SAFETY AND SECURITY

The following list indicates general areas that might be part of a property's security programme.

1. Doors, locks, key control and access control.
2. guest room security
3. control of persons on premises
4. perimeter and grounds control
5. protection of assets
6. emergency procedures.
7. communications
8. security records
9. staff security procedures

KEY CONTROL

One of the most important factors of the guest room is the lock on the door .

In past key control systems were limited to basic metal key these were easily lost and were costly to replace.

Key control systems eventually evolved into systems that were easier to replace called key cards . These plastic keys were filled with small holes at the one end that the door could read when inserted . The drawback to key card was that they had the room name printed on them this posed a major security risk and thus had to be replaced as well.

Modern hotels today use computer controlled key control system . A credit card type card is assigned a special code when activated by the front desk . This key is preprogrammed with guest arrival and departure information and will work for the duration of guest stay and for particular period.

TYPES OF KEYS :-

EMERGENCY KEY

MASTER KEY

GUEST ROOM KEY

ELECTRONIC LOCKING SYSTEM

1. Emergency Key: A key that can open all doors double locked in hotels, among others:
Guest room door (Guest Room)
Door Office (Office)
Door Warehouse (Store)
This key is usually held by the Management Hotel or GM can use the emergency moment / emergency

2.Guest Room Key: Key available for use by the guests to open the rooms such as CARD or a special card and some form of regular keys, so-called Key Tag if the child is the key hanger.

3. Master Key: A key that can be used to open the door on one floor / floor or one section area all  single locked. So if the hotel consists of 8 floors / section in the hotel so there will be 8 pieces Master Key.

ELECTRONIC LOCKING SYSTEM

An electronic lock system (more precisely an electric lock) is a locking device which operates by means of electric current. More often electric locks are connected to an PROPERTY MANAGEMENT SYSTEM. The advantages of an electric lock connected to an property management system include: key control, where keys can be added and removed without re-keying the lock cylinder; fine access control, where time and place are factors; and transaction logging, where activity is recorded.

SAFETY AND SECURITY IN THE HOTEL -----

 

Lost and found – This is a term used in hotel parlance to refer to any item which is left by the guest or temporarily misplaced by the guest but traced later by the hotel staff. Such articles to be handed over to the housekeeping department which maintained a special locker for this purpose .if the item belongs to the guest who has already checked out  ,then a letter has to be sent to the forwarding address left by the guest while checkout or which is there in the registration card ..If no reply is received by the hotel within certain time limit, that may be auctioned to the hotel employees as per the hotel rules.

If the lost belongings are found in the public areas  and the guest is still residing in the hotel then housekeeping department keeps those items with them till any complain is made at the front office or in the  lobby..in this case a customer is required to give a description of the article which is lost ,before that item is shown to him .

 

Fire in the hotel –

As soon the fire is detected and intimated to the front desk ,the first thing to do is to inform the telephone department .inmost hotels the telephone department the telephone department plays a pivotal role of alarming the hotel .in smaller hotel which have telephone department is merged with the front office ,there the first job is to call the fire department of that city for the help .the front office should alert all guest and inform them to use the staircase and not the elevator .the telephone exchange should always be manned during fire to communicate from one point to another .if the front office staff have to get actively involved in the procedure then they should search each room thoroughly ,specially under bed or in closets or bathrooms to ensure that no guest is left behind .they must guide the guest through the fire exit map .and help in extinguishing the fire by the use of appropriate fire extinguishers

(Foam for electrical fires and oil fires, water for the general fires and so on.)

 

Death-

The front office should inform the General Manager, the security officer and call for the hotel doctor,. no alarm is raised and none of the guest to be informed .the General Manager may decide to call the police .the room to be sealed till police formalities are over. People known to that person is  to be contacted through the addresses entered in the registration card .

Accidents –

The house doctor should be called immediately on phone and informed the nature of the accident and condition of the guest .the doctors instructions must be followed immediately .bleeding must be stopped by swabbing wounds with cotton wool and applying antiseptic or any lotion .if a fracture is suspected the guest is not moved till the doctor arrives .burns are to be treated with creams meant for the purpose .Water is never poured over the burns as this will surely leads to the blisters .hotel should train staff for this purpose .

Vandalism –

The front office staff must call the hotel security and order the main door to be locked .if thing get out of the hand police must be called.

Damaged to property by the resident guest –

The front office cashier is instructed to raise a charge for the value of the of damages to property, a responsible guest will never argue but if it is the subject to be referred to the general manager .

Drunken guest –

It is prudent to never argue with drunken guest .he must be politely led away from the public areas either into an office or in his room...if he is behaving unruly the security may be called.

Theft –

Hotel often adopts certain precautions to avoid thefts -
these are:-

         Self locking room doors.

         Safety deposit boxes for guest valuables

         Watching guests with light baggage who could become potential skippers.

         Watching a walk-in who can be a thief.

         Avoiding giving room numbers to visitors or guest names to telephone callers.

         Strictly controlling the master key.

         Posting security personals on floor.

         Keeping all entrances, corridors and staircases well illuminated.

         Reporting immediately any suspicious characters.

Bomb threats –

 

With the increase in terrorism in the country and world ,the bomb threats are not so uncommon these days .this may be a genuine threat with explosive planted some where  in the hotel or it may be a hoax.which ever the case may be such threats are always taken seriously and the proper action taken .

Mostly bomb threats are made on phone are attended by either the telephone operator or the receptionist of the hotel.in this following steps to be followed—

         Signal the colleague to also listen in the call and try to find out the location through exchange.

         Listen the caller carefully and make it prolong and get all the information carefully- place where planted,time of explosion and streghth of explosives.

         If possible this call may be taped and note the back noise and try to catch information from accent and police to be informed.

         Immidiatly after disconnection the G M and security officer has to be informed .

         If the location is identified the department head should be also informed

         People from that suspected area has to be evacuated from that particular location .

         After “all clear” signal from the police the normal process of hotel can be continued.

 

SAFE DEPOSIT –

Though hotel is not responsible for the guest valuables, the rule to this effect is written in the guest registration card and also notified in the in guest room .but a hotel offers a free safe deposit facility for his valuables.

Hotels have bank type of lockers installed at the front office cash. A locker is allotted to guest that can be opened by using two keys .the master key is with the front office cashier and other key is issued to the guest. A contract is also signed in between the guest and the hotel. Whenever a guest wants to open that locker it has to be entered into the locker operating register. Signatures are always verified with the specimen .head cashier inserts his key then a guest inserts his own key, and then only a lock can be opened. Guest is left alone to operate his locker..Guest can lock the locker with his own key. At the time of departure the guest is asked to vacate the locker.

If the key is lost by the guest .then the locker will be drilled open in presence of the guest and can be charged for the replacement of the locker.

If the forgets to vacate the locker .he or she has to be informed by the hotel to come and vacate it either personally or by sending an authorised person with authority letter.

 

These days some hotels have installed an electronic safe deposit box in each guest room .this safety box can be operated by using an electronic number. Guest can use any number to open the lock. The number selected by the guest becomes the locker’s code number .the guest’s are advised to keep there valuables in the electronic safety box. Though hotel is not responsible for any lost item .But hotels take this issue as prestige issue. So an inquiry is done on the hotel security level.

HANDLING A DRUNKEN GUEST IN A HOTEL

Handling a drunken guest in the hotel seems to be a very easy task in listening but in itself is a very difficult task and handling a guest who is drunk and completely out of his senses is next to impossible.

Certain attributes you have to possess:

        Act politely

        Never argue

        Talk softly and lead him away from the public area

        If the drunk guest is behaving rudely then the last option should be to call the security officer but try and handle the situation very calmly.

 

The conversation above will give the fair idea of handling this kind of situation which may be very common in hotels.

Receptionist: “good evening sir, how may I assist you?”

Guest: “I want my room to be changed and should be on the other floor.”

Receptionist: “sir please may I know the reason for your room change.”

Guest:  “there is no specific reason but I am just ordering you to change my room as you are here for my assistance.”

Receptionist: “i am very sorry to say so but sir without any specific reason our room cannot be changed and right now we also don’t have any room available because we are running on 100% occupancy. My sincere apologies to you sir.”

Guest: “how dare you talk to me like that just call your manager I will talk to him.  You  bloody don’t know who I am. I will surely change the room and you all are here for me only just do as I say.

 

 

NOTE: here the duty manager or the immediate supervisor should take the drunken guest away from the reception/front desk area and make the guest realize that this is not the right way to talk and then acting very calmly and talking very politely with him the supervisor can escort him to his room or he can indulge the guest in some other thoughts and just keep the guest calm and as soon as possible send him back to his room.

handling bomb threats-role play

Bomb Threats in hotels

Bomb threats are usually received orally on telephone by hotel’s telephone operator. It should be handled in the following way:

Telephone operator: “Good evening! Hotel Moon. How may I help you?”

Person: “A bomb has been planted in your hotel.”

Telephone operator: “May I know to whom I am speaking?”

(she indicates the other employee to record it )

Person: “You won’t be able to know it. The bomb planted in your hotel will blast in 4 hours from now. If you want your hotel and the people over there to be safe, you will have to fulfill our demands.”

(The employee should remain observant and calm. He/she is hearing sound bells of temple in the background.He/ She should try listening to the person more and ask questions to keep him connected.)

Telephone operator: “Where is the bomb located?”

(recognizing his voice as of a south Indian )

Person: “You and your people will never find out.”

Telephone operator: “What is your reason for planting this bomb?”

Person: “Because we want our needs to be fulfilled. Do not dare to inform the police because they will also be of no help.”

Telephone Operator: “Where are you calling from?”

Person: “You will not find this also. Wait for my next call and I will tell you all my demands. You better fulfill them or the results will be disastrous.”

-----------Line Disconnected-----------

o   After the call gets disconnected, the Front Office Manager should be informed.

o   All the department heads and General Manager should gather at one place and discuss the matter.

o   The Police should be informed and they should investigate the threat.

o   If the telephone operator has heard anything during the call that can be of any help, it should be informed to the police. All details such as the voice of the person, background noise etc. should be told.

o   One staff member should guide the police and other teams to the hotel for searching the bomb.

o   If a suspicious object is found, the hotel should be evacuated and make sure all doors and windows are open.

 

 

security in hotels

Front Office Security Functions

 

   Protecting a. People -Guests- guest’s health, comfort or wellbeing,

    -Employees & others

b. Property - equipment, machinery, fixtures & fittings, software, revenue, reputation.

The role of Front Office-

Although it is the responsibility of everyone, yet Front Office staff plays an important role as

they have opportunity to observe all persons entering or departing the premises.

Procedures for Guest Security

·         Should never disclose the information about the guest to anyone.

·         Front office staff should prohibit the staff to provide any information about the guests to any caller

or visitors.

·         Should never give room number, room keys and messages or mail of the guest to anyone else.

·         Screening of caller before connecting the call to the guest/ no connection of the call without the permission of the guest.

                                     .

·         Should also inform the guests of personal precautions they may take.

·         The bell boy should give instructions to the guest of equipment use.

·         Flyers/ pamphlets of safety tips should be placed in the rooms.

·         Front Office Staff also help protect guests’ personal property.

·         Front Office staff also important to asset protection (charging guests for breakages etc.).

Procedures for Property Security

·         The building should be enclosed with a Fencing-High rise concrete wall, wired etc.

·         Adequate lighting on all side of the property.

·         Security guards/ manning of all entries/ exits.

·         CCTV placed at all strategic locations inside and outside the buildings.

·         X-ray machines for luggage scanning.

·         Inverted Mirrors for scanning of lower side of cars/ vehicles.

·         Underground scanners for cars/ vehicles.

·         Underground Tyre-cutters for cars/ vehicles.

·         Door framed Metal detectors.

·         Hand held scanners.

·         Frisking of all guests/ visitors.

·         Multi-purpose room keys (for the use of lift/ entry for adjacent mall etc.)

 

·         Use of Sensors

 

formats

 formats

 

Topic – Front Office Accounting

Objectives-
At the end of the class-
•    You should be able to understand the importance of accounting in front office.
•    You should be able to distinguish between guest accounts and non-guest accounts.
•    You should be able to understand different types of accounts.
•    You should be able to understand various accounting tools.
•    You should be able to understand non automated, semi auto mated and fully automated accounting systems.

I- Front Office Accounting System:
• The front office accounting system is responsible for:
a)    Creating and maintaining an accurate accounting record for each guest or non-guest in the hotel
b)    Tracking all financial transactions throughout the guest cycle
c)    Ensuring internal control over cash and non-cash transactions
d)    Recording settlement for all goods & services provided
• The front office accounting system shall be customized and tailored to track each hotel’s needs. Therefore, no two hotels have exactly the same front office accounting systems.

II- General Concepts of Front Office Accounting:
• Below is a brief description of some accounting terminologies used frequently in the front office department:

1- Accounts:
• An Account is a form on which financial data are accumulated, summarized and brought to its ending balance. Moreover, all accounts shall have two entries referred to as Debit (dr) (or charges) versus Credit (cr) (or payments).
• The most widely used representation of accounts is the T-Account, which summarizes debit entries on the left-hand side and credit entries on the right-hand side.
• Hotels operating under the manual system get use of journal forms to account for different front office accounting transactions.
• As far as front office accounting is concerned, there are two major types of accounts widely used:
a)    Guest accounts describe all charges and payments of guests who are already registered at the hotel.
b)    Non-guest (house or city) accounts: describe all charges and payments of non-guests. To illustrate, a potential guest sending a certain deposit to guarantee a reservation is a non-guest. Moreover, charges and payments of guests who checkout with any method of payment other than cash, shall be opened a non-guest account. Lastly, visitors and employees with charge privileges shall be opened non-guest accounts.

2- Folios:
• A folio is a statement of all transactions (i.e. debits & credits) affecting the balance of a single account. At Checkout, any guest folio should be balanced to 0 through full cash payment, credit card transfer, personal check transfer, special program transfer, and direct billing transfer…
• The correct way of maintaining folios starts with proper posting, which is the process of recording transactions on a folio  (i.e. proper folio, proper location and proper amount)
• Under the manual, semi automated and fully automated systems, folios are called hand-written folios, machine-posted folios, and computer-based electronic folios respectively. Moreover, all folios shall have a unique serial number for internal control and storing purposes.
• In the front office department, there are four common types of folios used:
a)    Guest folios: accounts assigned to individual persons or guestrooms
b)    Master Folios: accounts assigned to more than one person or guest room; usually reserved for guest groups
c)    Non-Guest (or semi-permanent) folios: accounts assigned to non-guest businesses or agencies with hotel charge purchase privileges
d)    Employee Folios: accounts assigned to employees with charge purchase privileges
• Apart from the above mentioned common folios, front office department get use of some other types of folios such as A-type, B-type, C-type, D-type, and E-type folios.


3- Vouchers:
• Vouchers depict the details of the transaction information gathered at the source of transaction and is, hence, a supporting documents used only for internal control purposes. Below are some of the commonly used vouchers in the hospitality industry:
a)    Cash vouchers
b)    Credit card vouchers
c)    Charge vouchers
d)    Transfer vouchers
e)    Paid-out vouchers
f)    Correction vouchers
g)    Allowance vouchers


4- Points of sale [i.e. POS]:
• A point of sale is the location at which goods or services are purchased; sometimes called a revenue center. Moreover, due to technology breakthrough, some non-traditional point of sales emerged such as in-room movie & in-room vending service systems.
• Since charges are usually incurred at remote points of sale, and guest and non-guest folios are maintained at the front office department, posting of different guest and non-guest charges shall be performed. An electronic transfer ensures this, under the fully automated system. Under manual and semi automated systems posting shall be done by a physical submission of different vouchers to the front office department.
• When posting charges, the following items shall be considered:
a)    Amount of the charge
b)    Name of the point of sales outlet
c)    Room number & name of the guest
d)    Brief description of the charge
e)    Guest signature & employee identification

5- Ledgers:
• The front office ledger is the collection of front office account folios, which usually include guest ledgers (i.e. charges and payments of all guests staying at the hotel).
• At any moment in time, the account receivable includes the addition of guest ledger and non-guest ledger (or city ledger) which refers to charges and payments of all non-guests.

III- Creation and Maintenance of Guest Accounts:
• All guest folios shall be created during the pre-arrival or arrival stage of the guest cycle. Moreover, folios might be either placed in front desk folio tray [i.e. posting tray, folio well, or bucket] or stored as an electronic guest folios in fully automated systems.
• As far as walk-ins are concerned, all their guest folios are created at the arrival stage!

1- Record keeping systems:
a)    Non- automated systems: Ensured through a series of columns listing individual debit and credit entries accumulated during the occupancy stage after which and establishment of an ending outstanding balance is needed.
b)    Semi-automated systems: Under this very system, all guest transactions should be printed sequentially on a machine-posted folio. Later, the front office clerk needs to come up with the folio outstanding balance. It is extremely important here to mention that, under this very system, each account’s previous balance shall be re-entered each time a transaction is posted to the folio.
c)     Fully-automated systems: All guest charges are automatically posted to an electronic folio


2- Guest charge privileges:
• Potential guests who would like to have guest charge privileges shall present an imprint of an acceptable credit card or direct billing authorization at registration. Failing to do so, guests would have to pay, in full, all their charges through cash, hence called Paid-in-Advance [PIA] guests and have, hence, have no post status.

3- Credit monitoring:
• In order to monitor and control charge privileges, the front office clerk should check whether the total net purchases are less than the minimum of floor Limit (i.e.: credit card company's limit) and house limit (i.e. hotel's limit). At least, each day, lists of guests with high risk or high balance accounts shall be communicated to all point of sale outlets. This is vital since, failing to do so, will let point of sales outlets continue giving charge privileges to a point that eventually the credit card company refuses to pay the amount of money exceeding its limit. This will cause very serious financial losses to the hotel.

4- Account maintenance:
• Whatsoever system hotels operate, maintenance of guest and non-guest accounts is ensured by the following formula:

Net outstanding balance = Previous balance + Debits - Credits
                               NOB                      =            PB             +    DR  -   CR


IV- Tracking Transactions:
• Under the manual and semi-automated systems, tracking transactions is ensured through an intensive use of vouchers. On the other hand, Under fully automated systems, tracking transactions is ensured through on-line electronic transfer of transactional information from remote points of sale to the front office main frame terminal.
• In accounting, a transaction is an exchange of goods and services for cash or a promise to pay. Under this very assumption, "nothing happens until a transaction occurs". This means that front office clerks shall first of all have a transaction, its supporting documents (i.e. vouchers, invoices…) to be able later to debit or credit certain accounts!
• In hotels transactions might have the form of:
a)    Cash payment
b)    Charge purchase
c)    Account correction
d)    Account allowance
e)    Current transfer
f)    Cash Advance

1- Cash payment:
• In this very transaction, front office clerks shall post cash payment as a credit in the guest folio. Moreover, cash vouchers shall be used as a transaction-supporting document.

2- Charge purchase:
• Charge purchases represent deferred payment transactions that increase the outstanding balance of a folio account. In this transaction type, front office clerks shall use charge vouchers as a transaction-supporting document.

3- Account correction:
• Account correction is used to resolve a posting error in a folio detected at the day the error is made (i.e. before the closing of the business day). In this transaction, front office clerks shall use correction vouchers as a transaction-supporting document.

4- Account allowance:
• Account allowances occur because of two reasons:
a)    Either as compensation of poor service, or as rebates for coupon discounts. That way, guest outstanding balance decreases.
b)    As to correct a posting error detected after the closing of the business day.
• For both reasons, front office clerks shall prepare an allowance voucher as a transaction supporting document.
V- Internal Control:
• In the hotel industry, the main purpose of internal control is to track transaction documentation, verify account entries and account balances, and to identify vulnerabilities in the accounting system. The keyword to internal control is auditing, which is the process of verifying front office accounting records for accuracy and completeness.

• Below are some forms that are of extreme importance to internally control, one of the most vital assets in the hotel (i.e. cash):
1- Front office cash sheet:
• The front office cash sheet lists each cash receipt or disbursement in order to reconcile cash on hand at the end of a cashier's shift with the documented transaction that occurred during the same shift.
2- Cash, house banks or petty cash:
• Petty cash is the amount of cash assigned to a cashier so that he/she can handle the various transactions that occur in a particular work shift.
• At the beginning of each shift, all cashiers must sign their cash banks and at the end of the shift, shall deposit all cash, checks, and other negotiable instruments in the general cashier's safe deposit box. Moreover, at the end of each shift, cashiers should watch out for cash discrepancies (i.e. any difference between front office cash sheet and the actual amounts in their cash drawers). Cash discrepancies might have the form of cash overages, shortages, or due backs
•Lastly, cashiers might come up with the net cash receipt, which is:

Amount of all cash, checks, and other negotiable instruments in cashier’s drawer – amount of the initial cash bank + all paid outs

3- Audit control:
• Along with the fact that hotels might employ internal control auditors, at least once in a year, (especially for hotels traded in the stock market) to get use of external certified public accountants responsible for approving hotel's accounts.

VI- Settlement of Accounts:
• One of the responsibilities of front office clerks is to settle guest accounts, which means the eventual collection of payment for outstanding account balances (i.e.: bringing account balances to 0]. This is usually ensured either by full cash payment, transfer to an approved credit card, personal check, special program, or direct billing account…


What is an account ?
An account may be imagined as a bin or container in which the results of various
business transactions are stored. The increases and decreases in an account are
calculated and the resulting monetary amount is called as account balance. Any
financial transaction that occurs in the hotel may affect several accounts. Front office
accounts are recordkeeping devices to store information about guest and non-guest
financial transactions.
The simplest form of writing an account is the “T” form
 {as it resembles the letter T}
Account name
Charges Payments
Computers have replaced the use of these T accounts. However the principle behind
usage of accounts remains same.
Types of accounts at the front desk:
1} Guest accounts:
A guest account is a record of financial transactions which occur between a guest and the hotel. Guest accounts are created when guests guarantee their reservations or when they register at the front desk. During occupancy, the front office is responsible for and records al transactions affecting the balance of a guest account. The front office usually seeks payment for any outstanding guest account balance during the settlement stage of the guest cycle. Certain circumstances may require the guest to make a partial or full payment at other times during the guest cycle. For example, if the front office is to enforce the hotel's house limit, guests who exceed that limit may be asked to settle part or all of the outstanding balance. When there is a house limit, account settlement action is initiated when the account balance exceeds a predetermined limit, not at the time of check-out.

2} Non-guest accounts:
A hotel may extend in-house charge privileges to local businesses or agencies as a means of promotion, or to groups sponsoring meetings at the hotel. The front office
creates non-guest accounts to track these transactions. These accounts may also be
called house accounts or city accounts. Non-guest accounts are also created when a
former guest fails to settle his or her account at the time of departure. When the
guest's status changes to non-guest, the responsibility for account settlement shifts
from the front office to the back office {accounting division}. Unlike guest accounts, which are complied daily, non-guest accounts are normally billed on a monthly basis by the hotel's accounting division
Voucher:
A voucher details a single transaction to be posted to a front office account. This
document lists detailed transaction information gathered at the source of the
transaction. The voucher is then sent to the front office for posting onto the guest folio.
Usually any service or goods brought on credit by the guest has to be supported by a voucher.
Types of voucher:
Charge vouchers such as Restaurant/ Bar check
Cask advance/Paid out voucher
Allowance vouchers and Correction vouchers
Cash Vouchers

BASIC PRINCIPLES OF ACCOUNTING:
• Any amount paid by the guest to the hotel is posted in the debit column. A debit{dr.} therefore is moneys owed by the guest to the hotel
• Any money received from the guest is posted in the credit column. A credit therefore is any money paid by the guest towards settling his/her bill including advance deposits.
• The balance column reflects a progressive difference between debits and credits
calculated on basis of the formula
“ previous balance + debits – credits = net outstanding balance”
These principles are applicable to the guest folio/bill in which all cash and
credit transactions are recorded for each resident guest which increase or decrease the balance of a single account. It is also called as “guest account card”. In some hotels it is also called as Guest weekly bill.
The debit transactions are recorded to the left of the folio while the credit transactions are recorded to the right. The outstanding balance is calculated by subtracting the right from the left.
In the manual system the folios are maintained in hard copies in folio racks
at the cashier’s cabin or back office. In an automated system the folio remains in the computer and a hard copy is printed out only at the time of guest check out. Each entry into the folio is called a posting . Each posting is recorded sequentially in the folio in the order of transactions on a given date.
When an account is created, it is assigned a folio with a starting balance
of zero.
A debit entry will increase the guest’s outstanding balance while a credit entry will decrease the outstanding balance.
At departure the outstanding balance has to be returned to zero by cash payment or by transfer to an approved credit card or to a direct billing account
Guest folio format :

POINTS TO REMEMBER WITH REGARD TO A FOLIO:
1. A folio is raised as soon as the guest checks in.
2. The initial outstanding balance {when it is opened} of the folio is zero
3. Details on a folio: Guest name, Room Number, date of arrival, date of departure,
Room rate, address, billing instructions. Each folio has a serial no. which will help
keep a control on folios for the purpose of audit.
4. The cashier is responsible for the guest folio till the guest departs.
Types of folios used in hotels:
• Individual guest account card/folio: To record transactions made by an individual
or independent guest with the hotel. Also called as guest folio
• Group folio/master folio: One folio for the whole group and this folio is required to
record all transactions made by the group{which are part of the package of the
group}
• Semi-Permanent or non-guest folios: In this folio the credit financial transactions
made by non-resident guests with the hotel are recorded. Also known as city
account card or non-resident guest account card.
• Employee folio: All the financial transactions {if any} made by the employees are
recorded
• Permanent/ companies/airlines folio: Separate folios are maintained for all
companies, agencies, organizations with whom the hotel has permanent billing
arrangements.
• Split Folios: Split folios are those when two guests wish to have separate accounts
though they share the same room. Room charges will feature on one folio for
convenience, other charges would reflect individually in split folios.
Another case of split folios is when a company executive would like to
maintain two separate accounts one that is charged to his/her company while
the other is to record his/her personal expenses.

Ledgers used at the front desk
A front office ledger is a collection of front office account folios
There are two main types used at the front desk
1} Guest ledger {Transient ledger/front office ledger and room ledger}
Guest ledger is the total set of all account folios of guests registered in the hotel
{in-house guest} hence any debit entry to the guest folio will not only increase the
guests balance but will also increase the net outstanding balance of the guest
ledger.
2} City ledger {Non-Guest Ledger}
City ledger records all accounts that do not belong to resident guests. At the
time of check out if the resident guests outstanding balance is not brought to zero ,
the same is transferred from the guest ledger to the city ledger.
At the time of account transfer, the responsibility for account collection shifts
from the front office to the accounting division (back office).
Accounts which are included in city ledger:
• Credit card payment accounts
• Direct billing accounts {guests’ whose bill will be settled by the company}
• Airlines
• Travel agencies
• Skipper’s account
• Bad cheques account {Bounced cheques of guests}
• Disputed bills account
• Retention charges account from DNA guests

Account aging:
Most of the city ledger accounts are settled within 30 days of billing which is
generally satisfactory. However there will be some which will take longer than 30
days to collect . The hotel should establish methods for tracking past due
accounts which may be based on the date the charges were incurred. This
practice of scheduled billings is normally referred to as account aging. At large
properties the accounting division monitors account aging while at smaller
properties the night auditor may assume this role. An account age analysis sheet
identifies which account receivables are 30, 60, 90 or more days old. Accounts
lesser than 30 days old are considered current. The accounts over 30 days are
considered overdue and the ones above 90 days are delinquent The front office
should maintain a list of accounts over 90 days due. Guests asking for
reservation on an overdue account may be asked to pay cash or by a valid
credit card until the account is considered current