How Security Deposits Work in Jurny

Security deposits protect your properties against damages—but how they’re handled depends on the tools you use. Jurny supports multiple approaches, each with different fee structures, limitations, and guest experiences.

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Why Security Deposit Setup Matters

How you collect and release security deposits impacts:

  • Processing fees

  • Guest experience

  • Cash flow

  • Risk exposure

  • Dispute and refund handling

Choosing the wrong setup can result in unnecessary fees, guest frustration, or limited protection—especially for longer stays.


Option 1: Security Deposits via Stripe + Jurny

When using Stripe directly through Jurny, security deposits are handled based on your Stripe account type.

How It Works

  • Jurny attempts to place a pre-authorization hold on the guest’s card

  • The hold duration is dictated entirely by Stripe

Stripe Hold Limits

  • Standard / Blended Stripe accounts:

    • Holds last up to 7 days

  • IC+ Stripe accounts (typically granted at ~$1M+ annual volume):

    • Holds last up to 30 days

If your Stripe account does not support extended pre-authorizations:

  • Stripe will charge the deposit

  • Then refund it later

Processing fees apply on both the charge and the refund


Option 2: Security Deposits via Autohost (Recommended)

Autohost offers the most flexible and guest-friendly approach to refundable security deposits.

How It Works

  • Autohost places a card hold (not a charge)

  • The hold is automatically released based on your rules

  • No Stripe processing fees apply unless you claim part or all of the deposit

Key Benefits

  • No upfront charge to the guest

  • No fees on fully released deposits

  • Automatic release logic

  • Cleaner accounting

Best for:
Hosts who want to avoid fees on canceled reservations and refunded deposits.


Important Considerations for Longer Stays

Stripe enforces strict rules on how long pre-authorizations can remain active.

The Challenge

For stays longer than 7 days:

  • Stripe releases the original hold automatically

  • This can leave your property unprotected mid-stay

Autohost’s Workaround

Autohost can:

  • Automatically renew the pre-authorization every 7 days

  • Maintain protection for the entire stay

Things to Be Aware Of

  • Each renewal carries an additional Autohost fee (approx. $0.84 per renewal — confirm with Autohost)

  • Guests may temporarily see overlapping holds on their card (e.g., $1,000 instead of $500)

  • Depending on the guest’s bank, releases may take hours or days

Caution:
While effective, recurring holds can cause guest confusion if not clearly explained in advance.


Alternative Option: Damage Protection Insurance

Many hosts are now offering damage protection insurance instead of traditional security deposits.

How It Works

  • Guests choose between:

    • A refundable deposit (e.g., $1,000 hold), or

    • A one-time, non-refundable insurance fee (e.g., $180)

Why Guests Prefer This

  • No large amounts blocked on their card

  • More spending flexibility during travel

Why Hosts Like It

  • Higher conversion rates

  • Additional upsell revenue

  • Less friction at check-in

  • Coverage without card holds

Providers like RentalGuardian are commonly used for this purpose.

Industry Insight:
In most cases, guests prefer paying a smaller insurance fee instead of having large amounts blocked on their card.


Choosing the Right Option

 

Use Case Recommended Setup
Short stays (under 7 days) Stripe pre-authorization
Long stays Autohost with renewal
Avoiding all refund fees Autohost
Reducing guest friction Damage protection insurance
Upsell-focused strategy Insurance alternative

 

The right choice depends on your stay length, volume, and guest profile.

 

 

If you need help or have any questions, don’t hesitate to reach out.
Contact your Customer Success Manager or our support team at support.jurny.com – we’re happy to assist.