Back in August, Airbnb introduced a new Reserve Now, Pay Later payment option for US guests. As the name suggests, it is a form of Buy Now, Pay Later (BNPL), allowing users to place bookings without having to pay upfront. Now, the company has announced that it has expanded this option to other regions, including Malaysia. This rollout comes after the positive user reception following the initial launch.
Aimed at offering more flexible payment options for guests, the feature is available for eligible listings globally. Of course, the keyword here is eligible. Notably, the Reserve Now, Pay Later model only applies for listings that support moderate and flexible cancellation policies.
Guests are not required to pay until shortly before the end of the listing’s free cancellation period. Given that payments are always due before this period has lapsed, guests are incentivised to cancel sooner or pay the full amount. This discourages last minute cancellations, allowing hosts more time to secure another booking.
Meanwhile, guests have more freedom to adjust their travel plans accordingly. The service highlights that the new payment method can benefit budget-conscious travellers and those planning group trips in particular. That said, it is worth noting that users must still pay for travel insurance and any other optional add-ons at the time of booking.
(Source: Airbnb press release)
