Use this article to find out how much a borrower gets back when a rental is cancelled, what the lender receives, and how long the refund takes to arrive. The same rules apply in all markets. To cancel a rental or give a refund, see [How to cancel a rental or give a refund](link: 12530592).
What are the cancellation policies on Hygglo?
Every listing on Hygglo has one of three cancellation policies: Flexible, Medium or Strict. The lender chooses the policy for each listing under Cancellation Terms in the listing editor. Borrowers can see the policy on the listing page under Cancellation Terms, and the exact free-cancellation deadline appears on the listing and booking pages as "Free cancellation until [time] on [date]".
The policy only decides the refund when the borrower cancels a rental after the payment has been charged. If the booking needs verification, the payment is charged once verification is approved. Before that, the borrower always gets the full amount back (see "What happens to the payment while a booking is waiting for verification?"). When the lender cancels, the borrower always gets a full refund (see "What happens if the lender cancels a rental?").
How is the cancellation deadline calculated?
Each cancellation deadline ends at the end of the day (midnight) in the time zone of the country where the rental takes place. Days are counted back from the rental's start date.
What does the borrower get back under the Flexible policy?
The table below shows the refund a borrower gets when they cancel a paid rental on a listing with the Flexible policy.
When the borrower cancels | Refund |
2 or more days before the rental starts | 100% |
The day before the rental starts | 50% |
On the day the rental starts | No refund |
Example: the rental starts on Thursday. If the borrower cancels on Tuesday or earlier, they get 100% back. On Wednesday, they get 50% back. On Thursday, they get nothing back.
What does the borrower get back under the Medium policy?
The table below shows the refund a borrower gets when they cancel a paid rental on a listing with the Medium policy.
When the borrower cancels | Refund |
7 or more days before the rental starts | 100% |
3–6 days before the rental starts | 50% |
Less than 3 days before the rental starts | No refund |
Example: the rental starts on a Monday. If the borrower cancels on the Monday a week before or earlier, they get 100% back. From Tuesday to Friday, they get 50% back. On Saturday, Sunday or Monday, they get nothing back.
What does the borrower get back under the Strict policy?
The table below shows the refund a borrower gets when they cancel a paid rental on a listing with the Strict policy.
When the borrower cancels | Refund |
30 or more days before the rental starts | 100% |
14–29 days before the rental starts | 50% |
Less than 14 days before the rental starts | No refund |
Example: the rental starts on 1 December. If the borrower cancels on or before 1 November, they get 100% back. From 2 November to 17 November, they get 50% back. On or after 18 November, they get nothing back.
Is the service fee refunded when a rental is cancelled?
The service fee is refunded in the same proportion as the rest of the rental. The refund percentage applies to the whole amount the borrower paid, including the service fee. For example, a borrower who gets a 50% refund gets back 50% of the rental price and 50% of the service fee. A borrower who gets no refund doesn't get the service fee back either.
What happens if the lender cancels a rental?
If the lender cancels a paid rental, the borrower always gets a 100% refund, including the full service fee, whichever cancellation policy the listing has. The borrower can leave a review of the lender after a lender cancellation.
Can a borrower cancel before paying?
A borrower can cancel a rental request free of charge at any time before paying. The borrower only pays once the lender has approved the request, so nothing has been charged and there is nothing to refund.
What happens to the payment while a booking is waiting for verification?
While a booking is waiting for verification, the borrower's payment is only reserved on their card, not charged. The cancellation policy doesn't apply until verification is approved and the payment is charged.
If the booking is cancelled while verification is still pending, the borrower gets the full amount back, including the service fee, whatever the reason. This applies when:
the borrower cancels the booking
the lender cancels the booking
the borrower's verification or credit check fails
the borrower is under the age limit for the item category
verification isn't completed before the rental's start date
the card reservation expires before verification is approved
The reserved money is released rather than refunded (see "How long does a refund take?").
Once verification is approved and the payment is charged, a borrower cancellation follows the listing's cancellation policy.
Can a borrower cancel after picking up the item?
A borrower can't cancel a rental once the item has been picked up. If something is wrong with the rental after pick up, the borrower should agree a solution with the lender in the chat. Only the lender can give a full or partial refund at this stage, and only until the rental is marked as returned. If the borrower and lender can't agree, contact Hygglo Support (see "How do I get help with a cancellation or refund?").
What does the lender get paid when a borrower cancels?
When a borrower cancels and gets a partial refund or no refund, the lender is paid for the part of the rental the borrower doesn't get back, minus Hygglo's commission. For example, if the borrower gets 50% back, the lender is paid the other 50% of the rental price minus commission. If the borrower gets no refund, the lender is paid as if the rental had gone ahead. For commission rates, see What does it cost to use Hygglo?.
Can a lender give a refund at any time?
A lender can give a full or partial refund until the rental is marked as returned. After that, the lender can't refund the rental themselves and needs to contact Hygglo Support. For the steps, see [How to cancel a rental or give a refund](link: 12530592).
How long does a refund take?
Hygglo issues refunds as soon as a rental is cancelled. The money then usually arrives within 5–10 banking days, often towards the quicker end. Most of this time is taken by the borrower's bank or card issuer, and Hygglo can't make the money arrive sooner. Refunds go back to the card or payment method the borrower paid with.
If the payment was only reserved and never charged (for example while the booking was waiting for verification), the reservation is released instead of refunded. The borrower won't see a refund on their statement; the reserved amount simply disappears. How quickly it disappears depends on the card issuer.
If a refund hasn't arrived after 10 banking days, the borrower should first check with their bank, then contact Hygglo Support.
Can a lender change the cancellation policy?
A lender can change the cancellation policy of a listing at any time under Cancellation Terms in the listing editor. The new policy applies to new bookings only; existing bookings keep the policy they were made with.
Which cancellation policy should a lender choose?
A lender should choose the policy that balances flexibility for borrowers against protection from late cancellations. Flexible gives borrowers the most freedom to cancel, which will make the listing more attractive. Strict protects the lender's income for rentals booked well in advance.
How do I get help with a cancellation or refund?
You can get help from Larry, our AI agent, 24/7, or from Hygglo Support during opening hours. See How to contact us.