Prepaid hotel reservations enable you to centralize payments for accommodations on the company card while allowing travelers to avoid fronting payments and submitting expenses. Travelers only have to put down their card at check in to cover incidentals, such as Wi-Fi or parking.
Loyalty Prepay vs Regular Prepay
There are two ways to prepay for hotels.
With Regular Prepay, you pay NexTravel at the time of booking and we automatically pay the hotel through our system with no authorization forms needed.
This process results in a 99.9% success rate and your status is applied for hotel benefits; however, the hotel won't reward loyalty points for the stay.
For consistency, we highly recommend Regular prepaid reservations over Loyalty prepaid reservations because travelers will very rarely run into issues with their room not being paid for ahead of time.
With Loyalty Prepay, travelers receive loyalty points for their stay and NexTravel streamlines the process by taking care of the payments ourselves, so company admins and employees don’t have to worry about filling out forms and submitting payment for each booking ahead of time. When you book, we’ll charge your corporate card directly and then send payment to your hotel using an authorized virtual card.
Loyalty Prepay is available to Premium Account Users but company admins determine whether or not to allow it. Here's why this may occur:
Loyalty Prepay has an overall success rate of about 70-80%, meaning travelers will sometimes have to pay for the hotel on their own card upon check-in and later submit for reimbursement. This is because each hotel has a different protocol for processing pre-authorized or third-party payments. Roughly 80% of hotels require faxed authorization forms, 10% require a digital form, and 10% don't accept third-party authorization payments at all.
NexTravel has developed a process to provide the highest success rate possible. However, failure may still occur for the following reasons:
- The authorization form is misplaced by the hotel
- The hotel enters our virtual card into their system, but charges the traveler for the stay instead of charging the virtual card upon checkout
- The hotel doesn't have a fax machine anymore or it's broken
- The hotel requires a physical card matching the pre-authorized card at the time of check-in
- The hotel doesn't accept credit card authorization forms at all
- The front desk agent at the hotel is not familiar with prepaid reservations or not aware of prepayment for the particular reservation