Travel&Vacation

Don’t ever assume that you can cancel a hotel reservation without penalty up to 4 pm on the day you were supposed to arrive. While some hotels still adhere to that old policy, others have adopted more stringent restrictions. Whenever you guarantee a room with a credit card, or even just reserve with a card, you may be on the hook for the first night’s payment if you don’t cancel well in advance.

A recent email from a reader illustrates the point:

“In November 2005, my husband and I traveled to Naperville, Illinois, to attend a funeral. We made a phone reservation to stay at a motel about 36 hours before we were scheduled to arrive. We were delayed, however, and called about 2:30 p.m. to cancel our reservation for that night. Although this chain previously had a policy that allowed you to cancel before 6 p.m. without charge, the hotel billed our credit card for one night. The chain’s home office representative told us that it had changed its policy and now charged a one-night fee for cancellations less than 72 hours before arrival.

“Please warn your readers that as independent and chain motels have changed hands, travelers should inquire each time about the motels’ current cancellation policies. They are no longer standard.”

This reader is certainly correct. And the problem isn’t due just to changes in ownership. Cancellation rules also depend on where and how you make your reservation. Although individual hotels have their own policies, here are some general guidelines about cancellation:

• The old policy—no penalty if you cancel by 4 p.m. (or 6 p.m. depending on the hotel) on the day you were supposed to arrive—still works at many hotels. And it’s still the corporate norm at some chains. But even those chains say that individual locations may adopt different policies.
• These days, you almost always have to provide a credit card to make any sort of reservation. And even when a reservation is not prepaid—when the rate is based on the old system of pay when you check out of the hotel—the hotel may run your card as soon as you make the reservation. In many cases, then, a cancellation requires processing a refund rather than just not making a charge in the first place.
• In general, cancellation rules are less stringent when you book rooms through a hotel or its chain’s website directly, rather than when you book through a third-party agency or discounter.
• Even when you book directly with a hotel, however, the cancellation penalty may be linked to the rate. Highly discounted or promotional rates may require cancellation far in advance. In fact, many highly discounted rates require prepayment, even at hotels where the usual policy is that you don’t have to pay until you check out of the hotel.
• Most hotel rooms booked through third-party agencies and discounters are likely to be prepaid rather than pay-when-you-leave. Cancellation limits on those bookings are usually anywhere from 24 to 72 hours before arrival. And even if you cancel within the specified limit, you probably won’t get back the agency’s booking fee.

However you book, cancellation limits are apt to be significantly more stringent than average at some kinds of hotels:

• Resorts, especially in high season
• Hotels/motels booked for stays during major conventions or meetings
• Small hotels/lodges with limited numbers of rooms
• Vacation rentals

The obvious conclusion from all this is simple: Any time you reserve a room through a phone reservation, ask about cancellation policies. And any time you reserve online, be sure to check the cancellation provisions, which will be there somewhere. If they’re unreasonable, reserve somewhere else.