Industry · travel and hospitality
Paid before, held during, settled after
A trip is bought weeks before it happens and can change right up to the day. Travel businesses handle deposits, holds, balances and refunds on the same booking, and every one of them needs to be explained to a guest who's about to travel or has just come home.
- 30 days beforeBooking with depositCharged ₹6,000
- Check-inCard held for incidentalsHeld ₹5,000
- StayRoom service and laundryExtras ₹2,350
- Check-outFinal bill settledCharged ₹16,350Released ₹2,650
Guest paid ₹6,000 + ₹16,350 (room balance ₹14,000 + extras ₹2,350)₹22,350
How LILPE fits
One payment layer for Travel & Hospitality
- Your businessCheckout, apps, platforms
LILPEOne API and dashboard- Routing engineRules, health, cost
- ProvidersPSPs, gateways, acquirers
- Payment networksCards, real-time rails, banks
- 01PaymentRequest arrives
- 02DecisionRules and health
- 03RouteBest provider
- 04AuthorizationApproved or retried
- 05SettlementFunds arrive
- 06ReconciliationMatched and reported
- Intelligent routing Each payment goes to an eligible provider, by your rules and recent performance.
- Smart retry Recoverable failures retried on another provider as one payment.
- Automatic failover Unhealthy providers paused; traffic moves to healthy ones.
- Reconciliation Payments matched to settlements across providers.
Availability and settlement options are confirmed during onboarding.
When the guest pays
Travel businesses mix several payment timings, often for the same product. Each has its own trade-off between getting the booking and getting paid.
| Model | Suits | Risk |
|---|---|---|
| Full prepayment | Non-refundable rates, packages, peak dates | Refund work if plans change |
| Deposit, balance later | Tours, events, group bookings | Chasing balances before travel |
| Pay at the property | Flexible rates, walk-ins | No-shows |
| Card guarantee only | Late arrivals, flexible bookings | No-show charges disputed |
| Invoice on credit | Corporate travel | Overdue invoices |
Holds at check-in, done so guests don't complain
A pre-authorisation reserves an amount on the guest's card without charging it. At check-out, you complete it for what was actually used, and the rest is released. Guests rarely object to the hold itself; they object when they didn't know about it, or when the release takes longer than they expected.
Tell guests the amount and why at check-in, complete or release it promptly at check-out, and explain that the release appears on their statement on their card issuer's timeline.
| Moment | Front desk does | Guest sees |
|---|---|---|
| Check-in | Places a hold for incidentals and says so | A pending amount, not a charge |
| During the stay | Adds extras to the folio | Nothing new on the card yet |
| Check-out | Completes for actual use; releases the rest | The final charge; the hold disappears on the issuer's timeline |
More on terminals and pre-authorisation: POS machine guide.
Cancellations, changes and refunds
Travel plans change more than almost any other purchase: dates move, a flight is cancelled, someone falls ill. A clear policy shown at the moment of payment, and refunds that go back quickly to the original method, turn a disappointment into a customer who books again.
Automate what the policy already decides (full refund before a date, partial after), and route exceptions to a person. Record every refund against the booking so the guest and your accounts see the same thing.
- 01
Policy at payment
Shown with the price, not hidden in terms.
- 02
Rules applied automatically
Refund amount calculated from the policy.
- 03
Original method
Card to card, UPI to the same account.
- 04
Tell the guest
Amount, reference, and how long it usually takes to show.
Refund mechanics: refunds guide.
Online travel agencies and channel settlements
Bookings through online travel agencies arrive with their own money flows. In some arrangements the agency collects from the guest and settles to you, net of commission; in others the guest pays you and you pay the agency. Many properties have both, with several agencies at once.
Reconcile each agency's settlement booking by booking: the booking, the rate, the commission, cancellations and the amount received. Totals that look right can hide one wrong commission or a cancellation that was never reversed.
| Check | Catches |
|---|---|
| Every stayed booking appears in a settlement | Missing payments |
| Commission matches the agreed rate | Overcharged commission |
| Cancellations reversed | Money kept for stays that didn't happen |
| Pay-at-property commissions invoiced correctly | Paying twice for the same booking |
Corporate travel and group bookings
Companies booking travel for staff usually want credit terms and consolidated invoices, and groups (weddings, conferences, tours) pay in stages with many payers. The earlier you invoice, the earlier you're paid.
A reference per account or group
Every payment quotes it, so deposits and balances match themselves.
Deposits and balances tracked per group
Many payers, one ledger for the group.
Invoices straight after the stay
Consolidated for corporate accounts, on the agreed terms.
Seasons, deposits and cash flow
Travel is seasonal, and deposits taken months ahead can make a quiet period look flush. But deposits are guests' money until the stay happens, and refunds can arrive all at once if a season is disrupted. Plan cash flow on stays delivered, not deposits received.
Keep enough available to refund cancellations for the coming weeks, especially before peak seasons.
Where LILPE fits
This page doesn't name any hotel, travel agency or tour operator using LILPE, or describe integrations with booking systems or agencies. Whether LILPE can help with booking payments, holds or refunds is confirmed during onboarding.
Travel payment questions
Why do hotels hold an amount on a guest's card?
To cover incidentals such as room service, minibar or damage during the stay. The amount is reserved, not charged; at check-out the hotel charges what was actually used and releases the rest. When the release shows up on the guest's statement depends on their card issuer.
Should we take full payment or a deposit at booking?
It depends on your cancellation policy and how far ahead guests book. Full prepayment reduces no-shows; a deposit lowers the barrier to booking. Either way, state the policy at the moment of payment, not only in terms elsewhere.
How do we defend a no-show dispute?
With evidence the guest agreed to the terms: the booking confirmation showing the cancellation and no-show policy, the guest's acceptance, and the record that the room was held. Card disputes are decided on evidence, so keep it for every booking.
How do bookings through online travel agencies get paid?
Depending on the agreement, either the guest pays the agency and it settles to you net of its commission, or the guest pays you at the property and you pay the agency its commission. Reconcile agency settlements booking by booking.
Can we accept foreign guests' cards?
Usually, if your provider enables international cards for your business. International cards often carry different charges. See the inbound travel page for businesses selling India trips to travellers abroad.
Does LILPE work with travel and hospitality businesses?
This page doesn't name any hotel, agency or operator using LILPE. Whether LILPE can help with bookings, holds or refunds is confirmed during onboarding.
Last reviewed . Examples, amounts and screens marked illustrative are not LILPE figures.
Guides
Guides and explainers
- Payments3D Secure Explained: The OTP Step in Online Card Payments3D Secure is the step between entering your card details and the payment going through, where your bank checks it's really you, usually with an OTP. How it works, frictionless and challenge flows, what RBI's 2025 authentication rules require, the new check on overseas websites, and why the step fails.Read the guide
- UPIUPI International: Paying Abroad, NRI Numbers and Visitors Paying in IndiaUPI now works well beyond India's borders, in four different ways: Indians paying at shops abroad, visitors paying Indian merchants, NRIs using UPI on international mobile numbers, and cross-border remittances. Which countries NPCI lists for each, how to switch it on, what it costs, and what to check before you travel.Read the guide
- PaymentsPayment Gateway Charges in India: How to Read a Pricing SheetA payment gateway's headline rate is only one line of what you pay. Setup and annual fees, per-method transaction rates, international and EMI pricing, refund and chargeback fees, settlement speed, minimum commitments and GST all add up. What each line means, which ones regulation fixes, how to work out your real cost, and what to ask before you sign.Read the guide
- Cross-borderMulti-Currency Payments: Presentment, Settlement and Where Currency Conversion HappensSelling to customers abroad can involve three currencies in one payment: the one you price in, the one the customer's account is in, and the one you're paid in. Where the conversion happens decides who sets the rate and who pays the markup. Presentment and settlement currency, dynamic currency conversion and its rules, double conversion, refunds across exchange-rate moves, and a checklist.Read the guide
Get started
From first call to live payments
- 01Tell us what you needYour methods, markets and providers. We confirm what's available for your business.
- 02Sandbox accessTest credentials and the API reference, provided during onboarding.
- 03Integrate and testOne request pattern; run success, failure, refund and webhook flows.
- 04Go liveProduction credentials, with the LILPE team on hand for go-live.
Route every payment to where it succeeds.
Tell us which providers you use today and where payments get stuck. We'll show you what the setup would look like on LILPE.