Does It Make Sense to Prepay for Your Rental Car? - AutoSlash (2023)

FAQs

Should I pay for my rental car ahead of time? ›

Luckily, you probably won't have to deal with any initial costs when you book a rental car in advance. Most companies don't charge any upfront fees—you're simply reserving the vehicle at that set price. You won't pay until you go pick up the rental, or sometimes you won't pay until you turn in the car.

When you pay in advance for a qualified reservation: Your Pre-Pay discount will automatically be applied to your rate. This discount is 5% off. Since your reservation is prepaid, you'll spend less time at the rental counter and get on the road faster!

Some rental car websites will ask you to pay now or pay later and sometimes – the difference in rate can be a thing. In most cases, you'll find that prepayment cost will be around 5-15% lower than your standard reservations.

Make sure you get to the car rental agency early in the day. If you arrive before noon, there's a good chance you'll get a wider selection of vehicles at a better price. When you reserve a vehicle in advance, be sure to get there at the designated time.

If your day is spiraling off schedule and you know you'll be rushing to return your car, then prepaying for gas can be a better deal than risking not being able to refill the tank before you return the car.

Paying for Your Rental Car with a Debit Card

Renters have the option to prepay for a rental online with a debit card. Some locations may require a credit card at the time of pickup, but you can still pay for the rental with a debit card.

Rental car agencies are one of many types of organizations that will check your credit before accepting an application or opening a new account. Even if you don't plan on renting with a debit card soon, you may want to regularly check your credit reports for incorrect information.

Minor damage to a rental car, such as scratches, dents, or a chipped windshield are covered by the Damage Waiver. The Damage Waiver is an optional protection product you can purchase with your car rental.

What is the rental car company scandal? ›

For years, the rental car company Hertz falsely accused hundreds of innocent customers of stealing its vehicles — accusations that, for some customers, resulted in arrests, felony charges and jail time. Now, the company will pay $168 million to settle those claims, Hertz announced Monday.

Is Hertz cheaper than Enterprise? We ran multiple quote comparisons and by large, found Enterprise to be more expensive than Hertz. Prices differed from $70 to up $200 for both prepay and pay on pick-up options.

Weekends are the best days to rent a car because most people do not need them on the weekend. Weekend rentals are a great way to take a day trip somewhere if someone doesn't want to rack up miles on their own vehicles. Most car rental places will offer price points that include unlimited mileage.

Arriving a few minutes early at the counter is less of a problem than arriving late. Most rental companies will let you take the car early if it's available. As a general rule, leave 45 – 60 minutes between expected landing time and the car rental pick-up time.

Paying cash for your car may be your best option if the interest rate you earn on your savings is lower than the after-tax cost of borrowing. However, keep in mind that while you do free up your monthly budget by eliminating a car payment, you may also have depleted your emergency savings to do so.

Sometimes it's cheapest to rent for only the days you need the car, sometimes it's cheaper to rent for a week even if you only need a car for a few days. In other words, be sure to check both before you book—just make sure the rental car company won't charge a fee if you return the car early.

Outmaneuver Fees and Industry Quirks

For example, cars rented at the airport are almost always more expensive because of added taxes and fees. Rent at an off-airport location and you could save 20 percent or more.

Is it better to reserve a rental car in advance or at airport? ›

Reservation in advance is a good approach. In this way, the car rental seldom cost you the money. Rental companies let you book a car free of costs, using the credit cards only when the customers arrive for pick up at the main franchise or counter.

You never want to pay more than you have to for a rental car—and that includes gasoline. The agent at the rental car companies will likely try to sell you on their prepaid gas program. That's where you get charged for a tank of gas at a cheaper-than-average per-gallon price.

Usually, it's a waste of money to choose the fuel purchase option, but safety and convenience can provide reasons to do it. Remember to check the receipt to make sure you're charged the correct amount. A: Choosing the fuel purchase option can save time and hassle when you return a car, but it almost never saves money.

The Benefits of Prepayment

Paying down the principal faster will also allow you to pay down the loan faster, so you'll be mortgage-free sooner than the scheduled end of your 30- or 15-year term.

However, debit cards aren't always accepted for car rentals, and even when they are, you're much better off opting for a credit card anyway. Credit cards offer better consumer protections, such as fraud liability, and some cards cover rental car insurance.

rent a car with a prepaid card

Enterprise and Hertz both allow you to use a prepaid card to pay for your rental car. Some Enterprise locations accept cash and money orders for final payments only, while others allow you to secure a rental this way. Hertz accepts prepaid cards for final payment only.

Put down a deposit

The rental car company may ask you to put down a deposit using another source of funds, such as a cashier's check, personal check, or money order. Upon returning the vehicle, you will get the deposit back, assuming that there is no damage and you did not exceed your rental time limit.

For the best shot of being approved for favorable lease terms, you should have a credit score of at least 700. Some companies may be willing to lease to you with a lower credit score, depending on the cost of vehicle, down payment, and other credit or contract terms.

Renting a Car With Bad Credit

Your options will be limited, but you can still rent a car. You won't have access to luxury or premium vehicle. In most cases you'll be limited to economy cars and older models. When renting with a debit card, you'll have to place a large deposit on the vehicle.

Yes: your landlord reports your rent payment as delinquent

That missed rental payment will act as a negative mark on your payment history and as payment history is one of the most important factors in calculating your credit score, your score will likely go down.

What damage does enterprise look for? ›

Impact Damage (body, undercarriage, glass, etc.)

Scratches larger than 2”, or multiple scratches per panel, will be considered damage. Damage will be considered a scratch if it is through the paint. Generally this can be determined if a fingernail catches on the scratch when running fingernail along painted surface.

Like all car rental companies, Enterprise will put a hold on your credit card or debit card when you rent a car. The hold is equal to the rental rate plus a security deposit. The company holds this sum to guard against scenarios like an accident, late return or additional fuel charge.

Can you negotiate prices at Enterprise Car Sales? There's no negotiation in the Enterprise car-buying process. The final sales price is posted on each vehicle.

First, inquire from friends, close family, business associates, or coworkers. If these people have hired car rental services before, they will be very resourceful to help find a reputable company. This is one way of finding reliable vehicle rental companies. You can also read online reviews.

So, every car rental business maintains a “Do Not Rent List” that will blacklist customers who deem to be a risk. If your name is listed in the Do Not Rent List, you will be denied by all car rental companies from renting a vehicle. Avoiding the do not rent list is best for you, if you frequently rent vehicles.

Failure to Return a Rental Car

Most companies offer a grace period between 29 minutes and 2.5 hours. If you realize you may be late, call the rental company as soon as possible. They can charge late fees, however, which tend to pile up.

Is prepaid fuel worth it? ›

If your day is spiraling off schedule and you know you'll be rushing to return your car, then prepaying for gas can be a better deal than risking not being able to refill the tank before you return the car.

Joining a car rental company's loyalty or rewards program can sometimes eliminate extra driver fees for spouses or domestic partners. Companies like Dollar, Hertz, Sixt and Thrifty offer this perk for members. If you're a Costco member, renting a car through Costco Travel can also be a good move.

But when it comes to rental cars, this might surprise you: The best time to rent a car is last minute, when they tend to be cheaper. That's according to a NerdWallet analysis conducted in March 2022 of 360 rental car prices from eight major car rental companies in the United States.

Two (2) hours after the reserved pick-up time the reserved vehicle will be made available for other customers. If you arrive at the location more than two (2) hours after the reserved pick-up time, we will try to provide a vehicle for you, however, availability cannot be guaranteed.

If you drop off your car late, some car hire companies (such as Avis and Hertz) will apply a lateness fee and charge you the cost of an extra day – even if you're only a couple of hours late. Some other companies (such as Sicily By Car) will charge you for an extra day.

If you prepay too much for gas with a credit card, you will only be charged for the purchase amount and the remainder of the prepaid amount will not be charged to your card. The gas pump will stop when you reach the prepaid amount or when the tank is full.

When you prepay for the gas, you're paying for the full tank. If you bring it back a quarter full or even 90 percent full, there's no refund for the gas you left in the tank. If you don't use every last drop, you're paying for gas you didn't use.

Yes! Fuel cards get you savings at the pump. This can be between two-three pence a litre, although the rate can vary. If you have a fleet of cars, vans, electric vehicles or HGVS, this provides massive savings on a long-term basis.

If you're standing at the company's rental desk, and they are that close to renting you a car, they're probably willing to negotiate. And sometimes they will negotiate a lot. Even if you find haggling embarrassing, just go for it.

Credit and Debit Card Rules

Generally, at the time of a U.S. corporate-operated location rental, we'll require a credit card hold of total estimated rental charges plus 25% or $200, whichever is greater.