I can't believe that she was willing to jump ship and she hadn't even checked out the new place yet!!! That was dumb. I understand that in this economy people are trying to do everything they can to cut costs. But I would much rather cut out premium channels on my cable bill or cut back on eating out, etc. than to pull my child from a provider that I was happy with.

If you liked the family, I would take her up on her offer and allow her back only until you need the spot. Even though she tried to leave you for less money, you probably still get away with bumping up her rate up a couple of dollars. Tell her that whenever an old client leaves, the new clients come in at the higher rate and you will need to charge that or move on to the next person on your waiting list! She needs some consequences for her actions.

Do you think that the other woman will be able to put 2 and 2 together (your phone call and the new client canceling?)

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