FAQ's about Travel Industry Terms

Merchant Deposits
If you are using Electronic Data Capture (EDC) to process your credit card transactions, DO NOT submit paper sales drafts for deposit into your bank deposit account. Transaction information should be transmitted to ResAvenue using terminal settlement at the end of each business day. Refer to www.resavenue.com for information on completing terminal settlement procedures. If you are unable to complete a terminal settlement, please contact our support staff for further instructions.

Lodging Merchants Best Practices
Because of the nature of the lodging market, and the Travel and Entertainment (T&E) industry, lodging merchants require special authorization and transaction procedures when accepting credit and debit cards for reservation deposits and payment for accommodations and services. ResAvenue has provided both best practices and requirements that can be found in the exhibit section.

Key Dates for Hospitality Merchants:

Check-In Date
	Initial Authorization date
	Must be after “valid from” date on card
	Must be prior to “expiration date” on card

Delayed or Amended Charges
If the Cardholder has consented to be liable for delayed or amended charges (i.e. costs for room, food or beverage charges), they must be processed to the Cardholder's account within 90 calendar days of Checkout date. This must not include charges for loss, theft, or damage. Complete the transaction and include the words "Signature on File" on the signature line. Send the Cardholder a copy of any amended or additional charges added to a Transaction Receipt within 5 days of entering the charge. Send to the address shown on the folio.

Data Accuracy
	Name and Location The business establishment where the transaction took place.
	Transactions Date Lodging checkout date or prepayment date for a Visa Advance Deposit.
	Merchant Category Code Generic XXXXXX (lodging), or merchant specific XXXXXX

Cardholder Signature
Merchant may deposit the Transaction Receipt without a Cardholder signature if Merchant has the signature on file and cardholder has consented to be liable for charges. Merchant must write the following words on the signature line of the

Transaction Receipt:
No Show	NO SHOW
T&E Advance Deposit	ADVANCE DEPOSIT
Express Check-Out	SIGNATURE ON FILE
Delayed Charges	SIGNATURE ON FILE

Authorizations: Card Present
The full magnetic stripe must be read and transmitted with the initial authorization request.
Additional/incremental authorizations do NOT alter the original “card present” indicator.

Estimated Transaction Authorization
A lodging establishment must estimate transaction amounts for Authorization based on the following:
	Cardholder's intended length of stay
	Room rate
	Applicable tax
	Other allowed charges

Incremental Authorization
Visa allows incremental authorizations. Data from original authorization must be retained and returned with incremental authorizations.

Total Authorized Amount
Visa allows the sum of the initial and incremental authorizations, less a MAXIMUM of one reversal per transaction, to be used to adjust the Total Authorized Amount to be equal to the settled amount. If sum of initial and incremental authorizations is within 15% of the settled amount, an authorization reversal is not required. Understand and promote the recording of all authorization amounts, approval codes, and authorization dates on the folio.

Request for Copy / Travel & Entertainment (T&E) Original
1. Fulfill requests for copy (RFC) or T&E document(s) in a timely manner
2. Fulfill request with substitute draft rather than risk loss
3. Substitute Transaction Receipt Requirements for Lodging Transactions:

Advance Deposit Service for Pre-payment of Resort Lodging Accommodations - Sales Draft Checklist

To accept an Advance Deposit reservation, the reservation clerk must explain the terms of the reservation, cancellation, and refund policy procedure to the cardholder or travel agent. To process an Advance Deposit reservation, the reservation clerk or travel agent completes a sales draft filling in the merchant dentification and cardholder information as listed below. Send the cardholder a written reservation confirmation, a copy of the sales draft, and your cancellation and refund policy.

It is recommended that the merchant note on the sales ticket any special terms and conditions regarding its refund policy. Merchants must properly identify the prepayment date as the transaction date when submitting Advance Deposit transactions. The merchant mails to the cardholder a copy of the draft, and letter of confirmation if requested.

Reservation Clerk requests from Cardholder:

• Cardholder name
• Cardholder account number
• Card expiration date
• Cardholder phone number
• Cardholder billing address

Reservation Clerk provides to Cardholder during call:

• Confirmation code
• Total amount of advance deposit

Reservation Clerk provides transaction information to Cardholder on Sales Draft:

• Transaction date (date of pre-payment)
• Authorization code (NOTE: Zero floor limit; application must provide all required data to qualify for Lodging CNP rate)
• “ADVANCE DEPOSIT” on signature line
• Hotel merchant name and location
• Scheduled arrival date
• Cancellation deadline (date and time)
• Written cancellation policy
• Mail copy to guest

Credit Voucher Checklist
To process an Advance Deposit Cancellation, use a credit voucher (or your terminal and printer) and Reservation Form. Mail a copy of the credit voucher reflecting the cancellation to the cardholder.

• Cardholder name
• Cardholder account number
• Card expiration date
• Advance deposit cancellations code
• Total amount of credit
• Write “DEPOSIT CANCELLATION” on signature line
• Mail copy to guest

Priority Check-Out Service allows lodging merchants to complete the final checkout transaction without requiring the cardholder presence. This offers your guests the convenience of a Priority / Express Check-Out. The cardholder/guest signs a Priority / Express Check-Out Service agreement authorizing a charge to the specified account for the final amount of the bill without requiring the cardholder's signature at checkout. At time of checking, imprint a sales ticket with the cardholder's account number, and follow its normal authorization procedures.

The cardholder is provided with the itemized bill (within specified timeframe).

Retain all pertinent records relating to the itemized bill and authorization requests in the event of a dispute.

• Name, address, and telephone number of the hotel, motel, or resort • Cardholder account number
• Cardholder billing/mailing address
• Applicable charges posted after check-out
• Cardholder's signature
• Cardholder's room number
• Mail copy to guest, if requested
• Provide itemized bill and copy of completed sales draft to guest within 3 days after checkout.
• If requested, provide copy of Express Check-Out Agreement

To process Priority Check-Out Service .
If requested by the cardholder, send them copies of the completed sales draft, the itemized hotel bill, and the Priority / Express Check Out Agreement (if requested).

• Cardholder name
• Cardholder account number
• Card expiration date
• Total charges incurred during the stay
• Delayed charges (posted after check-out)
• Authorization code
• “SIGNATURE ON FILE-EXPRESS CHECKOUT” printed legibly on the signature line
• Mail copy to guest, if requested

Sample Forms and Letters

Guaranteed Reservations

Guaranteed Reservations – Confirmation / Cancellation / Check-In Form
Obtain the following from cardholder (in addition to reservation information):

Cardholder name:
Cardholder address:
Cardholder account number:
Card expiration date:

Reservation information:
Arrival date:
Number of nights:

Advise the guest of the following:
Room rate and applicable taxes:
Accommodation request (such as non-smoking room, king size bed) Confirmation code for guaranteed reservation:
Importance of keeping confirmation code for future reference:
Deadline for cancellation without penalty before 6 pm on scheduled arrival date:
Hotel name and location:
Written confirmation notice requested / sent:

Cancellation information:
Cancellation code:
Advise guest to retain
Written cancellation notice requested / sent:
Pre-Registration information:
Registration card prepared:
Room number assigned:

If No Show, retain reservation form, pre-registration card, etc. for six months. Note: See Retention section for important information on safeguarding data

[MERCHANT NAME]
[MERCHANT LOCATION]
[MERCHANT TELEPHONE NUMBER]

PRIORITY/EXPRESS CHECKOUT
CASHIER, PLEASE CHECK ME OUT OF:

Room # _________________________________________________

on______________________________________________________

Departure Date
Guest Name
(please print)__________________________________________

I authorize a charge to my Visa or MasterCard Card account number imprinted on my Sales Draft for the amount of all costs incurred during my stay.

Cardholder Signature
(NOTE: must contain full account number )

Visa or MasterCard Card Account Number _______________________________

Please send a copy of my lodging receipt and my Sales Draft to the address listed below.

I also want you to send a copy of this agreement.
Name (please print)
Company
Street
City State Zip Code

[MERCHANT NAME]
[MERCHANT LOCATION]
[MERCHANT TELEPHONE NUMBER]

Dear
We missed you! We held a room/suite at the (name of hotel)
for your arrival the evening of (date),
and were sorry to discover that you didn't arrive as planned.

Our records show that the room was held in the name of_____________________________________________,
and was guaranteed with a (name of credit card), number_____________________________.

Because your room was guaranteed, and we don't have a record of your canceling your reservation, we have charged the credit card you guaranteed the room with for the amount of one night's rate.
If we've overlooked any pertinent information or you have a cancellation number, please contact me at the hotel during daytime business hours.

We're sorry you weren't able to stay with us this time,
and we hope we'll have another opportunity to serve you.

Sincerely,
General Manager
Hotel Name and Phone Number
Enclosure (facsimile or credit card charge receipt)

Check to ensure that the guest's name is spelled correctly and
that this really is a No Show and not a reservation with an incorrect date of arrival.

Processing a "No Show" Reservation
If accommodations reserved under the Visa/MasterCard Reservation Service have not been claimed or cancelled prior to the specified cancellation time, the room(s) must be held available in accordance with the reservation.

If the Cardholder does not cancel the reservation or does not check in within the prescribed time, deposit a Sales Draft or transaction record for one night's lodging plus applicable tax indicating the Visa or MasterCard card, and the words "Guaranteed Reservation/No Show" on the Cardholder's signature line. If a

MasterCard card was used to guarantee the reservation, the room number assigned to the Cardholder also must be included on the Sales Draft of transaction record. Obtain an authorization for the "No Show" transaction by following the authorization procedures for lodging transactions.

Chargebacks
A chargeback is a previous transaction that is being disputed by the cardholder or their issuing institution. A chargeback occurs when a cardholder disputes a charge or when proper bankcard acceptance and authorization procedures were not followed. If you receive a chargeback, your deposit account is debited for the indicated amount. In addition to the chargeback, you may incur a $50.00 fee if you failed to follow card acceptance and authorization procedures. Reasons for chargebacks include a cardholder dispute or an error in handling on the part of a merchant's staff. Chargebacks are rare if proper authorizations and processing procedures are followed.

Some Do's and Don'ts of Chargeback's
You can significantly reduce the chance of receiving a chargeback notification by taking the following precautions:

• Do not charge a cardholder before shipping the merchandise
• Do not accept sales that are declined, and if a sale is declined, do not attempt authorization a second time on a declined sale. The cardholder bank may collect a $50.00 fee if you fail to follow card acceptance and authorization procedures .
• Do not accept sales that are not authorized for the exact amount
• Do not accept an expired card
• Do not accept a card before the effective date on a dual dated card
• Do not process a credit as a sale
• Do not deposit the sales draft more than once
• Do not deposit an incomplete sales draft
• Do not accept a sales draft without a cardholder signature
• Do not participate in a suspicious transaction
• Do not obtain an authorization by using multiple transaction/split sales drafts
• Do not accept a card where the account number obtained off the magnetic stripe does not match the account number on the draft
• Do understand that you assume all responsibility for the identity of the cardholder for all fax, Internet, mail order and telephone order sales
• Do prepare and submit a written rebuttal within the time specified on the chargeback notification
• Do accept cards where the cardholder account number is valid
• Do authorize all sales
• Do verify arithmetic on sales drafts
• Do charge the cardholder for the correct amount
• Do deposit the sales draft before the contractual time limit
• Do credit the cardholder for the returned merchandise
• Do credit the cardholder for a canceled order
• Do verify that the signature on the sales draft matches the signature on the card
• Do verify the authorization code
• Do obtain a manual imprint, if unable to capture from magnetic stripe

Association Chargeback Fees : The card associations permit the cardholder bank to collect additional fees for items that result in a chargeback. You may be subject to these Association Chargeback Fees if you failed to follow card acceptance and authorization procedures and the card issuer has a valid chargeback .

Your Right to a Rebuttal
If you receive notification of a chargeback, you have the right to request a rebuttal. A rebuttal is a merchant's written reply to a chargeback that provides documentation proving that the sale was valid and that proper merchant procedures were followed. Rebuttals must be completed within the number of days indicated on the chargeback notification. Contact Customer Service for more information on rebuttal procedures.

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