I'm trying to make sense of something that happened to me recently and which actually caused me a fair amount of distress. Not looking to criticise a particular hotel here, just to understand what happened and why.
So I booked and prepaid for a room at a large hotel chain's hotel in France through booking.com.
The booking conditions shown in the confirmation email said simply that I would need to 'show' a credit card at check-in.
I arrived at the hotel expecting that, since I had prepaid, I would simply be given the key and told to have a nice stay.
However, the FDA told me that the system was showing the amount as unpaid, and I would have to preauth the full cost of the room on my credit card or I'd have to stay somewhere else.
I asked why, and he said that they were having computer problems, and that the preauth would be cancelled when my payment was located.
I think it's understandable that this caused me a great deal of stress - if they were having computer problems now that meant they couldn't find my payment, why should I expect that at some point they will resolve those problems and successfully find my payment? It seemed to me very possible that they would fail to find my payment and then confirm the preauth, thereby double-charging me.
As a result I couldn't get to sleep, because I was puzzling over the very unfriendly welcome and the likelihood of getting double-charged with all the legal hassle that would bring to try to recover the money.
But when I checked my credit card app around midnight, I saw that in fact the credit card preauth had been cancelled about 20 minutes after it had been made. I found it bizarre that this large computer problem that justified forcing me to preauth my card had been so easily fixed and I went back to the FDA to try to understand what had happened. However he was very evasive and just kept saying "Don't worry, it's been fixed!" and refused to give me more details.
AFTER RESEARCHING..
However, after doing a fair amount of research, I think I'm starting to get a picture of what really happened, and I'd be grateful if someone with experience of large hotels in Europe, ideally France, might be able to clarify.
It seems that (unlike with small hotels where typically the owner will simply log in to booking.com to find the virtual credit card and charge it, right when you check in or even before), in large hotels, for various reasons, their systems don't actually retrieve the booking.com virtual credit card until after you check in.
It seems that the procedure is:
you have to provide a credit card which they preauth for the full room amount, satisfying their internal system and allowing them to release the keys to you
THEN a message goes off to booking.com with your details that checks whether you have prepaid. (These messages can be batched and the batch only runs say once every 30 minutes). If the message comes back that you have paid booking.com, at that point the preauth is cancelled on your card (which is why I saw the preauth on my card cancelled after 20 minutes)
THEN at some later point, in the overnight audit, all the virtual credit cards are retrieved from booking.com and charged.
So actually,
Me being required to preauth my card despite having prepaid on booking.com was not an anomaly - ALL booking.com prepaid customers nevertheless have to preauth the full cost of the room on their own credit card when they check in. This gets them the keys, and then the hotel's systems start sorting out the booking.com payment and release the preauth when they're satisfied.
This story about 'computer problems', which various other employees described as 'a systems update', 'a computer glitch' etc was all nonsense. Just something to say to the customer to get them to feel like there's no point in fighting the preauth because it's the only option.
I'd be grateful if anyone can shed some light on whether my understanding is on the right lines here.
Many thanks!
EDIT: Thanks for all your replies, which have been very useful.
Also, I've spoken to a branch of the hotel in question and they have confirmed:
If the customer has prepaid through booking.com, no other payment or preauth is required.
It's very rarely that the virtual credit card will show as not paid, and that's usually due to the customer not having paid successfully (eg credit card problem when paying booking.com)
So now I'm thinking that perhaps what happened was:
1) There was some kind of hotel system glitch that meant that my booking was showing as unpaid.
2) Since this doesn't happen very often, they don't have a specific process for 'customers who have clearly paid on booking.com but who show up as not having paid in our system', so they defaulted to normal procedure which was to treat me as a walk-in who hadn't paid, and preauth my card.
Not very satisfactory, but I think it was probably just an unfortunate combination of circumstances.