Payment Terms Policy

This Payment Terms Policy governs all financial transactions on BookInstead.com, including guest payments, the BookInstead Service Fee, operator commissions, payout processing, refunds, chargebacks, holds, and tax reporting. It applies to all Guests and Operators and is incorporated by reference into the BookInstead Terms of Service and Operator Terms of Service.

Quick Reference: How Money Flows on BookInstead

The table below describes the complete financial lifecycle of a booking on BookInstead.com from the moment a guest pays to the moment an operator receives their payout.

Step	Stage	What Happens
1	Guest Pays	Guest submits payment at checkout. Full amount (Experience Value + Service Fee) is captured by BookInstead’s payment processor.
2	Funds Held	Funds are held by the payment processor. BookInstead does not release funds to the Operator until after the Experience is completed.
3	Experience Occurs	Operator delivers the Experience on the confirmed date.
4	Completion Confirmed	Experience is marked complete in the system (automatically or by Operator confirmation). A 24-hour dispute window opens for the Guest.
5	Payout Initiated	3 business days after Experience completion (or 7 for new Operators), BookInstead initiates the Net Payout to the Operator’s bank account via ACH.
6	Operator Receives Funds	Operator receives Net Payout = Booking Value minus Commission minus any applicable deductions.
7	Service Fee Retained	BookInstead retains the non-refundable Service Fee collected from the Guest at checkout, separate from the Commission.

1. Introduction and Scope

1.1 Purpose

This Payment Terms Policy (“Payment Policy”) establishes the rules, procedures, and obligations governing all financial transactions facilitated through the BookInstead.com platform (“Platform”). It applies to all Guests who purchase Experiences through the Platform and all Operators who receive payouts through the Platform.

BookInstead facilitates payments between Guests and Operators but is not a bank, payment institution, or money services business. All payment processing is handled by third-party payment processors that are licensed and PCI-DSS compliant. BookInstead acts as a limited payment collection agent on behalf of Operators for the purpose of receiving Guest payments.

1.2 Relationship to Other Policies

This Payment Policy supplements and is incorporated into the BookInstead Terms of Service and the Operator Terms of Service. In the event of a conflict between this Payment Policy and those documents on a payment-specific matter, this Payment Policy controls. All refund procedures referenced herein are governed in detail by the Cancellation and Refund Policy.

1.3 Modifications

BookInstead reserves the right to modify this Payment Policy at any time. Material changes will be communicated to registered users and Operators via email at least fourteen (14) calendar days before taking effect. Continued use of the Platform constitutes acceptance of the revised Payment Policy.

2. Definitions

Term	Definition
Booking Value	The total amount charged to the Guest for the Experience, excluding the BookInstead Service Fee. This is the base amount from which the Operator’s Net Payout is calculated.
BookInstead Service Fee	A non-refundable fee charged by BookInstead to the Guest at checkout, separate from the Booking Value, covering platform operations, payment processing infrastructure, fraud prevention, and guest support. This fee is retained entirely by BookInstead and is not shared with Operators.
Commission	The percentage of the Booking Value retained by BookInstead as compensation for marketplace access, booking technology, and guest acquisition. Deducted from the Booking Value before payout. The specific rate is set in each Operator’s registration agreement.
Payment Processing Fee	A per-transaction fee charged by BookInstead’s payment processor for capturing, storing, and transferring funds. Passed through to Operators at cost where applicable. Disclosed in the Operator Dashboard.
Net Payout	The amount disbursed to the Operator after deducting Commission, Payment Processing Fees, and any applicable holds, deductions, or withholdings from the Booking Value.
Payout Hold	A temporary suspension of a Net Payout applied by BookInstead pending resolution of a dispute, investigation, fraud review, tax compliance issue, or verification requirement.
Chargeback	A reversal of a Guest’s credit or debit card transaction initiated by the Guest’s card-issuing bank, bypassing BookInstead’s internal dispute resolution process.
Chargeback Fee	A fee assessed by BookInstead’s payment processor for each chargeback filed against a transaction, regardless of the outcome. This fee is passed through to the responsible party.
ACH Transfer	An electronic bank-to-bank funds transfer processed through the Automated Clearing House network, used by BookInstead to disburse Net Payouts to Operators.
Payout Schedule	The timeline on which Net Payouts are initiated to Operators after an Experience is completed, as described in Section 7.
Refund	A return of all or part of the Booking Value to the Guest’s original payment method, issued in accordance with the Cancellation and Refund Policy.
BookInstead Credit	A non-cash, non-transferable platform credit issued to a Guest’s account as an alternative to a cash refund in qualifying cancellation scenarios. Valid for 12 months from issuance.
Backup Withholding	A mandatory tax withholding applied by BookInstead to Operator payouts where the Operator has failed to provide valid taxpayer identification information, as required by IRS regulations.
Merchant of Record	The legal entity responsible for the transaction in the payment processor’s records. BookInstead acts as the Merchant of Record for all Guest-facing transactions on the Platform.
Payment Processor	The third-party PCI-DSS Level 1 compliant payment technology provider contracted by BookInstead to capture, process, and transfer Guest payments and Operator payouts.
Stripe / Payout Provider	The specific third-party payment and payout processing platform(s) used by BookInstead. These are subject to change with notice and are governed by their own terms of service, which Operators must accept during onboarding.
Fraud Signal	An automated or manual indicator identified by BookInstead’s fraud detection systems suggesting that a transaction, account, or booking may involve fraudulent, deceptive, or unauthorized activity.

3. Guest Payment Terms

3.1 Payment Authorization

By completing the checkout process on BookInstead.com, the Guest authorizes BookInstead, acting as the Merchant of Record and as a limited payment collection agent on behalf of the Operator, to charge the full Booking Amount (Booking Value plus BookInstead Service Fee) to the payment method provided at checkout. This authorization is given at the time of purchase and is not revocable once payment is confirmed, except as provided in the Cancellation and Refund Policy.

Payment is considered authorized and captured at the moment the Guest clicks the final purchase confirmation button and receives a booking confirmation email. Incomplete transactions — where the Guest initiates but does not complete the checkout flow — do not result in a charge.

3.2 Accepted Payment Methods

BookInstead currently accepts the following payment methods for Guest transactions:

Payment Method	Accepted Cards / Networks	Notes
Credit Cards	Visa, Mastercard, American Express, Discover	All major credit cards accepted. No surcharge for credit card use.
Debit Cards	Visa Debit, Mastercard Debit	Must have a major card network logo to be accepted.
BookInstead Credits	N/A	Platform credits issued by BookInstead. May be combined with a card payment for the remaining balance.
Digital Wallets	Apple Pay, Google Pay (where enabled)	Availability subject to browser and device compatibility.
Prepaid Cards	Visa, Mastercard prepaid	Accepted where supported by the payment processor. BookInstead cannot guarantee acceptance of all prepaid cards.

BookInstead does not accept cash, checks, wire transfers, cryptocurrency, money orders, or any form of payment not listed above. Operators may not accept alternative payment methods from Guests outside of the BookInstead checkout process.

3.3 Payment Security and PCI Compliance

All Guest payment data is processed by BookInstead’s PCI-DSS Level 1 compliant payment processor. BookInstead does not store, transmit, or have access to full credit card numbers, CVV codes, or bank account numbers. Payment data is tokenized by the payment processor and referenced internally by a secure token that cannot be used to initiate unauthorized transactions.

BookInstead uses TLS 1.2 or higher encryption for all data transmitted between the Guest’s browser and the Platform’s checkout environment. Guests should ensure they are completing checkout on a secure, private network. BookInstead is not responsible for compromised payment data resulting from the Guest’s use of unsecured networks or shared devices.

3.4 Full Payment at Booking

BookInstead requires full payment at the time of booking for all Experiences. BookInstead does not offer payment plans, installment payments, deposits, or deferred payment arrangements. The full Booking Amount — Booking Value plus the BookInstead Service Fee — is captured at the time of booking confirmation.

Operators may not instruct Guests to make partial payments through the Platform with the intent to collect the remainder in cash or through off-platform means. Any such arrangement constitutes a violation of the Operator Terms of Service.

3.5 Booking Amount Disclosure

The full Booking Amount is disclosed to the Guest before payment is captured. The checkout screen displays:

The per-person or per-unit Experience price.
The number of guests or units being booked.
Any applicable add-ons selected by the Guest.
The BookInstead Service Fee, itemized separately.
Any applicable taxes collected by BookInstead, itemized separately.
The total Booking Amount charged to the Guest’s payment method.

Guests must review and confirm the Booking Amount before completing checkout. Once payment is confirmed, the Booking Amount is binding and cannot be reduced retroactively by the Guest based on a claim that they did not review the amount.

3.6 Currency

All transactions on the BookInstead Platform are denominated and processed in United States Dollars (USD). Guests using payment methods denominated in a foreign currency will be charged in USD, and currency conversion will be handled by their card issuer or financial institution at the prevailing exchange rate. BookInstead is not responsible for foreign exchange fees, currency conversion charges, or exchange rate fluctuations applied by the Guest’s financial institution.

3.7 Failed and Declined Payments

If a Guest’s payment method is declined at checkout, the Booking will not be confirmed and no reservation will be held. The Guest will be notified of the decline and may attempt the transaction again with a different payment method. BookInstead is not responsible for holds, temporary authorizations, or declined transaction fees applied by the Guest’s bank or card issuer in connection with a failed payment attempt.

If a payment that was initially authorized is subsequently reversed or voided by the Guest’s bank (for example, due to a suspected fraudulent transaction), BookInstead will attempt to contact the Guest within one (1) business day. If the issue is not resolved within five (5) business days, the Booking may be canceled without refund obligation, and the Operator will be notified.

4. BookInstead Service Fee

4.1 Purpose and Amount

The BookInstead Service Fee is charged to Guests at checkout on every Booking made through the Platform. This fee compensates BookInstead for the cost of operating and maintaining the marketplace, including payment processing infrastructure, fraud detection and prevention, Guest support services, platform technology, marketing and guest acquisition, and the enforcement of platform policies that protect both Guests and Operators.

The Service Fee is calculated as a percentage of the Booking Value or as a flat fee, depending on the Experience category and booking size. The applicable Service Fee is disclosed to the Guest on the Listing page and on the checkout screen before payment is captured. The Service Fee range across the platform is as follows:

Booking Value Range	Service Fee	Notes
$0 – $99.99	Up to 15% of Booking Value	Minimum fee of $3.00 applies regardless of percentage calculation.
$100 – $499.99	Up to 12% of Booking Value	Standard range for most individual and small-group Experiences.
$500 – $999.99	Up to 10% of Booking Value	Applies to premium or multi-person Experiences.
$1,000 and above	Up to 8% of Booking Value	Applies to large-group or custom Experiences. Negotiated rates may apply for high-volume Operators.

The exact Service Fee percentage may vary based on the Operator’s category, promotional arrangements, or volume-based agreements. The fee displayed at checkout is the definitive amount charged.

4.2 Non-Refundability

The BookInstead Service Fee is non-refundable in all circumstances except the following, which are governed by the Cancellation and Refund Policy:

Operator-initiated cancellations: The Service Fee is refunded to the Guest in full.
Weather or safety cancellations formally designated by the Operator: The Service Fee is refunded to the Guest in full.
Bookings canceled due to a pricing error under Section 3.4 of the Terms of Service: The Service Fee is refunded to the Guest in full.

The Service Fee is not refundable in the following scenarios, regardless of the reason for cancellation:

Guest-initiated cancellations within the Standard or Extended Cancellation Window.
Late cancellations or no-shows by the Guest.
Cancellations resulting from the Guest’s failure to meet Experience eligibility requirements.
Hardship Exception approvals under the Cancellation and Refund Policy.
Chargebacks filed by the Guest, where BookInstead prevails in the dispute.

5. Operator Commission Structure

5.1 Commission as Marketplace Compensation

The Commission is the primary mechanism by which BookInstead generates revenue from Operator transactions. In exchange for the Commission, BookInstead provides Operators with access to the Platform’s booking technology, payment processing, fraud prevention, Guest support, marketing channels, and the BookInstead guest audience. The Commission is deducted from the Booking Value before the Net Payout is calculated.

5.2 Commission Rate Tiers

Commission rates are determined at the time of Operator registration and reflect the Operator’s Experience category, booking volume tier, and any promotional or negotiated arrangements. Standard commission tiers are as follows:

Operator Tier	Commission Rate	Eligibility
Standard	Up to 20% of Booking Value	Default tier for all new Operators. Applies until monthly booking volume thresholds are met.
Growth	Up to 17% of Booking Value	Available to Operators generating $2,500+ in Booking Value per calendar month for 3 consecutive months.
Partner	Up to 15% of Booking Value	Available to Operators generating $10,000+ in Booking Value per calendar month for 3 consecutive months.
Enterprise	Negotiated Rate	Available to Operators generating $25,000+ per month or multi-location operators. Requires a separate written commission agreement.

Commission tier upgrades are evaluated quarterly. BookInstead will notify Operators by email when they become eligible for a tier upgrade. Operators must contact operators@bookinstead.com to request a formal tier review. Tier downgrades resulting from a decline in booking volume below the threshold for two (2) consecutive calendar months will be implemented with thirty (30) days’ written notice.

5.3 Commission Rate Changes

BookInstead reserves the right to adjust standard Commission rates with thirty (30) calendar days’ written notice to affected Operators. Operators who do not accept a Commission rate change may terminate their account in accordance with the Operator Terms of Service. Continued use of the Platform after the effective date of a Commission change constitutes acceptance of the new rate. Commission rate changes do not apply retroactively to Bookings confirmed before the effective date of the change.

5.4 Commission Calculation Example

The following is an illustrative example of how Commission is calculated for a standard Booking:

Line Item	Amount
Guest pays at checkout (Booking Value)	$200.00
BookInstead Service Fee (charged to Guest separately)	$22.00 (11%)
Total Guest Payment	$222.00
BookInstead Commission (20% of Booking Value)	− $40.00
Payment Processing Fee (est. 2.9% + $0.30)	− $6.10
Net Payout to Operator	$153.90
BookInstead Total Revenue (Service Fee + Commission)	$62.00

Actual amounts will vary based on the applicable Service Fee percentage, Commission tier, and payment processor fees for each transaction.

6. Operator Payout Processing

6.1 Payout Eligibility

To receive payouts, an Operator must have:

A fully verified Operator Account in good standing.
A valid, active U.S. bank account connected to the Operator’s payout profile through BookInstead’s payout provider.
A valid taxpayer identification number (TIN or EIN) on file with BookInstead.
No active account suspensions, fraud investigations, or legal holds affecting the account.
Completed all required identity and business verification steps during registration.

6.2 Payout Schedule

Net Payouts are initiated on the following schedule:

Operator Status	Payout Initiation Timeline	Bank Receipt Estimate
Standard (established account)	3 business days after Experience completion date	1–3 additional business days for ACH processing
New Operator (first 60 days)	7 business days after Experience completion date	1–3 additional business days for ACH processing
Disputed Booking	Held until dispute resolution. Then standard timeline from resolution date.	1–3 additional business days after payout initiation
Account Under Investigation	All payouts suspended until investigation is resolved.	N/A — no disbursement during active investigation
Enterprise Account (negotiated)	Per separate commission agreement	Per separate commission agreement

The Experience completion date is defined as the calendar date on which the Experience was scheduled to occur, as confirmed in the booking record. Operator failure to mark an Experience as completed in the Dashboard may delay payout initiation. BookInstead may automatically trigger payout initiation based on the scheduled completion date after a 24-hour window if the Operator has not taken action.

6.3 ACH Transfer Details

All payouts are disbursed via ACH transfer to the U.S. bank account registered in the Operator’s payout profile. Operators are solely responsible for:

Providing accurate and current bank account information, including routing number and account number.
Notifying BookInstead immediately if their bank account information changes by updating it in the Operator Dashboard or by contacting payouts@bookinstead.com.
Any delays, failed transfers, or bank fees arising from incorrect bank account information.

BookInstead is not liable for failed ACH transfers resulting from incorrect bank information provided by the Operator. If a payout transfer fails, BookInstead will notify the Operator within two (2) business days and will hold the funds pending receipt of corrected bank account information. Unclaimed failed payouts will be held for ninety (90) days; after that period, they are subject to applicable state unclaimed property laws.

6.4 Minimum Payout Threshold

BookInstead does not currently impose a minimum payout threshold. All Net Payouts are disbursed on the standard schedule regardless of amount, subject to the payment processor’s minimum transfer requirements (which are typically $1.00 or less). If the payment processor’s minimum is not met for a given payout cycle, the amount will be rolled into the next payout cycle.

6.5 International Operators

BookInstead currently supports payouts only to U.S.-based bank accounts denominated in U.S. dollars. Operators based outside the United States who wish to list on the Platform must maintain a U.S. bank account or must work with BookInstead to establish an alternative payout arrangement through a supported international payout method. International Operators are subject to additional identity verification requirements and may be subject to different Commission structures. Contact operators@bookinstead.com for international payout arrangements.

7. Payout Holds and Suspensions

7.1 Circumstances Triggering a Payout Hold

BookInstead may place a Payout Hold on any or all of an Operator’s pending payouts under the following circumstances:

Trigger	Description
Active Guest Dispute	A Guest has filed a formal dispute related to the affected Booking. The Net Payout for that Booking is held until the dispute is resolved by the Resolution Team.
Fraud Investigation	BookInstead’s fraud detection systems or the payment processor have flagged the account or one or more transactions for potential fraud. All payouts are suspended pending investigation.
Chargeback Filed	A Guest has filed a chargeback with their card issuer. The disputed amount plus the Chargeback Fee is held until the chargeback is resolved.
Missing Tax Information	The Operator has not provided a valid TIN or EIN. Payouts are held until valid tax information is on file, at which point backup withholding may apply retroactively.
Account Compliance Violation	The Operator’s account has been flagged for a policy violation, license lapse, insurance gap, or other compliance issue under the Operator Terms of Service.
Pending Legal Proceeding	BookInstead has received a legal order, subpoena, court order, or government directive requiring it to hold the Operator’s funds.
Operator Account Termination for Cause	The Operator’s account has been terminated for cause. All pending payouts are held for up to 90 days pending resolution of open disputes, chargebacks, and Guest refund obligations.
Excessive Refund Rate	The Operator’s refund or dispute rate exceeds BookInstead’s acceptable thresholds, indicating a potential systemic delivery issue or fraud pattern.

7.2 Hold Notification

When a Payout Hold is placed on an Operator’s account, BookInstead will notify the Operator by email within one (1) business day, identifying:

The specific booking(s) or the full account affected by the hold.
The reason for the hold.
The estimated resolution timeline, if known.
Any action required from the Operator to resolve the hold.

Operators may contest a hold by contacting payouts@bookinstead.com within fourteen (14) calendar days of the hold notification. If the Operator disputes the basis for the hold, BookInstead will conduct a review and respond within five (5) business days.

7.3 Hold Duration and Release

Payout Holds are released as follows:

Dispute-related holds: Released within one (1) business day of the Resolution Team’s final decision.
Fraud investigation holds: Released within one (1) business day of investigation closure, if the account is cleared.
Chargeback holds: Released within one (1) business day of final chargeback resolution by the card network.
Tax information holds: Released within one (1) business day of valid tax information submission.
Compliance holds: Released within one (1) business day of confirmed compliance resolution.
Termination-for-cause holds: Released after the 90-day hold period, net of all outstanding deductions, disputes, and refund obligations.

8. Refunds and Payout Adjustments

8.1 Refund Processing

All Guest refunds are processed in accordance with the BookInstead Cancellation and Refund Policy. This section addresses the financial mechanics of how refunds are handled relative to Operator payouts.

Refund Scenario	Impact on Guest	Impact on Operator Payout
Guest cancels within window (24hr or 7-day)	Full Booking Value refunded to original payment method within 5–7 business days.	No payout is issued. The Booking Value is returned to the Guest in full.
Guest cancels outside window	BookInstead Credit issued for Booking Value. No cash refund.	Operator receives Net Payout as normal after Experience date passes.
Guest no-show	BookInstead Credit for 50% of Booking Value (first occurrence).	Operator receives Net Payout on 50% of Booking Value after no-show is confirmed.
Operator cancels (non-qualifying)	Full Booking Value + Service Fee refunded to Guest. $10 Courtesy Credit issued.	No payout issued. Operator Cancellation Fee deducted from next payout per Operator Terms.
Operator cancels (Force Majeure)	Full Booking Value + Service Fee refunded to Guest as BookInstead Credit.	No payout issued. No cancellation fee applied.
Dispute resolved in Guest’s favor	Full or partial cash refund or BookInstead Credit per Resolution Team’s decision.	Corresponding amount deducted from pending or future payout.
Dispute resolved in Operator’s favor	Refund denied. Booking Value is retained.	Operator receives full Net Payout on standard schedule.
Pricing error cancellation	Full Booking Amount including Service Fee refunded to Guest.	No payout issued. No cancellation fee applied.

8.2 Refund Timeline to Guests

Cash refunds to the Guest’s original payment method are initiated by BookInstead within one (1) business day of the qualifying cancellation, dispute resolution, or other triggering event. The time for the refund to appear in the Guest’s account depends on the Guest’s card issuer or bank and is typically:

Credit cards: 5 to 10 business days from refund initiation.
Debit cards: 3 to 7 business days from refund initiation.
Prepaid cards: Varies by card issuer; may take up to 14 business days.
Digital wallets (Apple Pay, Google Pay): 1 to 5 business days from refund initiation.

BookInstead is not responsible for delays in refund processing caused by the Guest’s financial institution. If a refund has not appeared within fifteen (15) business days of the initiation date, the Guest should contact their bank before contacting BookInstead support.

8.3 Payout Clawbacks

If a payout has already been disbursed to an Operator and a subsequent event requires a full or partial refund to the Guest — including a successful chargeback, a dispute resolved in the Guest’s favor, or a confirmed Material Misrepresentation — BookInstead may:

Deduct the refund amount from the Operator’s next scheduled payout.
If no future payout is available or sufficient, issue the Operator a formal invoice for the amount owed, payable within fourteen (14) calendar days.
If the invoice is unpaid, BookInstead may pursue collection through applicable legal channels, including engaging a collections agency or initiating civil legal proceedings.

Operators consent to payout clawbacks as a condition of using the Platform and acknowledge that this remedy is necessary to protect Guests and the integrity of the marketplace.

9. Chargeback Procedures and Responsibilities

9.1 What Is a Chargeback

A chargeback occurs when a Guest contacts their credit or debit card-issuing bank to dispute a charge and request a reversal of the transaction. Chargebacks bypass BookInstead’s internal dispute resolution process and are governed by card network rules (Visa, Mastercard, American Express, Discover). When a chargeback is filed, the funds are immediately pulled from BookInstead’s merchant account by the card network, pending investigation.

Chargebacks are a necessary consumer protection mechanism. However, fraudulent or bad-faith chargebacks — filed by Guests who received the Experience as described or who already received a refund from BookInstead — are a form of payment fraud and are treated as such.

9.2 Guest Chargeback Obligations

Guests agree to contact BookInstead support at support@bookinstead.com before filing a chargeback with their card issuer for any booking-related charge. BookInstead will investigate and respond to all valid concerns within five (5) business days. Guests who file a chargeback without first exhausting BookInstead’s internal process forfeit:

Any refund, credit, or compensation they may otherwise have been entitled to under the Cancellation and Refund Policy.
Future access to the BookInstead Platform, including their account and any unused BookInstead Credits.

BookInstead will submit complete booking documentation — including confirmation records, cancellation timestamps, communication logs, and evidence submitted in any prior dispute — to the card issuer in response to every chargeback filed, regardless of the Guest’s stated reason.

9.3 Operator Chargeback Responsibility

When a chargeback is filed against a Booking associated with an Operator’s Listing, the financial responsibility is allocated as follows:

Chargeback Outcome	Financial Responsibility
Chargeback won by BookInstead (transaction upheld)	No financial loss to Operator. Payout Hold released. Chargeback Fee passed through to BookInstead.
Chargeback lost — Guest received Experience as described but filed anyway	BookInstead absorbs loss as platform operating cost. Operator receives Net Payout. Guest account flagged and suspended.
Chargeback lost — Operator failed to deliver Experience as described	Chargeback amount + Chargeback Fee deducted from Operator’s next payout. Operator dispute record updated.
Chargeback lost — Operator cancellation caused refund obligation	BookInstead absorbs if Operator Cancellation was properly processed. Operator Cancellation Fee applies per Operator Terms.
Chargeback lost — fraudulent activity by Operator	Full chargeback amount + fees deducted. Account terminated. Legal action may be initiated.

9.4 Chargeback Fees

BookInstead’s payment processor charges a Chargeback Fee for each chargeback filed against a transaction, regardless of the outcome of the chargeback dispute. The current Chargeback Fee is typically between $15 and $25 per dispute, as determined by the payment processor. This fee is:

Absorbed by BookInstead for chargebacks determined to be the result of Operator-caused failures or Guest bad faith.
Passed through to the Operator for chargebacks resulting from Operator failure to deliver the Experience as described.

BookInstead reserves the right to update the Chargeback Fee amount as required by its payment processor, with notice to Operators in the next scheduled payout statement.

9.5 High Chargeback Rate Threshold

Operators whose chargeback rate (total chargebacks as a percentage of total bookings) exceeds one percent (1.0%) in any rolling 90-day period will be subject to:

A formal written notice from BookInstead identifying the chargeback rate and requiring a written remediation plan within fourteen (14) calendar days.
Increased payout hold periods of up to fourteen (14) business days while the elevated chargeback rate persists.
If the chargeback rate exceeds two percent (2.0%) in any rolling 90-day period, the Operator’s account may be suspended pending a full compliance review.

10. Fraud Prevention and Risk Management

10.1 BookInstead’s Fraud Detection Systems

BookInstead employs automated and manual fraud detection systems to identify and prevent fraudulent transactions, account activity, and payment abuse. These systems analyze multiple data points in real time, including but not limited to:

Device fingerprinting and IP address reputation analysis.
Behavioral patterns during the checkout and booking flow.
Card velocity checks — multiple bookings in a short period using the same card or from the same IP address.
Mismatch between billing address and booking location.
Known fraudulent card numbers and compromised payment credentials.
Unusual account activity, including multiple failed payment attempts.

10.2 Transaction Review and Delays

Transactions flagged by BookInstead’s fraud detection systems may be subject to a manual review period of up to two (2) business days before the Booking is confirmed. Guests and Operators will be notified if a transaction is placed under review. BookInstead is not liable for any loss or inconvenience resulting from a transaction review delay.

BookInstead reserves the right to cancel any Booking — before or after confirmation — where fraud is confirmed or reasonably suspected, and to refund the Guest in full without liability to the Operator, provided the cancellation is based on a good-faith fraud determination.

10.3 Operator Responsibility for Fraud

Operators must not engage in, facilitate, or knowingly permit any fraudulent payment activity on the Platform. Prohibited conduct includes:

Creating fictitious bookings to inflate booking counts, ratings, or payout totals.
Using stolen payment credentials to make bookings, even for the purpose of testing the Platform.
Accepting payments outside the Platform from Guests for services listed on the Platform.
Coordinating with Guests to file fraudulent chargebacks for the purpose of obtaining free services or double refunds.

Operators found to have engaged in payment fraud will be immediately terminated, all pending payouts will be frozen, and the matter will be referred to applicable law enforcement and card network fraud departments.

10.4 Guest Responsibility for Fraud

Guests warrant that all payment information they submit is their own and is being used with authorization. Guests may not:

Use another person’s payment method without their express authorization.
Use stolen, compromised, or fraudulently obtained payment credentials.
Attempt to circumvent fraud detection systems through the use of VPNs, proxies, or device spoofing.
File chargebacks after receiving an Experience, refund, or BookInstead Credit in bad faith.

Guests found to have engaged in payment fraud will be permanently banned from the Platform and may be subject to civil or criminal liability.

11. Taxes and Tax Reporting

11.1 Guest Tax Obligations

Guests are responsible for paying all taxes applicable to their purchases on the Platform. BookInstead may collect and remit certain taxes on Guest purchases where required by law, including state and local sales tax, tourism tax, or activity tax in applicable jurisdictions. Where BookInstead collects tax on behalf of the jurisdiction, the tax amount will be disclosed and itemized on the checkout screen and in the booking confirmation email.

BookInstead does not provide tax advice. Guests are encouraged to consult a qualified tax professional regarding the deductibility or taxability of any Booking in their individual circumstances.

11.2 Operator Tax Obligations

Operators are solely responsible for determining, collecting, reporting, and remitting all taxes applicable to their Experiences and to the income they receive through the Platform, including:

Federal and state income tax on Net Payouts received.
Self-employment tax, where applicable.
State and local sales tax, tourism tax, excise tax, or activity tax applicable to the Operator’s Experience type and jurisdiction.
Any other tax obligation arising from the Operator’s business activities.

BookInstead is not responsible for calculating, collecting, or remitting taxes on the Operator’s behalf, except where specifically required by law. Operators must ensure that their Listing pricing accounts for any tax obligations they are required to collect from Guests.

11.3 IRS Form 1099 Reporting

BookInstead is required by U.S. tax law to report payments made to Operators through the Platform to the Internal Revenue Service (IRS). Operators who receive $600 or more in aggregate Net Payouts in a calendar year will receive:

IRS Form 1099-K if payouts are processed through a third-party payment network, or
IRS Form 1099-NEC if applicable under current IRS reporting requirements.

Tax forms will be issued to the email address and mailing address on file in the Operator’s account by January 31 of the following calendar year. Operators are responsible for ensuring that their account contains an accurate name, address, and taxpayer identification number (TIN or EIN) for tax reporting purposes.

11.4 Backup Withholding

If an Operator fails to provide a valid taxpayer identification number, provides an incorrect TIN, or is notified by the IRS that they are subject to backup withholding, BookInstead is required by law to withhold a percentage of all payouts at the applicable federal backup withholding rate (currently 24%) and remit those amounts to the IRS. Backup withholding will be applied until valid tax information is on file and any IRS backup withholding requirement is resolved.

Operators should contact payouts@bookinstead.com immediately if they receive an IRS notice regarding backup withholding or if they need to update their tax information on file.

12. Payment Disputes and Resolution

12.1 Guest Payment Disputes

Guests who believe they have been incorrectly charged, charged for a Booking they did not make, or charged an amount different from what was disclosed at checkout should contact BookInstead support at support@bookinstead.com before filing a chargeback. BookInstead will investigate and resolve valid billing concerns within five (5) business days.

12.2 Operator Payout Disputes

Operators who believe a payout was calculated incorrectly, that an unauthorized deduction was applied, or that a payout was not initiated on schedule should submit a written payout dispute to payouts@bookinstead.com within fourteen (14) calendar days of the payout date or the scheduled payout date, whichever is later. The dispute must include:

The Operator’s account email address.
The booking confirmation number(s) associated with the dispute.
The specific payout amount in question.
The reason for the dispute and any supporting documentation.

BookInstead will acknowledge receipt within one (1) business day and issue a written decision within seven (7) business days. If the dispute is resolved in the Operator’s favor, any owed amount will be included in the next scheduled payout cycle. BookInstead’s payout dispute decision is final and binding.

12.3 Escalation to Arbitration

If an Operator’s payout dispute is not resolved to the Operator’s satisfaction through BookInstead’s internal process, the dispute may be escalated to binding arbitration under the American Arbitration Association’s Commercial Arbitration Rules in Harris County, Texas, as provided in the Operator Terms of Service.

13. Platform Financial Integrity Protections

13.1 Off-Platform Payment Prohibition

All payments for Experiences listed on the BookInstead Platform must be processed exclusively through the Platform’s checkout system. Operators are strictly prohibited from:

Soliciting, accepting, or requesting cash payments, card payments, wire transfers, cryptocurrency, Venmo, PayPal, Zelle, or any other form of off-platform payment from Guests for Experiences listed on BookInstead.
Directing Guests to a separate website, phone number, or payment link to complete a booking that originated on BookInstead.
Offering Guests a price discount in exchange for booking off-platform.

Guests are equally prohibited from requesting off-platform payment arrangements. Off-platform payments undermine the Platform’s fraud protections, eliminate Guest protections under the Cancellation and Refund Policy, and deprive BookInstead of earned Commission. Violations are grounds for immediate account termination for both Operators and Guests.

13.2 Payout Account Security

Operators are solely responsible for the security of their payout bank account information. BookInstead will never ask an Operator to provide their bank account credentials, routing number, or account number through email, chat, or phone. Any such request should be treated as a phishing attempt and reported immediately to security@bookinstead.com.

If an Operator’s payout account information is compromised or changed without authorization, the Operator must notify BookInstead immediately at payouts@bookinstead.com. BookInstead will suspend payout processing for that account for up to two (2) business days pending verification of the authorized account holder’s identity.

13.3 Right to Withhold Payouts for Legal Compliance

BookInstead reserves the right to withhold any payout, in whole or in part, where required by:

A court order, subpoena, or government directive.
An IRS or state tax authority levy, garnishment, or withholding requirement.
A fraud investigation by BookInstead, a card network, or a law enforcement agency.
A bankruptcy proceeding involving the Operator.

BookInstead will notify the Operator of any legally mandated payout withholding as soon as it is legally permitted to do so.

14. Limitation of Liability

TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, BOOKINSTEAD’S TOTAL FINANCIAL LIABILITY TO ANY PARTY ARISING OUT OF OR RELATED TO THIS PAYMENT POLICY SHALL NOT EXCEED THE GREATER OF: (A) THE TOTAL FEES PAID BY THE CLAIMANT TO BOOKINSTEAD IN THE NINETY (90) DAYS PRECEDING THE CLAIM, OR (B) ONE HUNDRED DOLLARS ($100.00). BOOKINSTEAD SHALL NOT BE LIABLE FOR INDIRECT, INCIDENTAL, SPECIAL, CONSEQUENTIAL, OR PUNITIVE DAMAGES ARISING OUT OF PAYMENT PROCESSING DELAYS, PAYOUT HOLDS, FAILED TRANSFERS, CHARGEBACK LOSSES, OR PAYMENT PROCESSOR ERRORS BEYOND BOOKINSTEAD’S REASONABLE CONTROL.

BookInstead is not liable for losses caused by:

The failure, insolvency, or error of any third-party payment processor or payout provider.
Currency conversion losses or foreign exchange fees applied by a Guest’s or Operator’s financial institution.
ACH transfer delays caused by banking system outages, federal holidays, or the receiving bank’s processing times.
Unauthorized access to a Guest’s or Operator’s payment method resulting from the user’s failure to secure their account credentials.
Chargeback losses resulting from the Operator’s failure to fulfill an Experience as described.

15. Governing Law and Miscellaneous

15.1 Governing Law

This Payment Policy is governed by the laws of the State of Texas, without regard to its conflict of law provisions. Any legal proceeding related to this Policy shall be brought exclusively in the state or federal courts of Harris County, Texas, or resolved through binding arbitration as provided in the BookInstead Terms of Service or Operator Terms of Service.

15.2 Entire Agreement on Payment Matters

This Payment Policy, together with the BookInstead Terms of Service, Operator Terms of Service, and Cancellation and Refund Policy, constitutes the complete agreement between the parties regarding all payment, payout, fee, and financial transaction matters on the Platform.

15.3 Severability

If any provision of this Payment Policy is found invalid or unenforceable, it will be modified to the minimum extent necessary or severed, and the remaining provisions will continue in full force and effect.

15.4 Policy Updates

BookInstead may update this Payment Policy at any time. Material changes will be communicated to registered users and Operators via email at least fourteen (14) calendar days before taking effect. Updates to payment processor fees or Chargeback Fees that are mandated by third-party processors may take effect with less notice but will be disclosed in the Operator Dashboard.

16. Contact Information

For all payment, payout, billing, and financial inquiry matters:

Guest Billing Support: support@bookinstead.com

Operator Payout Inquiries: payouts@bookinstead.com

Chargeback and Dispute: disputes@bookinstead.com

Tax and IRS Reporting: tax@bookinstead.com

Fraud and Security: security@bookinstead.com

Legal and Compliance: legal@bookinstead.com

Website: www.bookinstead.com

Support Hours: Monday through Friday, 9:00 AM to 6:00 PM Central Time. Response within 1 business day for payment inquiries.