What you need to rent a car

To rent a car, you need a valid driver's license, a credit card in your own name, and proof of insurance. Most rental companies require you to be at least 21 years old, though some charge extra if you're under 25. You'll also need to show your license and credit card at pickup — the rental company will run a hold on the card (usually $200 to $500) as a security deposit, which releases when you return the car undamaged.

If you don't have your own insurance, the rental company will offer you damage coverage at the counter. This is called a Collision Damage Waiver (CDW) or Loss Damage Waiver (LDW), and it costs $15 to $30 per day depending on the car and location. Your personal auto insurance or credit card may already cover rental cars, so check your policy before you book — you could save money by declining the rental company's coverage.

Key Takeaways

  • You need a valid driver's license, a credit card in your name, and proof of insurance to rent a car; most companies require you to be 21 or older.
  • Book online or by phone with a rental company, choose your car type and dates, and lock in your rate before you arrive at the counter.
  • The rental company will place a hold on your credit card for a security deposit (usually $200 to $500) that releases when you return the car in good condition.
  • At pickup, inspect the car for existing damage, take photos or video, and confirm the damage report before you drive away.
  • Return the car on time and with a full fuel tank, or you'll pay extra charges for late fees and fuel refill at the rental company's inflated rates.

How to book a rental car

Start by visiting a rental company's website or calling their reservation line. Major companies include Enterprise, Hertz, Budget, Avis, and National, though regional companies and peer-to-peer services like Turo also rent cars. Enter your pickup location, pickup date and time, and return date and time. The system will show you available cars in different classes — economy, midsize, SUV, luxury — and the price for each.

Choose the car type that fits your needs and budget. Economy cars cost less and use less fuel; SUVs and trucks cost more but offer more space and towing capacity. Once you select a car, enter your driver's license number, email, and phone number. The rental company will quote you a total price that includes the daily rate, taxes, and any add-ons you select (like extra insurance or GPS). Review the quote carefully — some companies add fees at pickup that weren't shown online, so read the fine print about fuel charges, airport fees, and young driver surcharges.

Complete the booking and you'll receive a confirmation email with your reservation number. Save this number; you'll need it at pickup. Some rental companies let you prepay online, which locks in your rate and can save money. Others charge you at pickup instead.

What happens at the rental counter

Arrive at the rental location 15 minutes before your pickup time. Bring your driver's license, credit card, and confirmation number. The agent will ask you to verify your address, phone number, and insurance coverage. If you don't have insurance, they'll offer you the rental company's damage waiver and any other add-ons like GPS or roadside information.

The agent will run a hold on your credit card for the security deposit. This is not a charge — it's a temporary hold that disappears when you return the car. If you're paying with a debit card instead of a credit card, some companies won't rent to you, or they'll require a larger deposit. Ask before you book if you plan to use a debit card.

Next, the agent will print out the rental agreement and walk you through it. This document lists the car's make, model, color, and license plate; the pickup and return dates; the daily rate and total cost; and your insurance coverage. Read it before you sign. If something doesn't match what you booked online — wrong car type, wrong dates, or a higher price — speak up now.

Inspecting the car before you drive away

Before you leave the lot, walk around the car with the agent and inspect it together. Look for dents, scratches, broken lights, torn seats, and stains. The agent will mark any existing damage on a damage report form. This is critical: if damage is already there and you don't report it, you'll be charged for it when you return the car.

Take photos or video of the car's exterior and interior, including the odometer reading and fuel gauge. Use your phone camera and timestamp the photos so you have proof of the car's condition at pickup. If the agent finds damage you didn't notice, ask them to photograph it too and make sure it's documented on the form before you sign.

Once you've signed off on the damage report, the car is yours. The agent will give you the keys and show you how to operate the lights, wipers, and fuel door. Ask where the spare tire and jack are located, and confirm the fuel type (regular unleaded, diesel, or premium) before you leave.

Using the car and managing your rental period

Keep the rental agreement and your confirmation number with you while you drive. If you're stopped by police, show them your driver's license and the rental agreement as proof you're authorized to drive the car.

Treat the car as if it's your own. Don't smoke in it, don't eat messy food, and don't allow pets unless the rental company approved it in advance. Avoid off-road driving, towing, or racing, because these void your insurance coverage and you'll pay for all damage out of pocket.

If you need to extend your rental, call the rental company as soon as possible. They may have the car available for another day or week, or they may have already rented it to someone else. Extending online or by phone is usually cheaper than asking at the counter on your return date.

Returning the car on time and in good condition

Return the car on the date and time stated in your agreement. Late returns are charged at the daily rate or a higher late fee, depending on how late you are. Some companies charge you for a full extra day if you're even one hour late, so plan to return it early if you're unsure.

Fill the fuel tank before you return the car. The rental company will charge you $5 to $8 per gallon to refill it themselves, which is much more than you'd pay at a gas station. Drive to a gas station near the rental location, fill up, and keep your receipt as proof.

Return the car to the same location where you picked it up, unless you booked a one-way rental to a different city. Drive up to the return lot and park in the designated area. An agent will meet you, inspect the car for new damage, check the fuel level and odometer, and compare the car's condition to the damage report from pickup. If there's new damage, they'll photograph it and charge you for repairs.

Once the agent approves the return, they'll give you a receipt and release the security deposit hold on your credit card. The hold usually disappears within 3 to 5 business days, though it can take longer depending on your bank. You'll receive an email receipt with the final charges, including any damage fees or fuel surcharges.

Understanding extra charges and how to avoid them

Rental companies charge for damage, late returns, excess mileage (if you booked a limited-mileage plan), fuel refill, tolls, and traffic violations. Some charges appear on your receipt at return; others show up on your credit card statement days or weeks later.

To avoid surprise charges, return the car on time, keep the fuel tank full, and document the car's condition at pickup and return with photos. If you get a toll ticket or traffic violation while driving the rental car, the rental company will charge you an administrative fee (usually $15 to $25) plus the fine itself. Pay tolls in advance or use the rental company's toll service if available.

If you're charged for damage you believe you didn't cause, contact the rental company's customer service within a few days and dispute the charge. Provide your photos from pickup and explain why you think the damage was pre-existing. Some companies will reverse the charge if you have evidence.

Frequently Asked Questions

Do I need a credit card to rent a car?

Yes, rental companies require a credit card in your name for the security deposit hold. Debit cards are rarely accepted, and some companies won't rent to you at all if you only have a debit card. Call ahead to confirm your payment method before you book.

What if I'm under 25?

You can rent a car at 21 or older in most states, but rental companies charge a young driver surcharge (usually $15 to $25 per day) for drivers under 25. Some companies have higher minimum ages or won't rent to drivers under 25 at all. Check the rental company's age policy before you book.

Can I rent a car with an international driver's license?

An international driver's license alone is usually not enough. You'll need your passport and your original driver's license from your home country. Some rental companies also require an International Driving Permit (IDP) in addition to your home country's license. Check with the rental company before you arrive.

What happens if I return the car with damage?

The rental agent will photograph the damage and estimate the repair cost. The company will charge your credit card for repairs, either when ready or within a few weeks. If the damage is major, they may total the car and charge you the full replacement cost. This is why damage coverage (CDW or LDW) is important — it covers these costs if you purchased it.

Can I cancel my reservation?

Most rental companies allow free cancellation up to 24 hours before your pickup time. If you cancel within 24 hours or don't show up, you may be charged a cancellation fee or the full rental cost. Check your confirmation email for the cancellation policy specific to your booking.