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Car Rental Fees:  An Introduction to Fee

The various fees a car rental agency can charge you is a dizzying array, and ranges from your daily rental fees to additional driver fees and complicated insurance and damage waiver fees. It’s like going to a restaurant and being handed a 10-page a la carte menu. Here is a brief introduction to the car rental fees, and what they mean to your pocketbook.

Daily Rates. Although these are your 24-hour rates, if you car is late the rental company has the option of charging by the hour. Often your mileage is unlimited, but if you don’t need that option you should talk to the agency about a cheaper daily rate with a per-mile charge. There may also be a fee for early returns.

Additional Drivers. If the additional drivers are government employees on official business or drivers or assistants of the disabled, most rental agencies don’t charge a fee. They also often waive additional driver fees for corporate customers. Otherwise, expect to pay a fee for adding drivers.

Age Restrictions. Although you must be 21 to rent a car most places, drivers between 21 and 24 will most often pay an additional fee even if the driver has paid an additional driver’s fee.

Extra Credit Card Fee. You must have a major credit card to rent a car, and the rental plus a percentage over that amount is held against your card by the rental agency. This extra charge will be voided when the final cost is settled between you and the company.





Refueling Fees. If the rental company has to refuel the car, they will charge you per gallon; often this amount is much higher than what you would pay at the pumps yourself.

One-way Rental Fees. While you can rent a car in one state and drop it off in another, there is usually a drop fee associated with this.

Optional Equipment. Some agencies provide child safety seats, booster seats, GPS navigating systems, sports equipment racks and carrying compartments, and other pieces of equipment to make your trip easier—again, for a fee.

Miscellaneous Additional Fees. The rental agency is sometimes subject to extra fees, and passes those on to customers. These fees can range from airport concession fees, facility charges, registration, licensing, and many other smaller fees that will apply depending on the rental package and addition products a customer selects.

Fees by Location. Due to traffic hazards and high crime rates in some cities, you can pay as much as double the usual rental rate. You may also pay more in foreign countries.

Insurance Options. There are many insurance packages the customer can choose, and covers everything from towing and damage to the rental company’s loss of use and loss in automobile value. Check with your own insurance company first to make sure you’re not already covered before you sign up for these. Also check to see if your credit card company covers any theft, damage, or loss of business for rented cars. Check to make sure Collision Damage Waivers and Loss Damage Waivers are covered by your own insurance company before turning down the option at the rental agency.

Also check to see if you can get inexpensive traveler’s health insurance if you are traveling out of the country by car.


 


    
 
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