Five Tips to Get Great Deals for Renting Cars and Saving Money at Holidays
When you start shopping around for the best deals on rental cars for where you’ll be vacationing or traveling, you’ll probably be able to find extremely attractive daily or weekly rates by contacting the rental car companies (like Hertz, Avis, National, Budget and Enterprise) directly, or by visiting the popular travel-related websites (like Hotwire.com, Travelocity.com or Orbitz.com), for example.
In addition to the rental car company’s daily rental fee, however, you’ll also be responsible for purchasing gas and potentially insurance, plus pay for nightly parking. These added fees can double or even triple the daily rate you pay for your rental vehicle, so what was advertised as a $25 per day rental could wind up costing $50 to $75 per day or more.
When it comes to parking, many hotels, especially within major U.S. cities, charge between $20.00 and $50.00 per night for self-parking or valet parking, above and beyond what you’ll be paying for your nightly guestroom accommodations. You might also need to pay daily parking fees at whatever attractions or locations you’ll be visiting during the days of your trip.
Whether you’ll be vacationing as a newly single traveler, or you’re a single parent who will be traveling with your kids, the following five tips will help you find the best rental car deals, plus save you time and money:
1. Determine your needs.
Prior to contacting the rental car companies or visiting various travel-related websites to shop for the best deals, determine your needs. This includes knowing what size vehicle you’ll need to accommodate your passengers and luggage, how many days you’ll need the vehicle for, and your pick-up and drop-off dates and times. Also determine what extras you’ll want or need, such as a GPS navigation system or an infant car seat.
The various rental car companies offer several size categories for vehicles, ranging from inexpensive Compact or Economy cars, to four-door Mid-Size vehicles, Full-Size vehicles, or SUVs. Luxury, or fun, cars (such as sports cars and convertibles), are also often available. A compact or economy car will comfortably hold two adults with minimal luggage, while a family of three or four will typically require a mid-size or full-size vehicle, or an SUV.
During peak vacation times in tourist destinations, like Orlando, for example, SUVs and larger, family-size vehicles book up extremely early, so it’s important to make your reservation well in advance.
If you need a rental car for just a few hours, consider contacting Zip Cars (866-494-7227 /www.zipcar.com), which offers low-priced, hourly car rentals in a growing number of U.S. cities, including New York City, Boston, Washington, D.C., Chicago and San Francisco.
“We are a member-based service. We allow members to reserve a car for a few hours at a time, as opposed to a full day. But, we have both hourly and daily rates for our vehicles. Unlike other rental car companies, our rates include all insurance, gas and parking fees. We also accept either debit or credit cards, and accept drivers over the age of 21, not 25, who have a good driving record,” said Julian Espiritu, a regional vice president of Zip Cars. Rates start at $8.50 per hour for a Honda Civic or Mini Copper Convertible.
2. Watch for extra fees.
Simply by shopping around and sometimes asking the rental agent for a better deal, you’ll find one. Many rental car companies offer discounts of at least ten percent off of their daily or weekly rates to AAA and AARP members or employees of certain corporations. Plus, special deals are offered to members of particular airline frequent flier programs. Each airline has one or two rental car companies as promotional partners.
Most rental car companies require the renter to be at least 25-years of age, plus use a major credit card in their name to pay for the rental. A few companies will accept a debit card but will require you to make a larger deposit when you pick-up the vehicle and you may be charged a higher daily or weekly rate.
Depending on your credit score and other criteria set by each rental car company, a required deposit of between $100 and $400 will be held on your credit or debit card during the term of your rental. These funds will be released once your rental vehicle is returned undamaged, but during the period of your rental, those funds will not be available for credit card purchases, so it’s important to plan your budget accordingly.
When you pick-up your rental car, the rental agent will offer you a wide range of additional upgrades and services. For example, you’ll be offered a special deal if you upgrade to a larger vehicle, plus you’ll be given the option of adding a GPS navigation system to the vehicle. With these upgrades come extra fees.
Your rental agreement automatically permits just one licensed driver to actually drive the rental vehicle. If you want to add another licensed driver to the agreement, so they too can drive your rental vehicle, expect to be charged an additional daily fee for this as well. Adding drivers must be done in-person.
A separate extra fee will often be charged if you plan to pick up the vehicle at one location and drop it off at a different location. One-way rentals typically cost significantly more than if you pick up and drop off the vehicle at the same location.
To begin shopping around for the best rates and deals, start by contacting the rental car companies directly. Then, visit at least two or three of the different travel-related web sites to compare rates for your specific dates of travel.
RENTAL CAR COMPANY CONTACT INFORMATION
Alamo (800) 462-5266
www.alamo.com
Avis (800) 331-1212
www.avis.com
Budget (800) 527-0700
www.budget.com
Dollar (800) 800-3665
www.dollar.com
Enterprise (800) 261-7331
www.enterprise.com
Hertz (800) 654-3131
www.hertz.com
National (800) 227-7368
www.nationalcar.com
Payless Car Rental (407) 856-5539
www.paylesscarrental.com
POPULAR TRAVEL-RELATED SITES
CarRentals.com www.carrentals.com
Hotwire www.Hotwire.com
Orbitz www.orbitz.com
SideStep www.sidestep.com
Travelocity www.Travelocity.com
Yahoo! Travel http://travel.yahoo.com
Laura Bryant, a spokesperson for Enterprise Rent-A-Car explained, “Monday is frequently the most economical day of the week to rent a car. When making your reservation, always ask if there are any specials or discounts you qualify for. Also, if you’re planning a road trip, renting a more fuel efficient car instead of using your own vehicle could be more comfortable and cost efficient.
Once you’ve made your reservation, be sure to keep a copy of your confirmation/reservation number, as well as the printed (e-mailed) receipt that lists the terms of the rental agreement, including the daily/weekly fee and pick-up/drop-off dates and times. When you actually pick up the rental vehicle, if there’s any discrepancy between the terms your reservation receipt states and what the rental car company is actually offering, the rental car company will adhere to what your reservation receipt lists.”
3. Choose insurance wisely.
When you rent a car, you’re taking on full responsibility for it. In other words, you’re expected to return it damage free. If you’re already an insured driver and have automotive insurance in your name for your personal vehicle, determine what coverage you’re automatically offered when you drive a rental car. Also, determine what coverage you’re offered if you pay for the car rental using a specific major credit card. You also need to know if your homeowner’s or renter’s insurance will cover your personal belongings while they’re in the vehicle.
The rental car companies offer a variety of different, optional and often confusing insurance choices at various price points. Loss Damage Waiver (LDW), for example, will cover the rental vehicle itself and nothing else in the event of an accident, theft or other damage. If you purchase this optional coverage (which is not technically insurance), you’ll have no deductible or financial responsibility for the vehicle should something happen to it (providing you’ve otherwise adhered to the terms and conditions of the rental agreement).
According to Hertz, “When you purchase Hertz’ LDW, which is not insurance, you will not be held responsible for damage to the Hertz car in the event that any damage should occur, provided the loss or damage was not the result of any prohibited use of the car.” Keep in mind, the various rental car companies offer similar, but not exactly the same types of coverage.
Other types of insurance coverage offered by the rental car companies include:
Partial Damage Waiver (PDW)
This requires you to file a claim with your automotive insurance provider if something should happen, but your deductible (up to $1,000) will be covered by the PDW coverage.
Limited Loss Damage Waiver (LLDW)
This coverage, which is not actually insurance, covers damages to the vehicle costing less than $1,000. You or your insurance company will be responsible for all damage above this $1,000 limit.
Liability Insurance Supplement (LIS)
According to Hertz, LIS provides you with up to one million dollars of increased protection should bodily injury and property damage claims be made against you by people injured in an accident. LIS safeguards your insurance policy and/or your personal assets for the first $1 million should such claims be made against you. LIS also provides you with up to $100,000 in coverage for combined bodily injury and/or property damage claims, should you be harmed by an uninsured/underinsured driver.
Personal Accident Insurance (PAI)
According to Hertz, Personal Accident Insurance (PAI) provides you with coverage not to exceed $2,500 in accidental medical expense benefits for treatment of an injury sustained as a result of an accident during the rental period and rendered within 90 days. In the event of your accidental death from an injury sustained during your rental term, PAI provides your beneficiary with a benefit not to exceed $175,000 along with more limited benefits for your passengers.
Personal Effects Coverage (PEC)
According to Hertz, PEC provides coverage not to exceed $1,800 for personal effects (yours and those belonging to immediate family members traveling with you) which incur a covered loss or are damaged while renting from Hertz. Payment on such a claim will be made to you regardless of whether you already carry similar coverage such as a Homeowner’s policy.
Before relying exclusively on insurance offered by your credit card issuer, keep in mind that this coverage typically only covers your deductible, after your other existing insurance policies cover any claims. Also, the credit card insurance will typically repay you, but you’ll first be required to cover all of the bills associated with a claim on an out-of-pocket basis, and then have to wait for reimbursement.
If you’re relying on your personal automotive insurance policy to cover your rental, keep in mind that the coverage you actually have will vary by state, as well as your individual policy. For example, you may have coverage limits that cover the value of the car you own, not the value of the vehicle you’re renting. Also, if you file a claim with your insurance company, you are responsible for the deducible, plus you run the risk of your annual premiums increasing.
The insurance options offered by the rental car companies are entirely optional. Declining the coverage, however, could cause you significant financial and legal harm if you’re involved in an accident or the vehicle itself is somehow lost, stolen or damaged.
4. Stick to terms of agreement.
The rental agreement you’ll sign when you pick up the vehicle will itemize all of the charges associated with the vehicle rental, including the daily rate, the fees for insurance, the refueling option you’ve selected, and the time and date you’re expected to drop off the vehicle. The agreement is a legal document. Upon signing it, you’re agreeing to all of the rental terms, plus taking on full responsibility for the vehicle itself.
Before signing the agreement, read it carefully to make sure all of the listed fees are what were originally quoted to you when you made your reservation. Also, make sure you understand exactly when and where the vehicle must be dropped off.
If you need to keep the car longer than what your rental agreement stipulates, be sure to call the phone number listed within the rental agreement before the drop off time and date in order to extend the agreement. Beyond a one-hour grace period, if you return your vehicle late, without making prior arrangements, you will be charged an extremely high per-hour rental fee for the vehicle that’s not returned on time.
Upon picking up the vehicle, you’ll need to choose your refueling option. You can pre-pay for the vehicle’s full tank of gas (which means you can return the car with an empty or only a partially filled tank of gas), or you can opt to return the car with a full tank of gas, which is the most common and cost effective option. If you agree to return the car with a full tank of gas, but fail to do so, you will be charged at least $5 to $6 (or more) per gallon to refill the tank. (The refueling charge imposed by the rental car company will be much higher than current gas prices.)
5. Collect frequent flier points.
One way to save time and potentially money on your car rentals is to first join a rental company’s frequent renters program, such as the Hertz #1 Club or the Avis Wizard program. Upon signing up for free online, you’ll provide all of your driver’s license and credit card information once. Then, each time you actually pick up or drop-off a rental vehicle, the process will be significantly faster. You’ll also earn points toward free vehicle upgrades and rentals, and potentially extra airline frequent flier miles. The rental car companies also sometimes offer reduces rates and specials to members of their frequent renters programs.
Finally, if you’re booking all of your travel plans online using a popular travel-related web site, you can often save additional money by booking your airfares, rental car and hotel (or any combination of these) at the same time.
