But Dont I Need A Credit Card For Rental Car Insurance
Ah, yesthis is a common misconception. Most people assume they need to use a credit card to rent a car so they can get;rental car insurance;coverage through their credit company.;
But guess what? A lot of primary car insurance carriers offer rental car coverage . Take;that;credit card companies! We dont need you! Besides, not every credit card offers coverage, and some of them dont even cover property damage or damage to another vehicle anyway.
Why Is Renting A Car With A Debit Card Harder
The list of extra requirements above is quite scary, right? But why are rental companies making it harder to rent with a debit instead of a credit card?
Basically, when rental companies let you rent with a debit card, theyre assuming a greater risk. With the credit card information, the rental supplier can charge for extras like parking tickets, fines and little scratches even when the driver is not present. But that isnt possible with a debit card, as the PIN number is required to make any charges.
That means that if the rental company receives a parking ticket after youve returned the car, for example, its much harder to charge that from you as they cant just use the credit card info.
Keep in mind that the credit card is not only used to pay for your rental car, but also for a credit hold, also known as a security deposit. The rental company may ask for a deposit anyway, but when using debit the money wont be available for you to use with travel expenses, for example. This is an important thing to remember.
What Is Better: Renting A Car With A Credit Card Or With A Debit Card
Generally speaking, if you own a credit card, go with credit. Using a debit card may be easier for some people, but, seeing as you have to provide more documents and personal information, it seems like using a debit card isnt a good deal after all.
If you still feel like a debit card is the best option for you, check the list below to see which extra documentation is required by some of the most popular rental companies in the US.
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Benefits Of Renting A Car Without A Credit Card
According to sources, using a credit card to rent a car is a better option than using other methods. However, there are several benefits to renting a car without a credit card, for example:
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No need to worry about credit card bills: the fact that you will use your cash or debit card, eliminate the need to worry about having an outstanding bill to pay.
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You will stick to your budget: with a credit card you may be tempted to rent an expensive car but using cash or debit card you will stick to your budget because you will have to pay the cost upfront.
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You will feel contented: you definitely feel relaxed and contented when you return home knowing that all your bills are covered.
Debit/check Cards Or Money Order
- Some Enterprise Rent-A-Car locations may accept debit cards to secure the rental transaction. To reserve a vehicle without a major credit card, please;contact the local office directly.
- A rental branch may require a combination of these items:
- Two current utility bills – example: water bill, gas bill, or an internet/cable bill.;
- Your most recent paycheck stub
- A minimum deposit plus the entire cost of the rental at the time of pickup. Please see renter requirements policy when booking a reservation as the amount can vary between locations.
- Proof of insurance.
- Personal references – for security reasons, when you come in the branch may ask for two people they can contact to verify who you are and where you live. Most of the time you will need their full name and phone number.
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Dollar Debit Card Policy
Dollar stands out as another top-rated rental service that accepts debit card payments. They recently changed their policy so that customers only need their debit card and drivers license to pay after booking with them 24 hours in advance.
Even if you dont book 24 hours in advance, you can still pay with a debit card. However, in this circumstance, youll need another form of ID in addition to your drivers license, as well as a return travel ticket with an itinerary that coincides with your rental dates.
Dollar is also one of the few car rental agencies that accepts cash. To do so, you should plan ahead and pre-qualify for a Cash Deposit Identification Card. The application process takes approximately 30 days to complete. Applying for the Cash Deposit ID card comes with a $30 fee to offset the cost of a credit check.
If you prefer to pay with a credit card, Dollar accepts American Express, MasterCard, Carte Blanche, Diners Club, Discover, JCB, Visa, and China Union Pay.
How Can I Find Debit Card Car Hire Options
Use the filters on our search results page to find car hire options that allow you to use a debit card on collection.
You can also take a look at our premium cover options on the extras page to reduce the insurance excess and security deposit amounts. Sometimes these also allow you to use a debit card on collection
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Car Hire Without Deposit
In the majority of cases, a deposit is required if you want to hire a car. This deposit is used to cover any insurance excess that you might need to pay if the car is damaged during the car hire period. In very few cases, the deposit might be reduced or waived if you take on the car hire excess insurance policy offered by the car hire company itself.
Why The Prejudice For Hiring A Vehicle Using A Debit Card
Again, well be frank with you. As far as vehicle chartering goes, having a credit card can make life much easier. However, lacking it should not rule you out of the automobile hire game. Given that we have a handful of car rental companies that accept debit cards without a credit check, it means you dont require a credit card to rent a car at all times.
The thing is that not every car rentals near me will let you get your hands on their property without running a credit check, assuming you are paying with a debit card.
Lets face it. There are a billion reasons why people wont part with credit cards, and theyve been the preferred mode of payment at car rentals because they make sure youll pay for unforeseen charges during your rental period. Besides, nearly 70 percent of Americans use credit cards. Inevitably, a car rental company will want to know whether they can trust their property to someone without a credit card.
Over the years, however, rental companies are changing their regulations, allowing debit card renters without placing extra restrictions on them. Turns out that about 30 percent of frugal customers have proved to be better at honoring their financial deals with car companies. And with their numbers increasing, car rental companies are lifting the restrictions and extra fees they placed over non-credit-card holders.
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What Available Balance Do You Need On Your Credit Card To Rent A Car
Theres no hard and fast amount of available credit required to rent a car. It depends on the per-day cost of the rental and the number of days you need it. Typically, the rental agency puts a hold on your credit card for at least the amount of the rental and a little extra on top of that, in case there’s a problem.
Tips
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You’ll need enough available credit on your card to pay for the full amount of your rental as well as any extra charges that could apply. You can check with your car rental company about its specific policies.
Does Enterprise Do A Credit Check
According to the information on their website about renting a car using a debit card, the company does not mention running credit checks. However, when paying with a debit card, it must bear a Discover Card, Visa, or MasterCard logo. There are also a few other requirements to meet before making non-credit card payments.
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What Do You Need To Rent A Car
Renting a car with a debit card requires jumping through a few more hoops than using a credit card. Rental companies have varying requirements regarding debit card payments. Here are some extra steps you may see if you decide to pay by debit card.
- Because of the added risk involved, some car rental companies run a credit check before approving a car rental with a debit card. They determine if youre a rental risk based on your .
- Deposit: Another way rental companies protect themselves is by requiring a deposit when paying with a debit card. Youll get your funds back after you return the car, and the final charges are
- Disclose travel plans: Some rental companies go as far as requiring proof of return travel plans.
- Extra ID: You may be asked to provide more than one form of identification when you pay with a debit card. You might need a current utility bill or nongovernment form of ID in addition to a drivers license.
Other restrictions may apply depending on the car rental company. For example, some rental companies only accept debit cards featuring the Visa, Mastercard or Discover logo. Prepaid debit cards or other debit cards are rarely accepted;.
Rental companies may also restrict when you can pay by debit card. Some Budget locations dont accept debit cards when picking up a rental but will accept debit card payment when you return the vehicle.
Why Rental Car Companies Avoid Debit Cards
Many rental car companies prefer not to let customers use debit cards because it increases the risk they take on when renting to you.
Unlike a credit card, a debit card only has as much money on it as you put in your bank account. If you cause serious damage to the rental car and the charge is declined, the rental car company will be on the hook for the difference.
In addition, some debit cards require you to enter your pin each time a charge is made, which can lead to problems if you skip town after you return your rental car.
Having a credit card also shows the rental car company that a financial institution trusted you enough to extend you a line of credit, which makes you a safer risk for renting a car.
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Can I Rent A Car Without A Major Credit Card
Although each car rental company has different regulations, many of the ones weve reviewed will only let you use Discover, American Express, Diners Club, MasterCard, or Visa-branded credit cards for rental reservations. So, you stand low chances of getting accepted for car rental without a major credit card.
Car Rental Agencies And Credit Checks
There are many reasons why a car rental company would rather rent to someone with a credit card than a debit card, but in general it boils down to this: Debit cards pose a higher risk for them.
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Why a Car Rental Company Might Run a Credit Check
Theres no hard and fast rule about car rentals and credit checks. Car rental companies have different policies regarding debit cards to begin with, and car rental agencies that are franchises often have a lot of leeway to set their own rules. In a study by CreditCards.com, less than 10 percent of rental car agencies refused, under any circumstances, to rent to customers with a debit card. Most of the remaining 90 percent of agencies permitted customers to use a debit card, but required customers to meet at least one extra qualification requirement. About half put a large hold on the debit card as an additional deposit and 10 percent mandated a credit check.
In most cases, rental car agencies that run a credit check are not looking for a magic number on a credit score but rather red flags such as delinquent lines of credit opened within the past several years. In a nutshell, they are trying to mitigate risk.
Some Debit Cards are Better Than Others
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Remember To Check The Payment And Security Deposit Info In Advance
As an extra tip, remember that not all rental locations may accept payment with debit cards or follow the same rules. The best option is to check directly with the car rental locations to check if they have any special conditions in addition to the ones weve discussed above.
Attention!All efforts were made to validade the information published in this blog at the moment they were written, however, Rentcars.com does not take responsibility for inaccuracies or future adjustments that can happen as a result of different offers and conditions. The posts here published, as well as the eventual comments from its readers, are merely informative and it is the client’s duty to confirm with Rentcars.com and/or suppliers any content that may affect their vacation plans.
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Benefits Of Renting A Car With A Debit Card
Heres a crazy idea: Renting a car with a debit card means that the price they quote you is actually the price youre going to pay. Why? Because paying with a debit card means no interest added .
If you rent a car with a credit card, youll end up paying interest on the rental price you put on the card. And every month you dont pay it off, youll add on more and more interest. So, a $300 car rental that seems like such a good deal could end up costing you . . . well, a lot!
Lets say you charge that $300 car rental fee to your credit card, which has an annual percentage rate of 19%. Youre in no real hurry to pay it off and drag it out over the next year. The grand total youll end up paying back is now $357.;
And thats assuming you werent already carrying a balance on the card. If you had a revolving balance of $1,500 on the credit card and then charged this $300 car rental to it, your balance is now $1,800.;But;with that 19% interest being charged on the entire amount, youll now have to pay back $2,142 total.;Ouch!
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Can I Hire A Car Without A Credit Card
If you’re hoping to rent a car but don’t have a credit card – don’t worry. Here at Sixt we also accept;American Express, Visa, Mastercard, Diners Club, JCB and Discover Debit Cards for your UK rental and deposit, as long as:
- your card is valid at the time of pick-up and issued in the name of the main driver
- you haven’t chosen a luxury vehicle above the F*** class
- the debit card matches your country of residence
Can You Rent A Car Without A Credit Card
If you’ve arrived at this page, chances are you’re already aware that most car rental companies require a credit card in order to pick up a vehicle. You may have been told it’s not possible when asking “can you rent a car without a credit card?” But Auto Europe is here to help!
If you think a car rental with no credit card is impossible, think again. Thanks to our relationships with all the best suppliers around the world, Auto Europe can help you rent a car with with a debit card at a great;low price.
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Upgrade To A Premier Or Business Account
Set this up when you open your account, or upgrade your existing account to Premier or Business.
Be sure to read through the differences between these accounts to know which is best for you. Upgrading to either is free, and they both come with features not available to a personal account.
Basically, if youll use PayPal for online business or freelance work, upgrade to a Business account. For personal use with the additional features, Premier should have you covered.
Why Rental Car Companies Prefer Credit Cards
When you rent a car, you drive away with a valuable asset. The rental car company wants to have recourse if you damage it or fail to return it. Rental car companies would rather that you pay for a rental with a credit card because it reassures them that:
- Youre an actual person with a real identity. The credit card company has already vetted you.
- You will be able to pay for the rental and for any damages that might happen.
- The rental company trusts renters with good credit scores. A financial institution trusted you with unsecured credit.
- You will return the vehicle because you want the hold and deposit on your card returned to you,
If you pay for a rental car with a debit card and dont return the car, the rental car company might have more difficulty recovering funds from you. Rent with a credit card, and its more likely that the company can track you down and get its money back.
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