Seven Tips for Avoiding Rental Car Traps
June 12, 2013“Good morning, Mr. Ward. How are you today?” sincerely asked the polite young gentleman behind the rental car counter. I smiled and acknowledged his cordiality. “I see you have a prepaid vehicle with us today. How does a Ford Taurus sound?”
He continued, “What coverage will you be selecting? We recommend full coverage. It’s our best deal.” I declined, as I did when he also offered me the option to prepay for a full tank of gas. “Would you like an E-ZPass so you can zip through the tollbooths without having to slow down or look for change?” Having been through this ritual a hundred times before, I simply thanked him for his offers, but made it clear I was just interested in getting the keys so that I could be on my way.
As the agent proceeded to finalize the contract agreement, he engaged me in small talk, asking where I was from, what I was doing in town, and if I needed directions to my destination. Meanwhile, he slid the agreement across the counter and said he just needed a few initials and a signature and I’d be on my way. As I began to initial the contract, I noticed an estimated charge of $70.
“This is a prepaid vehicle,” I inquired, “why is there an estimated charge?” “Oh, that’s for your upgrade,” replied the agent. Upgrade? When did I request an upgrade?
Summer vacation is upon us, and as you prepare to jet set across the country, you may need a vehicle when you arrive at your final destination. Renting a vehicle is more like buying one, and unless you know what you are doing, you might be driving away in a much more expensive vehicle than you need. Here are some common traps to watch for the next time you rent a vehicle:
Assumed upgrades
When my rental agent asked if a Ford Taurus would be okay, I thought he was just being nice, but what he was doing was trying to up sell me on a more expensive vehicle. (I had originally requested a mid-sized vehicle, but the Taurus is classified as a full-sized vehicle.) If I wasn’t paying attention, I may have initialed next to the “estimated charge,” thus consenting to the upgrade.
Tip #1 – When your agent asks you if a certain vehicle will be acceptable, make sure it falls within the classification you originally intended to rent.
Insurance coverage
Perhaps one of the more egregious scams perpetrated by the rental car industry is the insistence that you have to take their insurance coverage if you want to be fully protected. Not only is it outrageously expensive, but it is simply NOT TRUE. Most auto insurance companies offer coverage on rented vehicles (I pay $3 every six months to insure rented vehicles), and even some credit card companies offer protection when you use their card to rent the vehicle. In fact, if you take the rental coverage from the rental agency, you may end up VOIDING any existing coverage you may have.
Tip #2 – Before you rent your next vehicle, check with your auto insurance carrier and/or credit card issuer to see if you already have protection on rented vehicles.
Prepaid fuel
Rental car agencies like to post local gas prices as a way of encouraging you to pre-purchase a full tank of gas, but unless you plan to return the vehicle with only a few drops left, you’re wasting your money. Let’s say the local price at the pump is $4 a gallon, but the prepaid price is $3.80 a gallon. That sounds like a bargain, but on a vehicle with a 20-gallon tank, you’d have to drop it off with less than a gallon left in the tank for it to pay off! Unless you enjoy driving on the verge of running out of gas, you should probably plan on returning the vehicle full.
Tip #3 – Insist on a full tank of gas when you pick up your vehicle, and return it full. Agencies sometimes charge as much as twice the price per gallon to fill a tank that comes in less than full.
Tip #4 – Look for gas stations when leaving the rental car agency so you know where to fill up when you return. Many agencies require you to top-off within 10 miles of the facility. Keep your gas receipt from your top-off, especially if you drive less than 75 miles during your rental period. Some agencies will ask to see your receipt to “prove” you topped off within the 10-mile radius.
E-ZPass
Rental car agencies like to tout the convenience of using E-ZPass devices on toll roads, but at $8 a day or more, unless you plan on doing a LOT of toll-way driving, you might be better off bringing spare change with you.
Tip #5 – Look over your planned travel route, and estimate the amount of tolls you will encounter (you can use mapquest to estimate your toll fares). Be sure to bring loose change—as I learned on the Illinois tollway, some tollbooths are ‘unmanned’.
Other fees
Infant car seats, GPS devices, and other special requests are typically available for an extra charge. If practical, plan on bringing your own equipment to cut down on these added fees.
Tip #6 – Do the math! Susan and I once bought an infant car seat while on vacation because it was cheaper than renting one from the car agency.
Paying retail
I used Priceline to book my most recent rental car, and compared to the advertised retail price I saved over 50%. Other trips I’ve used Hotwire and experienced similar savings. I may not be getting “reward” points, but with the money I save I can afford to pay for more rental days without them.
Tip #7 – Don’t pay retail. If your plans are firm, use websites like Hotwire and Priceline to book rental cars for a fraction of the cost of booking retail. Just be sure not to book too far in advance. Purchases are final, so if your plans change, you can’t get a refund.
The only reason I am familiar with these traps is because I’ve fallen into them myself. Learn from my experience, and I hope you and your family enjoy a safe and wonderful summer vacation.