If you are planning to rent a car, the car rental deposit is one of the factors you must consider in the process. So, what is meant by a car rental deposit work, and how it works? If you have any doubts about the deposits for renting cars, you are at the right place to clear everything questions on your mind. In this article, we will discuss everything you need to know about car rental deposits.
A car rental deposit is an amount you will have to set out for a Car Rental Company when renting the car. The deposit amount will be determined by the company to be considering its company policies. This amount will be taken as a security deposit in any case of damages for the cars. You cannot avoid paying deposit money when renting a car.
At Justrentals, a trusted local car rental company in Crete, we do NOT require a deposit or block any amount to your credit card! We do not even require a credit card!
The full amount that you give as the deposit to rent the car will be released after returning the car without any damages. Besides, if you return the rented car with damages or late returns, the company might take some of the deposited money as the repairing costs or late charges.
So, the next question you might be having is how long it will take to return your deposited money from the company. Well, you do not have to be worried because if the car is in good condition and if there are no damages to the car, the amount will be settled. The rental company may take about 10 to 20 business days to deposit your money to the account. You can contact the bank if the amount has not been deposited into your account within the days. If there are any damages to the car you rented, the company will have to charge you some money and it will be deducted from the deposit money.
The deposit amount is calculated for your vehicle that you are hiring by the rental company. The total deposit amount will be depended on the model or the type of car you are renting, the reservation days, your age, the country, the place of residence, the rental location, and the day of returning. All the companies will charge more money for luxury cars.
But for example, if you are hiring a luxury car in Crete and also if you are at a young age, the deposit amount might be more expensive than if you are renting a car in the age of economy. You can reduce the amount of deposit if you purchase any insurance covers from the company.
The car rental deposit money is often done by credit cards or debit cards. The majority of people use their credit card to settle the deposit amount. But people also can use their debit cards in rental deposits. Some companies might accept cash deposits and cheques too. You might be wondering what could be the better option to do the deposit amount.
Well. It is recommended that paying by a credit card is the better option than paying with your debit card because the rental companies cannot have direct access to your bank accounts when paying with your credit card. Also, credit cards can be considered as a safer option for both you and the company because credit cards provide more safety than debit cards. When you pay with your credit card, the full amount will be authorized in your credit card and the company will be released the authorization after returning the car.
In case, if you are paying the deposit amount with a debit card, the total amount will be withdrawn from your bank account when you are picking up the car and will be refunded after you are returning the car without any damages. If you pay the deposit amount with cash, you will have to provide some documents of proof and will have to pay the total cost when picking up the car and some additional charges too.
You will have to ensure that you know everything you need to know about car rental deposits and their process before making the booking for your car. Therefore, you must give your consideration to the above factors and decide which car suits your requirements and which car rental company policies go with your specific needs and budget.