In the hotel industry, postpaid is a widespread payment method that allows guests to settle their bill either upon arrival or at the end of their stay upon departure. It has gained popularity thanks to major players like Booking.com, who have made it a key element of their success. When a reservation is made using the postpaid method, guests are generally asked to provide their credit card information at the time of booking to guarantee the reservation and authorize a charge in case of cancellation with fees.
Postpaid has now become the standard expected by customers, gradually replacing prepaid. This payment method encourages conversion by offering guests the option of not paying upfront, making cancellation easier. In comparison, with prepaid, cancellation without fees may also be possible (subject to specific conditions), but it involves a refund to the guest’s account.
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