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Since when did $67 a day for a car rental become a deal?
Posted by: Brad Tuttle, Tuesday, Jan 5, 2010, 12:33 PM

Lately, a lot of the car rental specials don't seem all that special.

A limited-time offer from Thrifty, for example, lets you rent an SUV in Florida for $66.99 a day, and even that pricey rate has a bunch of restrictions: The Martin Luther King Jr. holiday weekend is blacked out, for one thing.

The "Hot Deals" at Alamo, meanwhile, include last-minute specials (available only through the end of January) such as $55 a day for an economy car at Phoenix Sky Harbor Airport, though you'd save significantly by renting for the week (from $145) or on the weekend (from $30 daily).

One special from Dollar offers a minivan for $51.99 a day in January.

Travelers don't need to have good memories to recall the days when such rates were of the standard, non-discounted, not-special-at-all variety. These unimpressive promotions prove that not all deals are created alike. They're also the latest signs that car rental rates, which according to industry expert Abrams Consulting Group have more than doubled in the past year, aren't coming down anytime soon.

Are there alternatives to the usual rental picked up at the airport? Yes, though every option has some drawbacks. Check out our recent story "Wheel Deals," which details the pros and cons of using car-sharing services, Rent-A-Wreck, and more.

How do you feel about rental car rates, which have doubled in the past year? Do you have any tips and tricks for getting a good deal?

Filed Under: rental car news
Reader Comments

With a bit of digging I have usually been able to find rates on airport that are comparable to off airport, especially considering time and extra transportation costs. My favorite site for car rental discounts is www.carrentalsavers.com. I have pretty much always found a good deal for my rental there.

Posted By Steve Jones on January 5, 2010, 6:49 PM

I have a few tricks up my sleeve...first of all third party sites like carrentalsavers.com and travelocity.com charges an extra $1 or $2 for them to make a reservation for you. It does not explain it in the terms but if you think about it how else can a third party site make money. Trust me if you don't believe me than try this. Search Travelocity.com for a car rental rate...whichever company you prefer go to there direct reservation site...Dollar.com, Thrifty.com, Enterprise.com, Avis.com, whichever one and you will see that they are always 1 or 2 dollar cheaper. There is no such deals on third party sites. It's the car rental company that makes all the call on rates. If they tell travelocity that they want there economy car to be $30 dollars than travelocity will put it at $32 dollars. Get the point! So the best deals are on the car rental sites of there own.

Posted By Y on January 6, 2010, 5:56 PM

Normally "Off airport" car rentals are a bit cheaper. Shuttles take you to the rental facility. Just returned from Orlando-good deal on Advantage rental but it was about a 10 minute ride to the facility. Also be aware that most car rentals are charging for the 2nd driver now which used to be free.

Posted By Sandy on January 7, 2010, 9:21 AM

This is a result of collusion between all the car rental companies. Congress should investigate.

Posted By Steve Edwards on January 7, 2010, 10:10 AM

In major cities look in to the "rent by the hour" all-inclusive car rentals (in the DC area that would be zipcar.com).

The prices INCLUDE insurance and gas - and none of those zinger "extra fees" that the chain rental car companies hit you with.

The rates are by the hour, the day or the week. You reserve the car you want and specify the location where you want to pick it up. The parking pickup and drop off spots for the cars are convenient to mass-transit and airports. No waiting in line to check in or out, just wave your pass at the windshield, jump in and go.

If you do the math (like I did), you may find you come out WAY ahead over a conventional rental where you pay the gas (and especially if you are stuck using the chain rental's insurance plans).

Posted By Pat Spray on January 7, 2010, 10:20 AM

I wonder if the rise in has been caused by the mergers and buy outs of several of the bigger rental comapnies in the last few years?

Is it a function of less supply rather than more demand??

Posted By john on January 7, 2010, 10:24 AM

Priceline's name-your-price car rentals. Great for quick trips to major cities. I've gotten rentals for as little as $15/day (always from Hertz), so even with the taxes you can pull off a weekend rental for well under $100.

Posted By Jeff on January 7, 2010, 10:54 AM

It's all about doing your research. We're never picky about car company either. I've often reserved cars for a week, unlimited mileage and no travel restrictions for as little as $100. One holiday season I did that and the rental car agent was shocked at the rate I received.

Before my trip, I usually check daily as my trip comes closer to get a feel for the rates. As mentioned in an earlier comment, check the 3rd party sites for a good merge of information and then go to the specific car rental sites to check for special deals. Companies will often have regional, Amex or pre-pay deals that can save you money too. But, for the most part, just keep checking. Prices change all the time (if not hourly). The companies bank on the fact that people accept to pay the full amount for a rental and not think about it.

We also used to book economy cars because, without fail, we'd ALWAYS be upgraded to a compact and save the extra cash. However, I think they caught on because now the price for both is typically the same. Oh well!!

Good luck!

Posted By Jen on January 7, 2010, 11:14 AM

I suggest signing up for a rental car company's rewards program. I am a Gold Member with a well known rental company and they send out member exclusive rate specials each month & give a free upgrade for birthdays & other special occasions. You can also accummulate points that can be used for free rentals, upgrades or to purchase frequent flyer miles. Also, don't forget to use AAA discounts if you are a member that can be as much as 10% off or higher in some cases.
It seems we have entered into an era of wanting to book online only and sometimes that may not be the best way to find a great deal. Recently I called Enterprise because of not having internet available and I was able to negotiate a much cheaper rate than what I would have gotten online.
I have also found that the day of the week you make a reservation online may affect the rate. It can fluctuate up or down depending on demand.

Posted By Stella on January 7, 2010, 11:34 AM

I have no loyalty to any of the major car rental chains, so I almost always seek the lowest rates on Hotwire.com and Priceline.com. If you have time and patience, you can make the Name Your Own Price feature on Priceline.com pay off! As Jeff mentioned above, rentals for as little as $15/day (I think I've even had lower) can be found depending on location and time of year. My winning bids on Priceline have usually ended up with a rental through Avis or Hertz.

Posted By Robert G. Butterfield on January 7, 2010, 12:05 PM

I do not have the luxury of getting to travel often to places when I need a car, but when I do I always get the Entertainment book for that area. Inside the book are corporate discount codes and extra discounts. Always save big this way.

Posted By Deb on January 7, 2010, 12:11 PM

I have had good luck with Thrifty. Am a BlueChip member. They are almost always less than what I find on Hotwire.com

Posted By Len on January 7, 2010, 12:14 PM

Between the hassle of airline security, baggage fees, and that crap and the exorbitant costs of rental cars, we've simply given up on air travel except when absolutely necessary (e.g., Alaska or intercontinental). We drive our own car and enjoy the scenery and local color along the way. Of course, we're retired, so we don't have the time pressures of business travelers -- but we don't have their expense accounts either. Fortunately, hotel prices are still competitive, so the overall cost for us is the same or lower when we drive ourselves as when we fly and rent.

Posted By George Lindamood on January 7, 2010, 12:26 PM

I have found Hertz at AAA website (or phone to AAA) give excellent Hertz rates, both in the US and Europe. Avis First provides good European rates plus Avis First gives free days. I like and often use National. Good rates and free reward days. Hertz, Avis and National take good care of their gold, first, etc members, including close by car slot. National still allows companion driver at all locations.

Posted By lawthomas on January 7, 2010, 12:46 PM

You need to use every resource mentioned. One time when I could only find rates in the $75 per day area from JFK, I tried Hotwire on a lark and got a $32 per day rate. On another occasion while looking for a hotel in New Orleans during Mardi Gras Week, The Four Seasons charged their regular rack rate which was $185 per night when every cheap motel in town was jacking up their rates. My choice was the 5-star FS or a fleabag motel near the airport for $200 per night!

Posted By HalB on January 7, 2010, 12:46 PM

Be careful of third party sites. I reserved a car with Select Car Rental in Boston for August 2009 through Car Rental Express. I was called the day before the rental by Select and informed that they had no cars available. When I complained, they said "well at least we called you." I was forced to find a car at a much higher cost a that point.

When I sent the following to Car Rental Express:

"The reservation was not honored by Select. They called me one day before the rental date and indicated that they did not have a car available for me. I was required to make other arrangements at a much higher rate. Although they did not say it, I feel that they accepted my reservation --which they had confirmed-- and then were able to rent it at a higher rate. If you wish folks to make reservations on your site, you better make sure that you are dealing with honorable people. Getting a reasonably priced reservation is great, however, it means nothing if the customer cannot depend on it. I could have made a better deal had I not been forced to find another car just 24 hours before my arrival at Logan airport in Boston. This was my first time to use your site. I saved it as a "favorite", however, I am not sure that I will ever use your site again."

They replied:

"Car Rental Express (CRX) provides online advertising for independent car rental agencies through www.carrentalexpress.com. This is a third party service similar to other forms of promotion such as radio, TV, newspaper and Yellow Pages.

CRX does not supply or rent the cars, nor does it have any role in the day to day operations of its advertisers.

Each independent rental agency is a separate business.

CRX has no authority over the rental agencies and the manner in which they conduct themselves.

CRX is not the agency you rented a car from, we merely represent numerous rental agencies, and as such, we do not have a fleet of vehicles or have any control over charging your credit card nor over the rates posted on the site as these are completely controlled by the agency themselves.

This issue has been forwarded to Jim Marcotte at Select Car Rental, asking them to respond directly to you."

Needless to say, Select never responded.

Posted By JJ on January 7, 2010, 1:22 PM

Lately, I have found that off site car rentals are way cheaper rather than at the airport itself. In Denver, the airport cost was outrageous for one week! It was almost $500 for a compact! At an offsite location just 15 miles away from the airport it was literally more than 1/2 the price cheaper. These car companies are insane with their prices. The same with Austin, TX too. I am getting a car for a week for 1/2 the price at an offsite place!

Posted By pdelaney on January 7, 2010, 1:38 PM

I'm very willing to pay the $1 a day extra? that Y mentions earlier to have travelocity or kayak search through several car prices for me. This at least gives me a base for then trying my AAA call or the frequent rental phone # to hertz or thrifty,etc. I will use hotwire next and name my price as I hadn't thought to use that. My only caution, as someone who has rented 5 to 6 times a year the last 10 years,is to watch out for Fox or Advantage as they can sometimes have older cars without proper care and cleaning. and do look at your contract for extra costs added on,and do the inspection VERY carefully. Good advice above from all.

Posted By Kevin on January 7, 2010, 1:46 PM

Another solution: Compare the cost of a flight/car rental to a U.S. city/area with the cost of traveling for the SAME number of days on a cruise.

Our 2009 Panama Canal 15-day cruise, for example, cost us only $300 more than our February 2009 2-week flight/car rental/lodging rental on Siesta Key, off Sarasota.

How can that me? Well, food is included in your price on the cruise. So is lodging. Onshore excursions add to the cost, but so do Florida day trips to do various things.

We have the numbers to prove it.

Plus, there are advantages to traveling to Mexico, Costa Rica, Panama, Colombia and Aruba instead of just staying in the Sarasota region of Florida, which I have done for 12 or more years. But the Florida lodging costs double what it was 12 years ago, car rentals have skyrocketed, gas prices have gone up.

Florida and other such places may be pricing themselves out of the borderline customers.

And cruise lines seem to be panicking more and lowering prices, which is contrary to what the Florida folks and car rental people are doing. Eventually, as the cruise costs go down and the fly/car rental prices go up, it makes more sense to take a cruise rather than fly/car rental to Florida or other U.S. areas.

Posted By Mountaineers on January 7, 2010, 2:01 PM

I wholeheartedly agree with Pat Spray's suggestion. Major cities and university towns are likely to have plenty of ZipCar or CityCar rental sites. It's perfect for travelers who won't need a car every day of their visit -- say if you're in San Francisco for a week, and you only need a car for a day trip to Napa or down the coast to Half Moon Bay.

Posted By Andrea G on January 7, 2010, 2:29 PM

And I have the expense of gas and parking, too? For these rates, there better be a shower and bed included!

Posted By Cynthia on January 7, 2010, 2:44 PM

I find being a member of a car rental club helps as they send specials to my email address.

Posted By Wendy on January 7, 2010, 3:00 PM

1. In some cities/counties, one has to pay the airport fees even if picking up the car off the airport. Orlando might be one of those.
2. People should realize that car rental companies have little control over their franchisees.

Posted By Jerry Mandel on January 7, 2010, 3:07 PM

I doubt that this will qualify as a tip, but at a recent dinner party everyone at the table reported skipping the car rental part of a vacation, business trip, outing with aging parents. Instead, we used van services, buses, carpools and simply did without.
Think about it, oh you car rental companies, flying is now hell, personal incomes have plunged, and corners are being cut everywhere.
Why, oh why, would anyone think doubling rates is going to be acceptable?

Posted By Scott on January 7, 2010, 3:29 PM

I rented a economy car at Seattle airport in Late August for 3 days for $ 20.00 per day. Booked it on line thru priceline - name your own price. Taxes and other accounted for another 15.00 day but still for $ 105 for three days - good deal. Nice ride also

Posted By Paul on January 7, 2010, 3:29 PM

I found the cheapest rates through Hotwire. Once got a compact in Florida for $12.95 a day, then during Thanksgiving week for $28.95 per day. Both were with Alamo located right at the airport. No hidden fees and they even upgraded me on one rental for no charge! I did not find carrentalsavers.com to give good rates. I always check with hotwire numerous times and notice that rates go up a bit almost every day as your rental date approaches. Book as early as possible for the best rates.

Posted By Wyoming gal on January 7, 2010, 3:43 PM

For years we have been using www.arguscarhire.com. Based in Ireland they have been in business since 1959 and online since 1996. After putting in your criteria, they search for the best deal for you. Their prices are all inclusive. The rates they find are usually excellent. They email you a voucher and then identify the wholesaler (Budget, Alamo, Europcar ect). Present the voucher and voila you're off. No hidden fees.

We have hired many cars, as have our friends, without incident. Argus always gets our business.

Posted By Nanaimo Hotels on January 7, 2010, 4:32 PM

Recently returned from 5 day holiday visit to Tampa. Usual car rentals were outrageous (so much for the Christmas spirit..they were giving what I didn't want). We ended up going with an off airport site called U-Save Car and Truck Rentals...was less than half the $$, convenient shuttle, good car for our purposes (Sonata), helpful staff with brains. Much better than we expected. May have other rental sites as well.

Posted By anne on January 7, 2010, 5:17 PM

I've had great success for leisure travel (which I have planned several months in advance) to book the car as soon as I finalize my flights. The best prices are 3-4 months out. I reserve a car at the best available rate. I check the prices every couple of weeks prior to the trip. If a cheaper rate comes up, I'll reserve it at the better rate and cancel the first reservation. That scenario hasn't occurred in the past couple of years, however. I use Expedia and Kayak to get an idea of current prices, but I always book with the rental company directly. You may not be able to cancel a reservation if you find a better price. With Hotwire and Priceline, you may have to pay at the time you make the reservation, so be sure that you've gotten the best rate.

One more tip: when you search online for prices, be sure you erase the cookies that the various websites place on your computer. If you don't, they'll know that you're looking for the best price and will often present you with even higher prices. This goes for expedia, hotel.com, etc., as well as airlines and hotels.

Now, business travel is another matter. Anyone traveling on business on short notice is getting screwed. The travel/lodging companies know we're at their mercy and they milk us for every penny they can get. This attitude has resulted in many companies (I'm a self-employed consultant) cutting back on employee travel.

Posted By John Fugel on January 7, 2010, 5:27 PM

For longer stays (I'm retired), I have found Enterprise has a separate office called "Month or More" that often has great prices. If you call the regular Enterprise number, they can give you the special 800 #.

Posted By Poocher on January 7, 2010, 8:52 PM

My partner and I stayed in Kauai for 8 days last month and booked a rental through Thrifty. I thought (and budgeted) the rental to be about $250. It ended up costing over $500, after adding my partner as a second driver ($12 a day) and adding LDW (loss damage waiver at $26 a day). Both of these added expenses could have been avoided. I should have checked somewhere on the Thrifty site to find info about charges for a second driver. Then, I should have checked to see if any of my credit cards covered LDW for rental cars (one of them did). After we got back, I checked AAA Oregon and found that their basic prices were not much higher than Thrifty and that since we were both AAA members, we would not have been charged for a second driver. In my defense, I'd say it had been about 10 years since I last rented a vacation car. Next time I'll know better.

Posted By janek51 on January 7, 2010, 9:57 PM

Another way to save on the added insurance costs - check to see if your personal auto insurance covers rentals. Mine does, and I had no idea until I asked. Credit cards often cover it, too.

I, too, typically book an "economy" level car and 90% of the time am upgraded to a compact. It seems that most of the smaller rental facilities keep very few, if any, economy cars in their rotation. The last time I went with Enterprise, at an in-town location in Portland, OR, they tried to talk me into upgrading to compact, and when I refused, they gave me a compact anyway because it turns out they didn't have an economy car in the lot.

Posted By Jo on January 8, 2010, 2:42 PM

It isn't the actual rental that is so expensive. It is the taxes. I was able to find a car for 2 weeks in Ft. Lauderdale for $204. It is offsite from the airport but a shuttle will take you from the airport. What a difference. I was getting prices close to $600 from the agencies on airport grounds. I feel th same about hotels. it isn't that their price is so outrageous. It is the taxes and extra fees that are added onto the price you are given. Same with airfares. Just atrocious!!! i don't think there is much we can do about it except just NOT use the more expensive ones with all the extra fees. The other place is Advantage Rental Cars. Give places like this our business for awhile and the other places will have no choice but to reduce prices if they want to stay in business. We can't do anything about the taxes. I guess, they think, if we can afford to travel, they'llbe able to put unreasonable taxes on the car, hotel, plane trip, whatever.

Posted By carol miller on January 8, 2010, 6:06 PM

Agree the recent rates are outrageous! We want to rent the car, not buy it. Even an emerald club card gets no rate advantage, in fact it is higher by a lot. Best option is to use entertainment book discounts..can get a weekly rental back to $35 /day range, inclusive of the HUGE surcharges in Denver. Also be sure to get an email confirmation of the rate as we had a bad experience in one locale getting a "we don't have that rate in our system" response...and guess what? the rate they had was significantly higher.

Posted By SKIERS on January 9, 2010, 12:21 PM

Great tips, thanks.
I, too, have been amazed at rental car costs. Usually, I try to use buses, light rail, etc., as in a delightful stay in Boston with bus, subway, and train trips to outlying towns. For a Sept. Washington State trip to Olympic NPark, San Juan Islands and North Cascades NP tho, I had to have a car. Prices seemed outrageous for 10 days. Luckily, a former Seattle dweller clued me in on her secret-reserve your Budget car over in suburb Bremerton and save the 30% add-on fee charged by some/all rental companies at airport. Plus, I was able to drop it off in downtown Seattle for no extra cost, allowing me to do a circle tour of the state, ending at Seattle. Only needed the car 7 days (no need in Seattle last 2 days) so got great $166 week-total-rate (Hotwire) on a fun Versa.
Love cities like Boston & Seattle that have light rail/subway from downtown to airport!

Posted By Lukey on January 11, 2010, 3:24 PM

I have tried this a few times and never had a problem. I will book a rental for a full week for the best savings but then return it one or two days early. This will often save you money if booking with a daily rate.

Posted By Karen on January 12, 2010, 1:58 PM

I have tried this a few times and never had a problem. I will book a rental for a full week for the best savings but then return it one or two days early. This will often save you money if booking with a daily rate.

Posted By Karen on January 12, 2010, 2:00 PM

Another ploy a company is using: Provide a Subaru Legacy as an alleged intermediate size, which is tough to put a large person in.

Posted By Bill O. on January 15, 2010, 7:43 PM

"I have a few tricks up my sleeve...first of all third party sites like carrentalsavers.com and travelocity.com charges an extra $1 or $2 for them to make a reservation for you. It does not explain it in the terms but if you think about it how else can a third party site make money."

This statement is incorrect. I used to work for Alamo/National ebusiness group and most third party sites removed car rental booking fees long ago. Third party sites make money mainly on commission. They pull the exact same rates as the rental companies use. The benefit of using a third party is they will support you if you have an issue with the car rental company.

Posted By Jason Smith on March 13, 2010, 11:54 PM

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