Understanding Cancellation Policies
Last updated on April 01, 2025
Purpose of this Guide: This document provides Tranity Partners with a clear explanation of the different cancellation policies available for monthly reservations on the Tranity Platform. Understanding these options will help you choose the policy that best balances flexibility for Members with predictability for your operations and revenue.
Important Note: This guide is for informational purposes only and aims to clarify the standard policies. The legally binding terms are detailed in the official Tranity Cancellation and Refund Policy and our Terms of Service.
1. Why Offer Different Cancellation Policies?
Allowing Members different levels of flexibility can impact your listing's attractiveness and occupancy rate.
More Flexible Policies (Moderate, Flexible): Can attract Members who value the ability to change plans, potentially leading to more reservations, especially first-time ones due to the trial period. However, they carry a higher risk of cancellations impacting your expected income for a given month.
Stricter Policies (Strict): Provide more income predictability as cancellations after the start date don't result in refunds for the ongoing month. However, this might deter some Members who need more flexibility.
Choosing the right policy depends on your business goals, the demand for your space, and your tolerance for potential cancellations.
2. Understanding the Monthly Reservation Cancellation Policy Options
When listing your Space for monthly reservations, you can select one of three standard policies. This choice is displayed to Members before they make a reservation.
(a) Strict Policy
Trial Period: No trial period. Members cannot cancel for a full refund after the reservation starts.
Member Cancels During Current Month:
Member Refund: No refund for the current month.
Partner Payout: You receive your full payout for the current month (subject to successful payment collection from the Member and deductions as per Payments Terms Of Service).
Member Cancels Future Months:
Member Refund: Full refund for any remaining full, uncommenced months.
Partner Payout: You do not receive payouts for any remaining full, uncommenced months.
Best For: Partners who prioritize guaranteed income for confirmed reservations and operate spaces with consistently high demand where filling a cancelled spot might not be difficult or undesirable.
(b) Moderate Policy
Trial Period: No trial period. Members cannot cancel for a full refund after the reservation starts.
Member Cancels During Current Month:
Member Refund: 50% refund if cancelled within two weeks (14 days).
Partner Payout: If Member gets 50% refund: You receive 50% of your payout for this reservation. If Member gets no refund: You receive your full payout for the current month.
Member Cancels Future Months:
Member Refund: Full refund for any remaining full, uncommenced months.
Partner Payout: You do not receive payouts for future months cancelled by the Member.
Best For: Partners who want to offer some initial flexibility while still retaining partial income if a Member cancels mid-month after the trial. Balances risk and attractiveness.
(c) Flexible Policy
Trial Period: Yes, 24 hours after the reservation start date/time, applicable only to the first month of the reservation.
If Member cancels within this 24-hour trial: Member gets a full refund, and you (Partner) receive no payout for that reservation.
Member Cancels During Current Month (After Trial Period, or in subsequent months):
Member Refund: 50% refund if cancelled within two weeks (14 days).
Partner Payout: If Member gets 50% refund: You receive 50% of your payout for the current month. If Member gets no refund: You receive your full payout for the current month.
Member Cancels Future Months:
Member Refund: Full refund for any remaining full, uncommenced months.
Partner Payout: You do not receive payouts for future months cancelled by the Member.
Best For: Partners aiming to maximize attractiveness and minimize barriers for Members, especially in competitive areas. Offers the most flexibility to Members but carries the same mid-month cancellation risk as the Moderate policy after the trial period.
Important Note on Payouts: Partner payouts are always conditional upon Tranity successfully collecting the required fees from the Member for the relevant period and are subject to deductions (Tranity Service Fee + GST, TCS if applicable) as detailed in the Payments Terms of Service. The payout timing, especially for the first month, is also affected by the Trial Period (payout occurs after the trial period ends successfully), as detailed in the Payments Terms of Service.
3. Understanding Trial Period (Flexible Policies)
Applicability: The 24-hour trial period applies only to the first month of a new monthly reservation. It does not apply to subsequent months of the same reservation or to reservations made under the Strict policy and Moderate policy.
Purpose: It allows Members a brief window after starting their reservation to ensure the space meets their basic needs before fully committing to the first month's payment.
Impact on Payout: If a Member cancels during the trial period, they (Member) receive a full refund, and the Partner receives no payout for that reservation. Tranity holds the initial payment until the trial period ends successfully before initiating the payout to the Partner. The specific rules governing the timing of this payout initiation after the Trial Period are detailed in the Tranity Payments Terms of Service (Section 4.4).
4. Other Cancellation Scenarios
Partner Cancellations: You should avoid cancelling confirmed reservations. Doing so without valid reason (like documented emergencies) can lead to penalties, affect your listing's visibility, and potentially lead to account suspension. If you cancel, the Member receives a full refund with no deductions. (See Section 3 of the Cancellation & Refund Policy).
Reservation Issues: If a Member reports a significant issue upon arrival or during their stay (e.g., space vastly different from listing, unsafe conditions, inaccessible), Tranity will investigate. If the issue is validated, the Member may receive a full or partial refund, and consequences may apply to the Partner. (See Section 4 of the Cancellation & Refund Policy).
Major Disruptive Events: In rare cases of large-scale, unforeseen events (natural disasters, government shutdowns, etc.) making a reservation impossible, the Major Disruptive Events Policy takes precedence, typically resulting in a full refund for the Member and no payout or penalty for the Partner for the affected period.
5. How to Select/Change Your Cancellation Policy
You can select the cancellation policy (Strict, Moderate, or Flexible) for your monthly reservations in your listing's settings within the Tranity Partner app.
Navigate to the Listings.
Select the listing you wish to edit.
Find the section related to Cancellation Policy in the Listings Editor.
Choose the desired policy (Strict, Moderate, or Flexible).
Save your changes.
The selected policy will apply to new reservations confirmed after you save the change. It does not retroactively apply to existing confirmed reservations.
6. Choosing Carefully
Consider your local market, the type of Member you wish to attract, and your operational capacity when selecting a policy. A more flexible policy might increase initial reservations but requires managing potential cancellations, while a stricter policy offers more income security but might be less attractive to some Members.
7. Need More Help?
For the definitive rules, please refer to the official Tranity - Cancellation and Refund Policy.
For questions about setting your policy or specific reservation issues, please contact Tranity Support via the app or at www.tranity.in/support.