Vrbo Damage Deposit

A Vrbo damage deposit is the amount a host sets to cover damage to a rental during a stay. Vrbo either keeps the guest's card on file for that amount or charges it upfront as a refundable deposit, and a host can offer Property Damage Protection, a guest-bought plan, as the third option (How do damage deposits work (Vrbo Help)).

Last updated: November 2026

How a Vrbo damage deposit works

At the time of booking, a host can require one of three options: a card on file, an upfront refundable damage deposit, or Property Damage Protection (How do damage deposits work (Vrbo Help)).

The host chooses the amount, and the deposit covers the host up to that figure (How do I add damage protection on my listing (Vrbo Help)). The setting takes the amount as a fixed dollar figure (Vrbo Damage Deposits: Everything You Need to Know (Safely)). Vrbo's host help calls this figure the damage security amount, and it is the same setting people search for as a Vrbo security deposit. The amount also decides how Vrbo collects it: at $5,000 or below, Vrbo stores the guest's payment information as a card on file, and above $5,000 it charges a refundable damage deposit when the guest books (How do I protect my property from potential damage (Vrbo Help)).

With a card on file, Vrbo keeps the guest's card details private from the host, places no pre-authorization hold, and charges the guest only if the host files a claim (How do damage deposits work (Vrbo Help)). With an upfront deposit, the guest pays the full amount at booking and gets it back automatically if the host reports no damage (About refundable damage deposits (Vrbo Help)).

With a card on file, the host has 14 days after checkout to assess the property and submit a claim (How do damage deposits work (Vrbo Help)).

Why the Vrbo damage deposit matters for hotel distribution

A property that sells the same rooms on several channels meets different deposit rules on each one. Vrbo collects the refundable deposit at booking or keeps the guest's payment information on file, so the host does not have to collect it separately (How do I protect my property from potential damage (Vrbo Help)). On Airbnb, most hosts are not allowed to charge a security deposit or a credit card hold for incidentals; select software-connected hosts and hotels are the exceptions (Security deposits (Airbnb Help, article 140)). As of April 2022, Booking.com did not collect damage deposits on behalf of properties (Booking.com's new Partner Liability Insurance and Damage Deposits (Rental Scale-Up)).

For a manager, a house rule about deposits has to be set channel by channel. On Vrbo, one figure sets both the coverage and whether the guest sees a charge at booking.

Properties with guests from abroad should expect small differences on refunds. When a booking was charged in another currency, payment and refund totals may vary with exchange rates and bank fees (About refundable damage deposits (Vrbo Help)).

Vrbo damage deposit compared with card on file and Property Damage Protection

 Card on fileUpfront refundable depositProperty Damage Protection
When it appliesDamage security amount of $5,000 or belowDamage security amount above $5,000Host offers the plan instead of a deposit
Charged to the guest at bookingNothing; no pre-authorization holdThe full deposit amount$59, $89 or $119
Host is covered up toThe amount the host setThe amount the host set$1,500, $3,000 or $5,000
Guest is charged laterOnly if the host files a claimUnclaimed balance refundedNot a deposit; the guest buys the plan

Rows: How do I protect my property from potential damage (Vrbo Help), How do damage deposits work (Vrbo Help), How do I add damage protection on my listing (Vrbo Help)

Property Damage Protection is insurance the guest buys as an alternative to a deposit, and the table shows its three price points as listed on November 5, 2026.

Frequently asked questions

How much damage deposit should I charge on Vrbo?
Vrbo leaves the figure to the host, entered as a fixed dollar amount, and covers the host only up to it. A useful starting point is what a typical repair at the property would cost.
How is a refundable damage deposit refunded?
After the claim window closes with no claim, the guest's bank or payment provider may need another five to seven working days before the refunded deposit shows up. A guest who paid by card on file was never charged, so there is nothing to refund.
What is a $1,500 damage deposit?
$1,500 is the lowest coverage level of Property Damage Protection. A guest pays $59 for that plan. When a host offers the plan, the guest can choose to pay it or to leave the matching coverage amount, here $1,500, as a damage security deposit.
Can a host claim more than the deposit?
No. A claim against an upfront deposit cannot be larger than the total the guest paid for that deposit, according to a host software guide. Any unclaimed part goes back in the same form of payment the guest used.
What happens if a host misses the 14-day claim window?
Once the 14 days after checkout pass with no claim, any deposit Vrbo is holding is refunded to the guest automatically, and a host software guide notes that the host has no way to recover it afterwards. Inspecting the property on the day of checkout leaves time to photograph damage, gather repair quotes and file before the window closes.

Related terms

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Where Jetstream fits

Deposit rules differ by channel, and a host can only rely on them when every listing shows the terms the property meant to sell. Jetstream builds an AI channel manager that connects a property's systems to the channels where guests book, and keeps rooms, rates and availability accurate on each one, managed from one place.

See Jetstream's AI channel manager Book a demo