Airlines are not the only ones getting creative with fees. One hotel now offers optional “deposit protection” that turns your nonrefundable room deposit into a fully refundable one.
But it comes at a steep price: five percent of the total cost of your booking.
The Marriott Park City isn’t calling it insurance, but it works a lot like an insurance policy. (If you’re wondering why they wouldn’t call it insurance, you probably missed yesterday’s post on Prime Travel Protection Services — but I digress.)
Here’s the notice one guest received by e-mail after he made a reservation for next spring at the property.
Our Deposit and Cancellation agreement during the winter season requires a first and last night’s deposit taken 7 days after the time of booking.
After 7 days of booking, this two night deposit is non-refundable and the reservation can no longer be modified.
Upon arrival, you will be billed for the full remainder of the original booking. Refunds for cancellations, changes, or early departure will NOT be permitted under any circumstances unless you have taken advantage of our Deposit Protection Program.
If you would like to take advantage of the optional Deposit Protection Program, which allows for cancellation, room night changes, or early departure, please initial below and return to us as directed.
You will be billed 5% of the total cost of your booking. Deposit Protection is Non-Refundable.
(Let’s ponder this for a moment. A fee that is supposed to protect you against a hotel’s no-refunds policy is itself nonrefundable. Wow.)
I asked Marriott to explain this optional deposit protection. Spokesman John Wolf said the program was limited to just one Marriott franchisee.
This is not a corporate policy. It was a program that was put in place in Park City for reservations made during ski season. People were asking the hotel, “What if there’s an emergency, and I have to cancel?” And that’s how they came up with this program.
You’re probably expecting me to say this is an awful idea. But no.
The way in which the Marriott Park City has implemented its deposit protection program leaves something to be desired. Rather than notifying guests after they’ve made a reservation, they should inform them beforehand.
Better yet, why not modify its room rates? Guests would pay a little more for a room if they knew it was completely refundable, in much the same way they buy fully refundable airline tickets. The problem, of course, is competition. The higher-priced rooms are less likely to sell when would-be guests are comparison shopping.
But that’s the hotel’s problem. Mine — and yours — is Marriott’s lack of disclosure.
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{ 4 comments… read them below or add one }
I think this hotel gets stuck with a lot of last minute cancellations due to change of plans, weather, whatever. I don’t have a problem with the 5% fee (if it’s only 5% of first and last night), lots of hotels are non-refundable, as long as it’s disclosed before the reservation is made.
Yeah, it would be more logical to have the room refundable at a higher price…
But then the Hotel gets no money at all in the event of a cancellation.
Makes a weird kind of sense.
Its at times like this I’m glad that most of my leisure travel stay’s are via Timeshares. I have never been “bumped” by a timeshare reservation. And as an owner, I get certain perks as well! When I do have to stay in a hotel, I am dismayed at the feeling of being left out in the cold that I don’t feel when I stay at a timeshare…
Ed
web/gadget guru
I think the concept makes perfect sense. As a rule I never make non-refundable hotel reservations except on day of travel, perhaps from the hotel’s parking lot (*smile*). Occassionally, I come across a great non-refundable rate that’s tempting. For example, Starwood has non-refundable rates which can be as much as 1/3 off. I’d be willing to pay 5 percent to feel better about purchasing a non-refundable room.