Which term describes a reservation that guarantees the hotel will hold a room even if the guest cancels?

Which term describes a reservation that guarantees the hotel will hold a room even if the guest cancels?

• A. Guaranteed Reservation
• B. Non-Guaranteed Reservation
• C. Prepayment
• D. Advance Deposit

Answer: (A)

A guaranteed reservation is created when the guest provides a payment guarantee (usually a credit card) at the time of booking. This guarantee ensures the hotel will hold the room for the guest even if they cancel later, with the hotel enforcing its cancellation policy and charging the designated fee or first night’s rate as applicable. This protection is what distinguishes it from a non-guaranteed reservation, where the room can be released if the guest cancels or doesn’t arrive. Prepayment or an advance deposit involve paying in advance, but they aren’t the specific mechanism that guarantees the room will be held regardless of cancellation policy.

A guaranteed reservation is created when the guest provides a payment guarantee (usually a credit card) at the time of booking. This guarantee ensures the hotel will hold the room for the guest even if they cancel later, with the hotel enforcing its cancellation policy and charging the designated fee or first night’s rate as applicable. This protection is what distinguishes it from a non-guaranteed reservation, where the room can be released if the guest cancels or doesn’t arrive. Prepayment or an advance deposit involve paying in advance, but they aren’t the specific mechanism that guarantees the room will be held regardless of cancellation policy.