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Finance

14 Rental Car Slip-Ups That Can Drain Your Wallet

Last updated: July 31, 2025 1:07 pm
Oliver James
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7 Min Read
14 Rental Car Slip-Ups That Can Drain Your Wallet
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Before you get your hands on that rental car, know that the rental counter smile isn’t always your friend. Hidden costs, tiny print, and a few rushed choices can turn a cheap ride into an expensive headache.

Contents
Buying Insurance You Don’t Actually NeedForgetting to Review the Fuel PolicyPicking Up at the Airport Without Comparing RatesSkipping the Damage Check When Picking UpReturning the Car Even Slightly LatePaying for GPS, Car Seats, or Toll Packages You Don’t NeedNot Checking for Mileage LimitsAssuming You Can Cross Borders or Use Any RoadBooking Without a Deposit or PrepaymentPaying More for a One-Way RentalForgetting About Hotel Parking and Local FeesOverlooking Membership DiscountsWaiting Too Long to ReserveNot Comparing Rental Companies or LocationsAssuming a Rental Is Always Necessary

Here’s a mix of everything you need to know regarding rental cars, and how a little negligence can stretch your budget far more than expected.

Buying Insurance You Don’t Actually Need

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Some agents talk about extra coverage like it’s a seatbelt for your wallet, but many drivers are already protected. Your credit card might cover damage, and your own car insurance often extends to rentals. Double up without checking, and you’re paying for a benefit that was already sitting in your pocket.

Forgetting to Review the Fuel Policy

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That prepay option sounds easy until you notice you paid for a full tank even though you barely drove. If you return the car low on fuel, the per-gallon charge is usually far higher than at any gas station. A quick stop before drop-off can save a surprising chunk of money.

Picking Up at the Airport Without Comparing Rates

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Airport counters add extra fees you might not see at a branch ten minutes away. A short cab ride or hotel shuttle can cut the cost dramatically. Many travelers never compare and end up paying for convenience that isn’t worth the hit on their travel budget.

Skipping the Damage Check When Picking Up

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Scratches, dings, and interior marks must be photographed and documented before you drive off. If damage isn’t noted upfront, you could be blamed later, even for issues that weren’t your fault. Always confirm the damage sheet matches the car’s condition before leaving.

Returning the Car Even Slightly Late

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It feels harmless to roll in 40 minutes late, but most contracts count that as another day. A few companies allow short grace periods, though many don’t. Setting a return time with breathing room makes sure you’re not paying for hours you didn’t plan to use.

Paying for GPS, Car Seats, or Toll Packages You Don’t Need

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Your smartphone handles GPS better than most rented devices. Airlines let you check car seats for free, and local tolls may not even affect your route. Instead of adding extras out of habit, check what’s actually useful and what you can bring or manage on your own.

Not Checking for Mileage Limits

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Unlimited mileage isn’t automatic, especially with specialty cars or smaller operators. Surpassing the cap can trigger steep overage rates that feel unfair when you only drove a little farther than planned.

Assuming You Can Cross Borders or Use Any Road

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Driving into another state or country with your rental car might violate the agreement. Some companies prohibit cross-border travel or limit use on rugged roads. If you ignore these rules, you may face extra fees or voided coverage. Ask before heading somewhere remote or international.

Booking Without a Deposit or Prepayment

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Holding a car without paying upfront feels safe, but overbooked branches often cancel unpaid reservations. Showing up to “no cars available” is frustrating and costly when alternatives are scarce. Even a small deposit signals you’re serious and keeps your car waiting when demand spikes.

Paying More for a One-Way Rental

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Picking up a car in one city and dropping it off in another can get expensive. Even domestic one-way fees can be steep, and international returns are worse. If your itinerary allows, try to return the car where you rented it, and your budget will thank you.

Forgetting About Hotel Parking and Local Fees

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In urban areas, parking can cost more than the car itself. If your hotel charges daily parking fees or local tolls are frequent, reassess whether a rental is worth it. Public transport or rideshares could save you money, especially on short city stays.

Overlooking Membership Discounts

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Warehouse clubs, travel rewards programs, and auto associations often include rental discounts or free perks. Before booking, check if your memberships or credit cards offer benefits like free upgrades or waived fees. It takes minutes to check, and your costs can be cut noticeably.

Waiting Too Long to Reserve

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Prices rarely drop when inventory gets tight. Last-minute plans can leave you with only premium cars at premium prices. Book early with a refundable option and keep checking rates as your trip approaches.

Not Comparing Rental Companies or Locations

Credit: Getty Images

Sticking to the first result or the biggest brand can mean missing out on cheaper, equally reliable options. Use price comparison tools and try multiple car sizes. It’s weird, but sometimes a larger model costs less. Different locations from the same company may even have vastly different pricing.

Assuming a Rental Is Always Necessary

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Sometimes, you don’t need a car at all. Cities like New York or London have dense public transport and expensive parking, making rentals inefficient and costly. Before booking, look at your destination’s infrastructure. You may find your trip is better served by a transit pass than a steering wheel.

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