Booked a Hilton through FHR, and in my Hilton account I can see this reservation has a standby upgrade option. The price looks pretty attractive, but I have a few questions: 1. This upgrade isn't guaranteed, right? 2. The FHR booking is refundable—if I get upgraded, can I still refund it?
For cancellations and changes, it's best to first confirm whether the upgrade fee is billed separately and how it's refunded if you cancel. I'd suggest contacting both the hotel and the FHR channel after booking to ask, and getting written replies before deciding whether to go ahead with the upgrade.
Look at it another way: since it's refundable, the upgrade is more like an optional add-on and doesn't necessarily affect the cancellation policy of your main booking.
Whether a standby upgrade can actually be accommodated on arrival depends heavily on occupancy. When the front desk is busy, they may simply not have time to deal with it, so don't count on it as something you're guaranteed to get.