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Car rental scams to look out for
Whenever I've rented a car, I've always felt a bit anxious wondering what option to take when it comes to the insurance--or if the price is going to truly be what the information says it will be. Driving off a car lot in something I don't own is thrilling on one hand, but disconcerting in another. What if something goes wrong?
So far, I haven't been scammed, but I've probably paid for insurance I didn't need--that loss of use business makes me wary--and I've double and triple checked what it is I'm signing up for. In many cases, I've been able to work out a better deal like trading up for a roomier car at the same initial rate for a smaller car.
Chris Elliot outlines scams to watch out for in his article "Hell on Wheels: Four Car Rental Scams." They are scams because they unfairly tip in the car rental companies' favor if a customer doesn't pay attention to the fine print. Here are the three that I've watched out for myself. For the fourth one, read his article.
1. Refueling- For example, as with happened with us this summer when we rented our car at the Bellingham airport, the car rental person offered us the refueling charge option. At first it seemed like a fair deal, but it only would have been be a fair deal if we brought back the car with an empty tank. In our case, we turned him down and refueled making sure the needle went above the F right before we hit the airport. Elliot says that sometimes car rental companies will charge refueling anyway, even if the tank is full, but the needle is a tad below the F.
2. Doing anything outside of the initial terms of the contract. If you bring a car back early you can pay for a much higher rental feel. If you've rented for a week, you have a week rate. One day earlier puts you into the pay by the day category. I've always stayed within the original contract so this hasn't been a problem. Years ago I added an extra week to a car leasing deal in Paris for not much extra money, but that sort of deal may be long gone.
3. Damage to the car. Car rental companies have also been known to charge for the same dent more than once. Technically, if the car is damaged while in your care, your insurance is responsible, unless you have the insurance through the car rental company. Elliot suggests taking pictures of the different sides of the car before you drive it off the lot to prevent the chance you may be charged for something you didn't do. This fall I had a car rental after a car accident and made sure the guy marked down any ding I saw no matter how small. The car was white which made me feel nervous the whole time I was driving it. I found myself parking far away from other cars whenever possible.
Filed under: Business, Stories, United States, Transportation, Airports, Budget Travel, News
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Reader Comments (Page 1 of 2)
Lloyd May 28th 2008 6:20AM
Great article, but I have one more thing to add on the digital photos. If you're overseas, like in Thailand or Cambodia, the people with enough money to own a car rental joint may also own the local police. Even if you have time left at the end of your trip (which the rental outfit knows is when you will be returning the car), if you complain about this scam to them, you may not get very far.
If you get billed for damage to, say, a white Ford that has the same license plate as the one you returned in one piece, it would help to have a picture of the VIN number from near the windscreen or under the hood in addition to the rest. You need to be able to demand proof that the repairs were done to the white Ford you drove., and not another. Repairers, by default, note the VIN on repair bills, and if you can show that the ol' switcheroonie was done on the license plate, then your credit card company can do something about it.
If the VIN is mysteriously absent from the invoice for the repairs, the insurance company may still be suspicious enough that they'll reverse the charge for you, and require the VIN on all future repair claims from that rental agency.
Doug Feb 19th 2009 3:58PM
Budget doesn't honor their "guaranteed" rental prices. My travel agent reserved a car from Budget with a guaranteed price - I wound up paying more than 3 times that price to cover insurance.
Ashley Jun 30th 2009 4:03PM
I recently had a troubling experience in Ireland (apparently notorious for scamming tourists). I rented a car from the Dublin airport, a VW Golf, and it was acting funny from the start. It stalled when the clutch was almost fully depressed and the gears would grind even when the clutch was fully depressed. At first I dismissed the stalling as learning a new cars behavior. But after only driving the vehicle for 9km, the clutch burnt out leaving me stranded. Keep in mind I have years of experience on a stick shift as it was the first car I learned how to drive. I filled out an incident report and was told I would be contacted within days if there were any issues. I left Ireland for the USA 16 days later. 6 weeks after THAT, I received a bill in the mail. They had already charged my credit card $1801.13!!! This was over $200 to tow the vehicle from Dublin to Galway (apparently there are no car shops in the country's capital?) along with $700 for 8 hours of labor, plus parts, an a "loss of car hire" fee. Even insurance companies get to assess damage before paying. Why wasn't I afforded this opportunity? I was never given a copy of my own statement, OR a copy of the investigation report concluding I was at fault. I was never even notified they were holding me liable or given information regarding where and when the vehicle was being repaired. There is no way I burned out a clutch in only 9 km and there is no way it should cost almost $2K to repair. I'm stuck because I can't fight an international battle. Budget of the U.S says they have no jurisdiction. I've filed a complaint to the Better Business Bureau and the Federal Trade Commission and have sent certified letters to the car agency. It sucks because for the last month I have been raving about how wonderful Ireland was. So beautiful and everyone was so nice. I even had my coworker convinced she would retire there (she retires next month). I have since learned that Ireland is notorious for doing this to international renters. I was told just today about this man who traveled to Ireland every other month for years and his company was charged with these types of bills left and right, but it was cheaper for them just to pay it than to fight it. This has completely ruined my impression of the country and of Budget. To them, $1800 is less than they will lose from my office not renting from them anymore... but to me, $1800 is everything!
debbie Dec 29th 2007 4:37PM
I would add that readers should be careful when renting child safety seats along with a car. Fees can be up to $10 per seat per day, and not all agencies provided car seats that are safe or in good working order. Parents should also call ahead to confirm that the agency has enough seats available for your day of arrival or risk being stranded at the agency with no safe way to get the kids to the hotel.
On a recent trip, we paid $5 per day, each, for two child car seats. We were told that the car seats would be new (the agency claimed to buy new seats every two months) and that they were cleaned after ever use. When we arrived, we were lead to a scrapheap of decrepit car seats and told to choose. We selected the newest, safest looking seats only to find that they needed to be exchanged for others twice because the seatbelts weren't working properly!
I've posted pictures and the compleat details of our experience on:
http://www.deliciousbaby.com/journal/2007/dec/22/advantage-rent-cars-frightening-car-seats/
Rick Jan 1st 2008 2:47PM
Beware of Budget as well! They actually charge you for gas even when you bring the car back full. As I recall, it's $10 or more dollars which is automatically added. If you want it back you must request a refund. I understand that a class action lawsuit may be pending to put a stop to this.
Poolside61 Dec 31st 2007 8:37PM
Don't get scammed into taking the rental agency's insurance. It is outrageously high. You can add Rental Car Ins. to your own policy real cheap. If you rent a lot on cars it is worth having it on your own policy. It covers the whole car.
RM Dec 31st 2007 9:06PM
I recently rented a car from Budget at Rapid City, SD airport. They tried to charge me for over 6 gallons of gas when I returned the car with a full tank! They notified me via mail that they were adding this charge to my Visa. Well, I showed them! I kept all my gas receipts, sent these to my charge card company with a copy of the rental agreement showing the number of miles I drove while I had the car, a copy of the manufacturers specs, MPG rating, etc - proving I was well within the MPG range based on the amount of gas I put in the car vs. the number of miles I drove. I received full credit on my charge card for the scam Budget tried to pull. DON'T RENT FROM BUDGET!!!
Roger Farnham Dec 31st 2007 9:49PM
I travel extensively and I always take my digital camera with me. As the agent and I check out the car I take pictures of it from all angles, especially if there is a dent or scratch visible. I then take picture of the contract and the agent. I also shoot a couple of the instrument panel, showing mileage and how much gas is showing on the gauge. This has saved me bucks on a couple of occasions. Any questions and I just show them the pictures on the camera screen. Takes a few minutes but has been worth it more than once.
Anita Hines Dec 31st 2007 9:58PM
I rented a car on the internet through Thrifty to use while in Cabo, Mexico. I printed a copy of the contract. When we got to the airport in Mexico, I gave them my credit card to run for their records. When I returned the car, they wrote the AmEx receipt in Pesos. I asked them if that is the same amount on my copy I had printed. I was assured it was the same. When I got my AmEx bill, I had been charged $77+ more than agreed upon. I contacted Thrifty and they gave me back the $77+. Be sure you have a copy of the contract with you! ALSO, A WORD OF CAUTION!! ALL THE GAS STATIONS ARE OWNED BY THE GOVERNMENT. Consequently, no one is really checking on the help. They pull the "switch and bait" on you. After they get your money, they distract you and switch one of the higher bills for a $1 bill, telling you that you owe them more money. KEEP YOUR EYE ON YOUR MONEY. BETTER YET CALL OUT EACH BILL AS YOU GIVE IT TO THEM!
Donna Jan 1st 2008 8:14PM
I have rented from Dollar twice at the San Jose airport and not only was I charged for a full day for being 5 minutes late, I was also charged for gas and had to go inside to the counter to get it corrected. Oh and if you think you may want to extend your rental, do so before you pick it up or you will be charged at a higher rate than your original rate. I will never rent from them again, they will nickel and dime you. Not to mention the new taxes and surcharges that increases your rental rate by 25% or more!
Matt Dec 31st 2007 11:04PM
I often bring rental cars back to airports very early in the morning, and have learned the hard way to locate the nearest gas station on the way OUT of the rental agency, not on the way back to it. That cost me some anxious moments last month in Phoenix, trying to find a gas station in the pitch darkness of the pre-dawn. I also often ask the agent where the nearest station is, and make sure I can find it for the return journey.
jamie Dec 31st 2007 11:27PM
beware of discounted offers. i received a 15% off rate from enterprise. however, enterprise already offers weekend rates at 10.99$ for a compact. the 15% off nullifys the 10.99 weekend rate so if i had rented a car from saturday to thursday and used the discounted offer i would have been charged 26$ a day even on saturday and sunday, i had to book a car for saturday and sunday, then return it and rebook for monday through thursday at the 15% off. i saved 35$ this way. remember, special offers nullify the special weekend rate.
pat Dec 31st 2007 11:37PM
never rent from budget. they took out extra money from our account that i had no clue for. one of them was a repo fee of $150.00. wthey knew i had the money in there for another week but came and got it and charged me that fee. NEVER EVER RENT FROM THEM. THEY ARE RIP OFFS.
pat w Dec 31st 2007 11:42PM
WE THEN WENT TO PAYLESS RENTAL. THEY ARE GREAT TO WORK WITH. I WOULD GIVE THEM A SHOT
Sharypls4 Jan 2nd 2008 10:33AM
I was recently in a car accident. I have a very good ons. company and they sent me to Enterprise. I was still shaken up when I went to their office. The girl I dealt with told me my insurance was non transferrable, and that i needed to buy their insurance. Of course, I founf out four days later that was not the case. I went back to take the insurance off, but they did not want to refund me the four days @ $33.44 a day rate. It was a battle but I did get money back, thanks to my insurance company fighting for me. Enterprise is the Worst!!
Lady2208 Jan 1st 2008 12:39AM
NEVER-NEVER RENT FROM ENTERPRISE RENT A CAR--THEY AHVE A HUGE $400 DENT SCAM ALL OVER THE USA--READ RIPOFFREPORT.COM AND YOU WILL READ WHAT IS HAPPENING TO PEOPLE....IT HAPPENED TO ME IN NJ----HAD A CAR FOR LESS THAN A DAY--NEVER HAD A SCRATCH ON IT--WAS GARAGED--RETURNED TO RENTAL PLACE--WOMAN BEHIND DESK GRABBED PAPERS AND THEN SHREDDED IT--WENT AND LOOKED AT CAR--SAID THAT THERE WAS A TINY SCRATCH ON REAR BUMPER--NOT THERE! THEN WAS SENT A BILL FOR $433.00 AND A BLACK AND WHITE ZEROXED PHOTO--NEVER SHOWED ANYTHING--THEN A LETTER FROM THE ENTERPRISE'LOSS CONTROL' OFFICE AND THEN A DEMAND FROM A COLLECTION AGENCY....I CONTACTED TWO TV INVESTIGATIVE JOURNALISTS-THEY WANT TO DO AN INVESTIGATION AND PUT THIS COMPANY OUT OF BUSNESS,,,,
Lady2208 Jan 1st 2008 12:38AM
NEVER RENT FROM ENTERPRISE RENT A CAR--THEY HAVE THE $400 DENT SCAM
syndy Sep 15th 2008 9:49AM
how do you fight them , they are doing that to me right now
Rebecca Jan 1st 2008 12:21AM
I always take the fuel option offered by the rental car company because the price per gallon is usually very low. Then I return the car on fumes, which is sometimes rather fun. When you buy gas at a station near the airport you pay a premium price because they're waiting for the rental car return customers.
Andrea Jan 1st 2008 12:45AM
I work for a major car rental company and every day I am amazed at the people who will just sign a contract without even reading it. I feel that I and my coworkers are fair and try to inform renters of all the terms of the rental agreement, but most don't listen. They are more interested in getting on with their trip, vacation, whatever their reason may be for renting the car. Most importantly, always check for damage. At my location, a form is filled out by the people who clean the car noting any damage they find. We then ask the customer to sign this form after they have inspected the vehicle for themselves. Again, it amazes me how many people will sign the form without ever walking around the car and doing their own damage check.