...over the past several years I have occasionally treated the cancel within 1 day advance booking option as similar to an airline ticket hold, especially if there is a meaningful difference in rates versus the standard rate or AAA if available.
Most properties wait until the 24 hours has past before posting the charge, or it shows up as pending in the Bonvoy card and then goes away if the booking is canceled. Occasionally, it slips through and gets charged, but an e-mail or call to the property has always resulted in an immediate reverse of the charge.
Last week I used this option at an domestic FS Marriott property and then cancelled the booking within 1 day. It hit my Bonvoy card and when I called the hotel, they told me it couldn't be reversed because it was non-refundable. They even showed the booking as still being live, though I had a cancellation number and the cancellation e-mail says: