Car Rental Costs – The Truth Behind Hidden Charges
Car rental costs are so exorbitant these days that sometimes the cost is no longer worth the convenience. We all know that the high cost of gasoline has something to do with the rising costs of rental cars. What most people don’t know is that a bulk of what’s being charged by car rental companies is actually hidden charges. These hidden charges are so high; they can actually contribute to half of your car rental bill.
Some of these charges are unnecessary and optional, but car rentals won’t tell you that. We’ll show you what these hidden charges how and how you can save money by having them taken out on you next bill.
Hidden Rental Car Charges
- Taxes and Airport Surcharges. You pay these surcharges for the convenience of having your rental car bought at the airport. That’s because car rental companies have to pay taxes to the local government and concession fees to airports. These taxes and surcharges can contribute to about 10% of your bill. To avoid these charges, pick up your rental car from an off-airport location. See whether the airport or your car rental agency has a free shuttle service you can use and take advantage of that.
- Insurance. Car rental companies refer to this as collision damage or Loss Damage Waiver. You pay an extra $10-$25 a day to avoid liability for any damage on the vehicle, provided it wasn’t caused by gross negligence. This may not be necessary. Some regular car insurance and credit cards includes rental cars in their coverage. So you don’t have to pay this if you regular insurance covers it.
- Gasoline charges. Most people think that paying for gasoline charges is a good way to save money. They get their rental car with a full tank and return it with as little or as much fuel as they like. No need to bother with the high cost of gasoline or going to the gas station to fill up the tank yourself. The problem with gasoline charges is that you don’t get a refund if you don’t use up all your fuel.
- Drop-off fees. You could get charged extra if you drop off your rental at a different location from where you got it. If you drop-off your car in a different state, it could cost you as much as $1000. To avoid this, just return your car from where you got it.
There are many more hidden charges and they’re mostly the result of not following your car rental policy. To avoid any extra costs, make sure you understand the policy and make sure to read the fine print. Ask your car rental on anything and everything that’s not covered in your policy. It’s better to go through the trouble of studying your policy now than paying a lot of money for the consequences later.
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Thanks for sharing this useful information. I truly need to rent a car
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