A broken glass, and two ways to pay for it
A guest drops a wine glass on the kitchen tile. Your cleaner finds the pieces the next morning. Now you must decide who pays for it.
With a deposit, you take the cost from money you are holding. Then you explain the charge, and the guest may argue. With a waiver, the guest already paid for small accidents like this one. Nobody has to write about a glass.
How a security deposit works
The guest pays an amount before the stay, or you hold it on their card. After checkout your team checks the unit. If nothing is wrong, you give all the money back.
A deposit gives you a clear amount to cover damage. But every deposit is work. Someone must check the unit, decide on a charge and answer the guest. A large deposit can also make a guest choose a different listing.
How a damage waiver works
The guest pays one fee for the whole stay. You keep the fee, and you do not give it back. In return, you agree to cover small accidental damage up to a limit you choose.
The guest pays less up front than a deposit would cost them. You have no money to return and no charge to argue about after a small accident. Over many stays, the fees add up to real money for repairs.
Which one to choose
A deposit fits a unit with costly things that break, like a hot tub or fine furniture. A waiver fits units where damage is usually small: a glass, a stained towel, a scratched pan.
You can also offer both. Give the guest a choice: pay the waiver, or leave the deposit. The guest decides, and you know the answer before arrival.
Write down what the waiver covers
Say what the waiver covers, and give the top amount it covers. Say what it never covers, like damage done on purpose, a party or a lost key. Ask your lawyer or your insurer to read the words before you use them.
Then tell the guest before the stay. A waiver the guest did not understand leads to the same argument as a deposit.
What to write to the guest
Offer the choice in one short message, a few days before arrival. Copy this message and fill in the brackets:
Message to copy
Hi [name], before your stay you can choose how to cover small accidents. Pay a one-time damage waiver of [price], or leave a refundable deposit of [amount]. The waiver covers accidental damage up to [limit]. Reply with your choice and we will send the next step.
How TravelPal does this for you
TravelPal offers a damage waiver in the chat, at the flat price you set. It is a one-time charge that is not refundable. It replaces the refundable deposit and covers the whole stay. TravelPal can send the offer before arrival, so the guest does not have to ask.
The guest pays for the waiver with a link. An Airbnb guest pays inside Airbnb, and other guests pay by card. Your team is told when the guest pays. See how the waiver sits beside the other paid extras, or read how Airbnb guests pay.