Hidden Costs of Car Rental Deals

If you have been taken for a ride, both literally and sarcastically, by so called cheap car rentals, you would know that the prices advertised and the prices you pay are two poles-apart numbers. What car rental providers don’t offer is transparency of the rates. They publish the base fares, market them as the final price and get your business unethically. In fact many independent researches confirmed that the final car rental rates may differ as massively as 56% of the base fare, which means you might end up paying double or more than what you think you would! This might differ by states as well. Alaska is the worst offender in this case.

To help you take the guess work out of car rental rates and ensure that there are no surprises, we list the most commonly hidden charges and let you factor them in while calculating the real cost of car rental deals.

Here is the list:

•Taxes and Airport surcharges: These charges are a must pay surcharges. While in US, they are paid as sales taxes and airport surcharges; in Europe they call it VAT (Value Added Taxes), which can go as high as 25%. There may be times when you shell out more due to other taxes such as those levied to support local infrastructural growth. Now how about if you get to know the way to avoid them? Well, it’s pretty simple. Don’t get the car at the airport. While doing this, check how much it costs you to reach the pick-up point and how inconvenient it might get. If the cost is lower and the pick-up point is accessible, it makes more sense to travel towards it than get the car at the airport. Keep in mind, there is no exception to this. For example, you may go to a nearby hotel and come back at the airport later for the car. The car rental agencies would still be liable to pay the taxes and pass them on to you.

•Insurance: While it is optional in most states, insurance can keep your financially secure for instances when you bruise the car and are forced to bear the maintenance charges. With insurance plans available for as low as $10 per day, insurance can avoid any unplanned financial obligations to spoil your travel budget. For states where insurance is compulsory, it is often worked into the price. These charges, however, can be avoided if your car insurance offers you coverage for car rentals as well. Inquire about this with your carrier.

•License fees: Few states allow car rental agencies to charge a certain percentage of the total bill to recover the cost of licensing their car. Inquire about this early on.

Other extra charges may also include child seats, mileage, return early charges and more. Therefore it is best you book car rental deals with a company that is transparent and offers honest customer service.

Flores Brown is an associate editor with Farebuzz.com. The website offers exclusive information related to best airline tickets and car rental .