You can set up a payment settlement option for a rate group when you create rate groups with same cancellation policies. Choose manual settlement, for your employees to manually process payments or set up automatic settlement to process payments automatically through payment gateways. You can set up only one automatic settlement type per rate group.

To set up automatic settlement:

  1. In the Settlement field, choose Automatic.

2. In the Settlement Action field, choose Charge credit card to automatically charge the credit card on file.

Choose Create preauthorization if you only want to preauthorize the card on file.

Note: The card is not charged until an employee processes it manually.

For example: For corporate rate group, choose Create preauthorization to avoid charging cards if you have invoiceable company contracts.

3. The Settlement trigger field is the time you choose for the system to process the settlement. Select:

  • Confirmation: to charge upon reservation confirmation.

  • End: to charge at the departure date, at the official check out time specified in your stay settings.

  • End date: to charge at mid-night of the departure date.

  • Start: to charge at the arrival date, at the official check in time specified in your stay settings.

  • Start date: to charge at midnight of the guests' arrival date.

For example: For non-refundable rate group, choose Confirmation.

4. The Settlement offset value is a time adjustment in hours, days or months to modify the settlement trigger. You can select positive value to add time and a negative value to subtract time.

For example: For guest check in at 2 pm, choose -4 hours to charge your guest at 10 am. Likewise, typing in -1 day would cause automatic settlement to take place a day before check in.

You can set your Settlement offset as 1 hour, for non refundable rates, to avoid charging customers who mistakenly make reservations.

5. Settlement value indicates the percentage (%) of total booking value to be charged at settlement. Choose 100% for full payments.

You can choose more than 100% to automatically create preauthorizations for including an extra charge in case of damages.

Note: You can charge lower than your preauthorization amount at check out but you cannot charge higher.

6. Select the number of days/nights in the Maximum days/nights for settlement field to charge as part of automatic settlement. Leave it blank to charge for the full stay.

7. In the Extent field, choose items to include under automatic settlement.

  • Select Additional expenses to include cancellation fees, rebates, deposits, exchange rate difference, custom items, service charges, city tax/city tax discounts (if you use the fixed city tax feature) and surcharges.

  • Select Days or Nights to include days or nights.

  • Select Products, to include products in the automatic settlement.

8. In the Options field,

a. Choose Automatic deposit settlement to,

  • automatically post deposits to guests' bills,

  • automatically close bills with deposits posted, at the settlement trigger.

Note: We recommend you choose this option if you are legally required to account for tax upon receiving payments, so you don't have to post deposits manually.

b. Choose Create settlement task, to automatically create a task for a responsible employee or department assigned in your stay setting, to obtain payment if the settlement fails.

Note: If you don't have a responsible person/department set up, the task is not assigned to anyone.

9. Enter a Short name and Description for your rate group and click Save.

After you set up payment automation for a rate group you can create its cancellation policy.

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