In the past, lodging properties had limited rights concerning disputed claims. Now through their bank processor, a property can submit documentation to support the guaranteed reservation charge (i.e., the cardholder name, address, card number and expiration date, and reservation confirmation number). The issuing bank should pass this information on to the consumer who, if they still insist did not participate in the transaction, is required to state that fact in writing. However, if the consumer does not respond for any reason, the second credit card presentment will stand and they will be credited for the guaranteed no-show billing. 

"The MasterCard policy represents an equitable balance in the relationship between a lodging property and the guests it serves," said AH&MA Chairman Bob Slater. "We commend MasterCard for recognizing this long standing issue and taking steps to address it."

In addition, MasterCard has developed a best practices flier for Guaranteed Reservations that is presented at the American Hotel & Motel Association's (AH&MA) "Going the Extra Mile" seminars. The one day seminars are sponsored by MasterCard and developed in conjunction with the Educational Institute of AH&MA.

"MasterCard International moved forward in developing policy changes that would benefit the lodging industry, our members, and our cardholders," said Stan Kotzker, MasterCard International vice president, Travel Markets. �We have learned that hotels were not always aware that their processor could �second present� the charge. Our new educational forums will advise hoteliers and their processors.�

AH&MA, founded in 1910, is a federation of state lodging associations throughout the United States, with some 11,000 property members worldwide, representing more than 1.4 million rooms.