How to Rent a Car
Rent a car in the US or Europe. Compare total prices, check the insurance and card coverage you already have, bring the right documents, photograph the car before you drive, and return it without surprise fees.
You will end up with a rental booked at a price you compared, insurance sorted before you reach the counter, the documents the agent asks for, a record of the car's condition, and a return with no surprise charges.
At the counter, the agent can offer a collision damage waiver, supplemental liability, a fuel option, a toll device, and roadside assistance. The Federal Trade Commission says fees and options like these can increase the base price dramatically, and that you may already be covered by your own insurance or a credit card. Step 3 sorts out the coverage, and step 6 covers the fees at return.
The steps are written for renting in the US, with notes on what changes when you pick up a car in Europe.
A valid driver's license A credit card in the driver's name A reservation confirmation (printed or digital) An International Driving Permit if the country or rental company requires one (see step 4)
Figure out what you need
Start with where you pick up the car and where you drop it off. If those are two different locations, that is a one-way rental, and the FTC warns that returning a car to a different place than you picked it up can be expensive. Compare the total price, not the daily rate. Next, decide on car size. The FTC notes that the size of your rental can affect the price you pay. Economy and compact cars are the easiest to park in cities, and a midsize or full-size sedan, an SUV, or a minivan fits a family or more luggage. The FTC also notes that names like "compact," "mid-size," and "luxury" mean different things at different companies, so compare the example models listed for each class. Check how your contract counts a rental day. If it counts 24-hour periods from pickup, a car picked up at 10 a.m. on Monday and returned at 10 a.m. on Wednesday is 2 days, and a later return can add a third. Plan your pickup and return times around that, and see step 6 for late returns. Estimate how far you plan to drive. The FTC says most companies offer unlimited miles but not all of them do, and some limit mileage on certain cars, such as some SUVs and high-performance cars. If you are renting in Europe and need an automatic, select an automatic car when you book. The transmission comes with the car class you reserve, so if you have only ever driven an automatic, do not assume the car will have one.
Good to know: Price a full 7-day rental against 5 or 6 single days added up. A weekly rate can come out cheaper than the days it covers, so compare both totals before you book.
Compare prices and book early
Book ahead rather than walking up to the counter. The FTC says you may find deals if you book in advance, or together with a flight or hotel stay, and to check the fine print for limits such as blackout dates. Compare a few websites, both price comparison sites and the rental companies' own sites. The FTC says to double-check that the prices you compare include taxes and fees, such as a "vehicle licensing fee" or an "energy recovery fee," so compare the final totals. Read the cancellation policy before you book. The FTC says you may need to cancel in advance, sometimes as much as a week ahead, to avoid a cancellation fee, and that a prepaid reservation may carry fees no matter when you cancel. If your reservation can be canceled for free, keep checking prices after you book, and rebook if the total drops. In Europe, compare the same way, and check that each quote includes the insurance excess covered in step 3.
Good to know: Price a branch away from the airport too, and compare the final totals. FAQ 5 below explains why the airport surcharge does not always disappear off-site.
Sort out insurance before you get to the counter
Check what coverage you already hold before you reach the counter, so you do not pay twice for it. The agent at the counter will offer you several types of coverage. A Collision Damage Waiver (CDW), sometimes called a Loss Damage Waiver (LDW), means the rental company pays for damage to the rental car itself. It is charged per day, and the FTC notes that a waiver will not pay for injuries to you or damage to your personal property. Supplemental Liability Protection covers damage you cause to other people or their property. Personal Accident Insurance covers medical costs for you and your passengers. Before you accept any of these, the Federal Trade Commission recommends checking what you already hold. Your personal auto insurance policy may already cover rental cars. Call your insurer and ask whether your collision and comprehensive coverage extends to rentals. If you are traveling on business, your employer's insurance may cover you. Some credit cards and auto clubs include rental protection when you use their card to pay for the rental. The FTC says you generally have to decline the rental company's own waiver to be eligible for your card's, so buying theirs as a precaution can switch yours off. Ask your card issuer whether its coverage is primary, which pays first, or secondary, which pays only what your own policy does not. The FTC also points out that a homeowner's policy sometimes covers rental cars too, so if you do not own a car, call your home insurer. If you are renting in Europe, your credit card's coverage may not apply or may be limited to certain countries. Check the card's benefits guide before your trip. Every car registered in an EU country must be insured for third-party liability, the EU's Your Europe site says, and that insurance does not cover repairs to the car itself, which is what the CDW and your card's coverage are for. European quotes show an excess (what you would call a deductible in the US). The rental company and third-party providers both sell cover that reduces it, so compare the price of each against the excess in your quote.
Heads up: If you decline all coverage and have no personal policy or credit card benefit that applies, the FTC says you are responsible for any damage to the rental, sometimes its full value. Make sure you have at least one layer of coverage before you drive off the lot. A CDW you do buy can be canceled if you damage the car while driving recklessly or under the influence of alcohol or drugs, or if you let an unauthorized person drive it, the FTC warns.
Bring the right documents
At the counter, show a valid driver's license, a credit card in the driver's name, and your reservation confirmation. Outside the US, also bring an International Driving Permit if the country or the rental company requires one (covered below). The FTC says many companies check customers' driving records, and that a company might not let you rent the car if you have recent driving violations, even with a confirmed reservation. The card matters. The FTC says most rental companies place a hold on your debit or credit card for more than the agreed-on rental cost, to cover extra charges, and do not process it if you return the car as agreed. Enterprise, for example, says its deposit amount varies by location. On a debit card, the hold ties up cash in your checking account until it is released. On a credit card, it takes up part of your credit limit, and the FTC warns that if you are near your limit or have a low balance, your card could be declined for other purchases. If you plan to pay with a debit card, check the pickup location's policy before you book. Avis, for example, rents to customers with an Avis-honored credit card. If you are under 25 in the US, expect a daily underage surcharge. Avis rents to customers aged 21 and up in most US states and adds a surcharge for renters aged 21 to 24. New York and Michigan are the states to know about. There you can rent from 18, but the fees do not go away. Avis lists $84 a day for renters aged 18 to 20 in New York and $35 for 21 to 24, and $41 and $28 in Michigan. If you are renting outside the US, check whether you need an International Driving Permit (IDP), which you carry along with your US license. An IDP translates your license, and whether you need one depends on the country and on the rental company. AAA gives an example of each case. Hungary does not recognize a US license but officially recognizes an IDP, and Spain honors a US license but requires a translation in the local language. AAA adds that rental companies, such as Hertz, may require an IDP even where the country's government does not. Get it before you leave, because AAA says an IDP to use with a US license can only be issued in the United States. FAQ 3 below covers where to get one.
Good to know: Take a photo of your reservation confirmation and your license before you head to the counter. If your phone dies or you lose the printout, you still have a backup.
Inspect the car before you leave the lot
Before you drive away, walk around the entire car and look for existing damage, such as scratches, dents, chipped paint, a cracked windshield, and scuffed bumpers. Check the wheels and the roof too. Take photos or a video of every side of the car, with the date and time recorded. If you spot something, make sure it is noted on the rental agreement before you leave. Inside the car, check that the fuel gauge matches what is listed on your contract. On a full-to-full rental, it should read full. Test the headlights, turn signals, windshield wipers, and air conditioning. Adjust the mirrors and seat, and find the dashboard controls before you pull out, especially on a model you have not driven before. If anything seems off, go back to the counter and ask for a different car. It is much easier to switch now than to dispute a damage charge later. Sort out tolls at pickup. The FTC says a rental company's automatic toll payment can come with a service fee for every day of the rental, even the days you do not drive on toll roads, a one-time service fee for the whole rental, or a service fee each time you pay a toll with the device on top of the toll itself. Ask which one your rental uses before you drive off. In parts of Europe, you may need a toll vignette, a prepaid motorway pass sold as a windshield sticker or online, for countries like Austria, Switzerland, and the Czech Republic.
Heads up: If you skip the walkaround and the company finds a scratch when you return the car, you have no record showing it was there before you drove off. Your photos and the notes on the rental agreement are that record.
Return the car and avoid surprise charges
The FTC says most companies require you to return the car with a full tank of gas, and that if you do not, you are charged the rental company's price for gas, which is usually more expensive than a local gas station. Fill up at a station near the return location right before you head back. Some companies offer to let you prepay for a full tank instead. The FTC says that might be convenient but could be a lot more expensive than filling up yourself. Return the car on time. The FTC says many companies will not charge you extra if you are less than 30 minutes late, but you may still pay a full day's charge for optional items, like liability coverage. If you are running late, call the company and ask whether it is cheaper to pay the late charges or to extend your reservation. Returning early can cost money too. The FTC says some companies charge a fee if you return the car more than 24 hours before your reservation ends, so call the company before you do. If you connected your phone to the car's infotainment system, delete it before you return the car. The FTC warns that the system can keep information such as the locations you entered, call and message logs, and contacts, which future renters or rental employees may be able to see. Go into the system's settings menu, find the list of paired devices, and delete yours. Before you hand over the keys, check the car for personal belongings. Look under the seats, where phones, chargers, and sunglasses end up. Get a copy of the return receipt showing the final mileage, fuel level, and condition of the car. If a damage charge shows up on your credit card weeks later, that receipt is your evidence.
If a charge you did not expect shows up after you return the car, compare it with your contract, the return receipt, and your photos from step 5, then contact the rental company's customer service department. The FTC says to report problems with a rental car company to the company, to the FTC at ReportFraud.ftc.gov, and to your state attorney general. If the rental is for a long drive, our guide on how to plan a road trip covers the route and the stops. FAQ 1 below covers age limits, FAQ 2 insurance, FAQ 3 permits, FAQ 4 extra drivers, and FAQ 5 airport pricing.
Questions we get asked about this
Answers from experience, not a textbook.
Yes. Avis rents to customers aged 21 and up in most US states and adds a surcharge for renters aged 21 to 24. In New York and Michigan, its minimum age is 18, with a higher surcharge for renters aged 18 to 20 (step 4 has the figures). Avis also keeps renters under 25 out of some car classes, including full-size SUVs, luxury cars, minivans, and passenger vans. Other companies set their own ages and fees, so check the terms for your pickup location before you book. In Europe, the minimum age varies by country and company, so check the location's terms there too.
Buy it only if nothing you already hold covers the rental. If your personal auto policy extends collision and comprehensive coverage to rental cars, or your credit card offers a rental car benefit, you can decline the counter waiver. Call your insurer and check your card's benefits guide before your trip. If you do not have personal auto insurance, check your credit card's benefits guide first, because the FTC says you need to decline the counter waiver to be eligible for a card's coverage. If neither your card nor another policy covers rentals, buy the rental company's CDW. Without an auto policy, you also have no liability coverage of your own, which is what the counter's supplemental liability covers. Avis tells renters without auto insurance that it is in their best interest to get insurance at the counter.
It depends on the country and on the rental company. An International Driving Permit translates your US license into 10 languages, AAA says, and you carry it together with the license. Some countries require one by law, and AAA notes that rental companies may require one even where the government does not. Check the State Department's travel information for the country you are driving in (step 4 links its driving page) and the rental company's terms. AAA is one of only two organizations the State Department authorizes to issue IDPs in the United States, and the permit fee is $20. The other is the American Automobile Touring Alliance (AATA), which says it is authorized to issue the permit to US motorists. Buy an IDP only from one of the two. AAA does not issue a permit more than 6 months before the date you want it to start, and its online application takes 5 business days plus shipping, so apply in that window and leave time for the mail. AATA says an IDP is valid for 1 year from the date of issue and cannot be renewed.
Only if they are on the rental contract. Add every driver at the counter, and bring their license. The FTC says some companies charge to add another driver, and Avis says additional drivers must pay to operate the vehicle. Do not hand the keys to anyone who is not listed. The FTC warns that a CDW you bought could be canceled if you let an unauthorized person drive the rental.
It depends on the branch, so compare the final totals. The FTC says renting at the airport can be expensive, and that airport surcharges can apply even when a rental company shuttles you to its off-site lot. Get a quote for an airport location and one for a branch in town for the same dates, with taxes and fees included. If the town branch comes out lower, weigh the saving against the taxi, shuttle, or rideshare it takes to get there, and the time it adds when you land.
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