What you need to rent a car

To rent a car, you must show a valid driver's license, provide a credit card in your own name, and be at least 18 years old — though most rental companies charge an extra daily fee if you're under 25. Some companies accept debit cards, but they typically place a larger hold on your account and may require additional documentation. You'll also need proof of insurance; your personal auto policy usually covers rental cars, but check your policy first because some exclude rentals, and you may need to buy the rental company's coverage instead.

Have your driver's license and credit card ready when you arrive at the counter or pick-up location. If you're renting under a company account or using a corporate code, bring that information too. The rental agent will ask for your home address and phone number, so have those handy as well.

Key Takeaways

  • You need a valid driver's license, a credit card in your name, and proof of insurance before you can rent a car.
  • Drivers under 25 typically pay an extra daily fee, and some rental companies won't rent to drivers under 21 at all.
  • Your personal auto insurance may already cover rental cars, so check your policy before buying the rental company's coverage.
  • The rental agreement lists what damage you're responsible for and what the company will charge if you return the car late or with fuel missing.
  • Inspect the car for existing damage before you drive away, and take photos or video of any dents, scratches, or interior issues.

How to book a rental car

You can book through the rental company's website, a travel booking site like Kayak or Expedia, or by calling the company directly. Online booking usually shows you the price upfront and locks it in, while phone booking may offer negotiation room for longer rentals. Most sites let you choose your pick-up location, date, time, and car type before you pay.

When you book, you'll select whether you want a compact car, sedan, SUV, or truck. The rental company doesn't may provide you'll get that exact model — you're booking a class of car — so if you need a specific vehicle, call ahead and ask whether they can hold one. Booking in advance (at least a few days ahead) usually costs less than renting on the day you need the car.

Understanding the rental agreement and insurance options

When you arrive to pick up the car, the rental agent will present a contract that lists the daily rate, the fuel policy, the mileage limit (if any), and what you'll owe if you return the car damaged or late. Read this before you sign. The contract also states whether you're responsible for minor wear and tear or only major damage.

The agent will offer you several insurance and protection options. Collision Damage Waiver (CDW) or Loss Damage Waiver (LDW) covers damage to the rental car if you're in an accident or hit something. Liability coverage covers damage you cause to other people's property or injuries to others. Personal Effects Coverage covers items stolen from the car. Most of these are optional — your personal auto insurance or credit card may already cover them. Before you rent, call your insurance company and ask what your policy covers on rental cars, and check whether your credit card offers rental car protection.

If your personal insurance doesn't cover rentals, or if you want extra protection, buy the rental company's coverage. The cost varies by company and location, but typically runs $15 to $30 per day for collision coverage.

Fuel and mileage policies

Most rental companies offer a full-to-full fuel policy: you pick up the car with a full tank and return it full. If you return it with less fuel, the company charges you for the missing gas at a rate higher than the local pump price — sometimes two or three times higher. Some companies offer a pre-purchase fuel option, where you pay for a full tank upfront at a set price, and you can return the car empty without extra charges. Compare the two: if you'll use most of the tank, pre-purchase may save money. If you'll use very little, full-to-full is cheaper.

Check the contract for mileage limits. Some companies charge per mile over the limit; others offer unlimited mileage. If you're renting for a long road trip, unlimited mileage usually costs less than paying per mile. If you're renting for a day or two in the city, a mileage limit may not matter.

Inspecting the car before you leave the lot

Before you drive away, walk around the car with the rental agent and point out any existing damage — dents, scratches, broken lights, interior stains, or torn seats. The agent should note these on the contract so you're not charged for them when you return the car. If the agent doesn't note something you see, take a photo or video with your phone and email it to the rental company that day.

Check that the car has a spare tire, a jack, and a lug wrench in the trunk. Test the lights, windshield wipers, and air conditioning. Sit in the driver's seat and adjust the mirrors and seat. If anything is broken or missing, tell the agent before you leave the lot — it's much easier to swap cars then than to argue about it when you return.

Returning the car on time and in good condition

Return the car by the time and date on your contract. If you're even an hour late, most companies charge you for an extra day. Some companies charge a flat late fee instead; check your contract. If you know you'll be late, call the rental company as soon as you realize it — they may extend your reservation without charging extra, or they may charge a smaller fee than the standard daily rate.

Return the car with a full tank of fuel (unless you pre-purchased fuel), clean windows, and no new damage. The rental company will inspect it and compare the condition to the photos they took when you picked it up. If there's new damage, they'll charge you for the repair. If the car is very dirty, they may charge a cleaning fee. Most companies are lenient about normal wear — a few new scratches from regular driving — but they'll charge for dents, broken parts, or interior damage.

What happens if you're in an accident or damage the car

If you're in an accident or damage the rental car, tell the rental company when ready. Don't leave the lot without reporting it. The company will take photos, get a damage estimate, and file a claim with your insurance or their own. If you bought the rental company's collision coverage, they'll handle the claim and you'll owe only the deductible (usually $500 to $2,500). If you didn't buy coverage and your personal insurance doesn't cover rentals, you'll owe the full repair cost.

If you're in an accident with another vehicle, call the police and get a report number. Exchange information with the other driver and take photos of both cars. Give all of this information to the rental company when you report the damage. Your insurance company will also want the police report and the other driver's information.

Frequently Asked Questions

Can I rent a car if I don't have a credit card?

Most rental companies require a credit card in your name to hold the reservation and place a damage hold. Some accept debit cards, but they place a larger hold (sometimes $500 or more) and may ask for additional ID or a deposit. Call the rental company ahead of time to ask whether they accept debit cards at your location.

What if my personal insurance doesn't cover rental cars?

Buy the rental company's collision and liability coverage. It costs more per day than your own insurance would, but it protects you if you damage the car or cause an accident. Check your credit card's rental car coverage too — some premium cards cover collision damage at no extra cost.

Can I rent a car if I have a suspended or expired license?

No. Your driver's license must be valid and current. If your license is suspended, expired, or restricted, the rental company won't rent to you. Renew your license before you book.

What if I need to return the car early?

Most rental companies won't refund the unused days, but some will if you return the car early enough. Check your contract or call the company before you book to ask about their early return policy. Some companies charge a cancellation fee if you cancel before the rental starts.

Do I need to buy a GPS or can I use my phone?

You can use your phone's GPS or a mapping app like Google Maps or Apple Maps. The rental company's GPS rental fee (usually $10 to $15 per day) is usually not worth it. Make sure your phone is fully charged and bring a car charger.