A “non-refundable room” rate is in most cases lower than a “free cancellation” rate. However, its cancellation policies are different and usually require a 100% charge in case of cancellation. A room with a “free cancellation” rate, however, usually allows you to cancel your booking free of charge if done within the time period set by the property. You can find the policy details displayed on the respective property page as well as in your booking confirmation email.