Reservation – Retention Letter / Cancellation Letter Format

Support Our Work

Since 2011 Setupmyhotel has been helping hundreds of hoteliers around the world. Support Setupmyhotel by becoming our Patron!

Retention Letter / Cancellation Letter sample used in hotels

Retention is charged for a reservation if a guaranteed reservation has been canceled or has become a no-show. No matter how thorough or attentive the reservation agent had taken the reservation process there is no way to avoid an occasional reservation amendment or cancellation.

The agent’s efficiency in organizing and retrieving reservation records and related files is vital to the reservation process. The reservation agent must also be able to correctly refile the reservation records and update the reservation reports.

Now with the use of property management systems these tasks, especially in the areas of reservation recording, filing, retrieving, reporting, and modifying. Retentions are always charged as per the cancellation or No-Show policies mentioned on the reservation confirmation letter.

Guest often makes non-guaranteed booking rather than guaranteed reservation when they make the hotel reservation. This will avoid attracting any retention charges if they are not able to make it to the hotel. These optional bookings are released by the hotel automatically on the cutoff date or hour mentioned by the hotel at the time of booking the reservation. But situations can come that make it impossible for a guest to arrive on time. Eg:- Flight delayed weather conditions, official issues, etc.

Frequent and experienced travellers call the hotel to change their non-guaranteed reservation to a guarantee because they know that the non-guaranteed reservation may be canceled by the hotel without any further notice as per the reservation agreement.

Retentions are charged to the guest’s credit card which was provided at the time of reservation or will be adjusted against the advance payment which was paid at the time of guaranteeing the booking. A retention letter is also sent to the guest regarding the retention charges.

Download Sample Retention Letter Formats


Back Office Job Description Banquet BAR Beverage Service Cashiering Chef Chef Training Cleaning Concierge Duties and Responsibility Engineering Executive Chef F&B Setup F&B Training Finance Food Service Front Desk Front Office Formats Front Office Setup Front Office Training Guest Room Guest Services Hospitality Basics Hotel Formats Hotel Security Hotel Staff Job Description Hotel Staff Training Housekeeping Formats Housekeeping Setup Housekeeping Training Kitchen Kitchen Basics Kitchen Training Maintenance Maintenance Technician Reservation Restaurant Sales SOP SOP F&B Service SOP Finance and Accounting SOP Front Office SOP Housekeeping SOP Kitchen Staff Training

Support Our Work

Since 2011 Setupmyhotel has been helping hundreds of hoteliers around the world. Support Setupmyhotel by becoming our Patron!

Learn more