Learn why connecting a payment provider to Hostaway can help automate guest payments, reduce manual work, and support smoother payment collection workflows.
As a Property Manager and Hostaway user, you have two options for managing your guests' payments. You can delegate this process to the booking platforms, or, as a second option, and the one we at Hostaway recommend, you can use a Payment Provider.
Using a Payment Provider will give you full control over your payment processes, revenue, and compliance responsibilities, which can improve brand trust and profitability. However, it also requires taking on the legal, administrative, and financial duties that come with being primarily responsible for all transactions.
Benefits of using a Payment Provider
Automated Payment Collection. Payment processors automate payment collection, saving you time and ensuring timely payments. This reduces the risk of missed or delayed payments and improves cash flow.
Enhanced Security and Fraud Protection. Processors offer built-in security protocols to protect against fraud, chargebacks, and unauthorized transactions. This provides you with an extra layer of security and gives your guests peace of mind.
Easier Refund and Cancellation Processing. With a payment processor, refunds and cancellations are streamlined, allowing you to manage them directly from your Hostaway dashboard, with faster processing for the guest.
Simplified Accounting and Reporting. Integrated payment processors feed payment data directly into Hostaway, making it easier to track revenue, generate reports, and manage accounting without manual entry or reconciliation.
Reduced Risk of Non-Payment. Since payments are collected in advance, using a processor reduces the risk of non-payment or late payment. This can also save you from having to chase guests for outstanding balances.
Automatic Currency Conversion. Many payment processors support currency conversion, allowing you to accept international bookings without managing foreign exchange rates, which is helpful if you receive bookings from around the world.
Improved Guest Experience. Guests often prefer the convenience and security of paying through a recognized processor, which can increase their confidence in booking with you.
Drawbacks of not using a Payment Provider
Manual Payment Collection. Without a payment processor, you'd have to manually collect payments, which can be time-consuming and may lead to errors or missed payments.
Increased Risk of Fraud. A payment processor adds security layers of security to prevent fraudulent transactions. Without one, you may be more vulnerable to chargebacks and fraud.
Delayed Payments. Payment processors typically process transactions immediately or within a few days. Manually collected payments may experience delays, which can impact cash flow.
Limited Payment Options for Guests. Payment processors allow guests to pay by credit card which can improve the guest experience and lead to more bookings.
Impact on Reporting and Accounting. Payment processors integrate directly with Hostaway, so not using one can mean more manual work to track revenue and expenses, making reporting less streamlined.