Your client pays Tern in full at booking, and Tern pays your agency's commission the Friday after checkout. Bookings use your agency or host's IATA or CLIA number, as they do today. Tern appears on your client's card statement as the hotel supplier.
How Money Moves on a Booking
Your client pays Tern. Your client authorizes payment with their own card in Tern's checkout.
Tern pays the hotel supplier. Tern pays the room's net rate to the inventory provider.
Tern pays your agency. Tern holds your commission until checkout, then pays it the Friday after, with no processing fees (Canadian dollar accounts pay an FX fee).
Your agency pays your advisors. Your agency pays advisors on its own terms, as it does today.
Does This Affect Our Trust Account or Cash Flow?
Tern is the merchant of record for Hotels by Tern bookings. As the seller, Tern is registered as a seller of travel in key jurisdictions and meets their requirements for holding and separating client funds. Tern bookings don't require your agency to hold client funds in a trust account. Tern works like any other hotel supplier: your client pays Tern, and Tern pays your agency's commission the Friday after checkout.
If your agency has a question about how this fits its trust account rules or state requirements, tell us in chat and the team will follow up.
Where Does Client Money Sit Before Travel?
No commission is earned on a booking until the stay is completed. Until then, the amounts from which commission is later paid are Tern's funds, held by Tern to meet its obligations as the seller, including refunds and chargebacks.
Payment Options
Pay in full at booking. Your client pays the full price when they book today. We are exploring options for book now pay later in the future.
Rate types. Tern offers a mix of nonrefundable and cancellable rates. The cancellation policy shows on each rate.
Book now, pay later. Not available yet. Tern is exploring it.
What Appears on My Client's Card Statement?
Tern is the hotel supplier and merchant of record, so the charge appears as Tern. Your client authorizes payment the same way they would with any supplier you book. The charge will show up on the statement as TERN* [HOTEL NAME].