The Hilton Becomes the First Hotel to Test Cancellation Fees

Perhaps the Hiltons aren’t raking in as much as they were in Paris’ heyday.

Their namesake hotel chain is halfway through a two-month trial run at around two-dozen of its hotels testing out a $50 cancellation fee.

Regardless of how soon after the booking you cancel, you’ll have to dish out the cancellation fee the same way you do when it comes to flights.

The move comes in lieu of a pre-existing policy, enacted last year, whereby if you wait until the day of your arrival to cancel at any Hilton, you’ll get charged a full night’s stay.

In defense of the new fee, a Hilton executive pointed out that the fee was “lower than airline fees,” according to the New York Times. That’s little consolation, which a poll on traveller site Elliott.org confirmed: 94 per cent of travellers disagree with the fee.

Most of us have been forced to pay hefty ancillary fees at airlines, after all, and aren’t too fond of the memory. The move comes at a time of increased competition between hotels and ever-fluctuating hotel prices thanks to apps designed to help travellers get the best deal (which often involves cancelling and rebooking).

When it comes to these tools for travellers on a budget, Hilton hotel isn’t amused. According to Travel and Leisure, Hilton Worldwide President and CEO Chris Nassetta told investors on an October conference call that “people are trying to game all our systems” by cancelling and rebooking to secure a better room rate.

The new fee will not apply to frequent Hilton guests members of the Hilton Honors loyalty program, which is nice.