Knowing the difference between a “deposit” or a “fee” charge is important because it can affect the outcome of a dispute claim. They’re usually associated with hotel stays, vacation rentals, medical or dental appointments, etc. Transactions like these can ask for a deposit to book the stay, and/or charge fees for late arrivals, “no-shows” or cancellations.

When disputing a deposit or a fee charged:

• Different terms can apply.
  • Deposits may be refundable and are typically held on a temporary basis, depending on the terms.
  • Fees are usually not refundable and represent a cost for a service (e.g., processing, cancellation, or late fees).
• Impact on the outcome.
  • When disputing a deposit, proof the service was cancelled or not provided may be needed. If there’s proof the deposit was supposed to be refunded, it can also be important for the claim.
  • When disputing a fee, proof the fee wasn’t disclosed, it’s unauthorized, or incorrectly applied may be needed.
• Documentation that’s needed to support the dispute claim can vary.
  • Keep contracts, cancellation confirmations, or refund policies to support your claim.
  • Keep receipts, terms of service, and any communications showing you didn’t agree to the charge.