Vrbo Official reservations are not currently supported.

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