Spotahome use GoCardless to Collect Pending Fees from UK Landlords
Why do Pending Fees Arise?
Spotahome charges you the Landlord for digitally introducing the tenant to you through our marketplace when a booking occurs i.e. Spotahome’s Landlord fee. This is a percentage of the total contract value.
The tenant pays one week’s rent through Spotahome’s platform in order to secure the booking. We then deduct this from the Landlord’s fee.
If this one week’s rent does not cover the Spotahome’s Landlord fee the difference is the Pending Fee (Outstanding Balance).
How does the Landlord settle their Pending Fees?
1. Firstly sign-up to GoCardless by clicking on the link below and follow the steps:
https://pay.gocardless.com/AL0005KH1WN9T8
By completing this process you are creating a direct debit mandate i.e. payment authorisation for Spotahome to direct debit your bank account. We will use this consent to collect any pending fees owed, relating to successful bookings from tenants digitally introduced by Spotahome. You will always be notified before we collect any future payments from you. No money will be debited from your account by granting this authorisation. This process is mandatory for all our Landlords and is not optional.
2. Select their payment plan
The Landlord has two options to pay-off the Pending Fee (payment plan):
A. Pay-off the pending fee in monthly instalments (across the duration of the booking)
Spotahome totals all monthly outstanding payments across all active bookings each month and collects this via a one-off payment using GoCardless. This payment does not recur.
Example - assume the Landlord only has one booking
If the Landlord had multiple active bookings across a specific month the direct debit amount would be the sum of all the monthly pending fees across all these bookings.
Note, if a booking is Spotahome Premium, 50% of the pending fee will be charged at check-in and the other 50% will be collected via monthly installments across the duration of the booking.
B. Pay-off the pending fee in the first month as a lump sum
Spotahome totals all outstanding payments across all new bookings each month and collects this via a one-off payment using GoCardless. This will be a one-off payment that does not recur.
Example - assume the Landlord only has one booking
If the Landlord had multiple new active bookings across a specific month the direct debit amount would be the sum of all the pending fees across all these bookings.
Note, if a booking is Spotahome Premium, 100% of the pending will be charged at check-in.
Payment Timings
In terms of payment timings, the first or lump sum payment will always be processed in the following month after the contract of the booking begins. For the monthly instalment payment plan, the number of direct debits is calculated by determining the number of days between the start and end of the contract, dividing this by 30.416 and rounding to the nearest whole number.
Cancellations / Early Move-Outs
If any cancellations or early move-outs occur on bookings in either payment plan, please contact us and we can adjust the monthly outstanding balance accordingly. Please note, if any early move-out or cancellation occurs and the tenant has stayed 15 days or more for that contracted month we will charge the Landlord the corresponding pending fee for that month. However, If the tenant stays for less than 15 days of the contracted month, no pending fee will be charged for that month.
Example
3. The only further action required from the Landlord is to make sure they have sufficient funds in their account, so that the payment is successful. Each month the Landlord will receive a pro forma invoice for that month's pending fee payment and the breakdown of the data relating to their live / new booking(s), 4 to 8 days prior to the direct debit being processed. Once settled, you will then receive a final invoice for that month.
Please note, if you the Landlord are UK VAT registered, Vat Exemption will only apply to bookings that were confirmed prior to the UK leaving the EU i.e. 01/01/2021. Please ensure you have informed Spotahome that you are registered for this to take effect.
For more information relating to GoCardless please visit their website and T&Cs: