Renting a Car? Read This First!

Renting a car can offer flexibility and convenience, but it can also be a costly experience if you're not careful. From unexpected fees to hidden charges, there are several pitfalls that can trip up even the most seasoned traveler. Here are seven common mistakes people make when renting a car — and tips on how to avoid them.

1. Overlooking Mileage Restrictions

Many rental car companies advertise unlimited mileage, but not all do. Some rentals, particularly smaller companies or certain locations, have mileage caps, and exceeding them can lead to hefty per-mile fees. For example, U-Save Car and Truck Rental in California charges $0.50 per mile if you drive outside the designated area. To avoid this, always check the fine print on mileage policies before hitting the road.

2. Paying for Unnecessary Insurance

Rental companies often push additional insurance coverage, which can be redundant if you already have coverage through your personal auto insurance or credit card. Paying for unnecessary insurance can add hundreds of dollars to your rental bill. Before renting, confirm what your existing policies cover. Ensure your credit card offers primary collision damage coverage and that it applies to the type of vehicle and location you plan to rent.

3. Forgetting to Pay Tolls Yourself

Driving through cashless tolls in a rental car without a personal transponder can lead to steep fees. Many rental companies charge daily administrative fees on top of the actual toll costs. Avoid these charges by bringing your own transponder or paying tolls online with the vehicle's license plate number. This simple step can save you from unexpected fees, which can add up quickly.

4. Dropping Off at a Different Location

Returning your rental car to a location different from where you picked it up may seem convenient, but it usually comes with a significant surcharge. Even if the drop-off point is nearby, rental companies often charge extra fees, which can double or even triple your rental cost. If possible, plan your trip to return the car to the same location to avoid these charges.

5. Returning the Car Late

Rental companies charge by the day, typically in 24-hour periods. If you return your car even a few hours late, you may end up paying for an additional full day. While some companies offer a grace period, it's usually short (less than two hours). To avoid these fees, try to return the car at the same time you picked it up or take advantage of grace periods offered by premium credit cards, like the four-hour grace period with the Platinum Card® from American Express.

6. Ignoring Fuel Policies

Not returning the car with a full tank can lead to inflated refueling charges. Rental companies often charge more per gallon than local gas stations, and prepaying for a full tank can also be a bad deal if you don't use all the fuel. To save money, fill up the tank yourself before returning the car and keep a receipt or take a photo of the fuel gauge as proof.

7. Skipping Vehicle Inspection

It's tempting to drive off quickly once you have the keys, but failing to inspect your rental car can cost you later. Always check for any damage — dents, scratches, and interior issues — and document them with photos or videos before leaving the lot. Make sure any existing damage is noted by the rental company. This can protect you from being charged for damage you didn't cause.

By being aware of these common mistakes and planning ahead, you can save money and make your rental car experience smoother and more enjoyable.

References: 11 common rental car mistakes — and how to avoid them | Rental Cars: Know the Pitfalls