Originally Posted by mkt
All hotels overbook when possible. It's a standard practice in the industry... mine regularly overbooks by 5-10% each night (but we thankfully have enough inventory set aside, and get enough no-shows to never have had to walk anyone).
Not all overbooking is intentional... sometimes "stuff" happens. I've known of a hotel overbooked by 100+ rooms through no fault of their own (bad weather causing their PMS/CRS interface to shut down long enough for it to overbook the hotel when it finally reconnects and the two syncronise).
Don't call greed when a hotel walks you. That isn't the only variable in the decision that you have to stay elsewhere.
I have to call BS on that. Either the room is guaranteed by cc, or it is free to let. If the hotel knowingly re-sells a room that is paid for, this is fraud. I am surprised there isn't some legislation against that practice.