There are many reasons why people hate car rental companies, but perhaps most paramount is due to hidden fees and unexpected charges that renters often find in their final invoice. I’ve been victim to that as have countless other consumers. A recent incident merits further examination.
Hidden Fee Scam: Why People Hate Rental Car Companies
Recall that earlier in the week I analyzed a column by consumer-advocate Christopher Elliott concerning a $932.96 charge from Thrifty Car Rental on a one-way rental from California to Minnesota. Elliott argued the fee was because the customer, Matthew Oyen, returned to the car to Terminal 1 instead of Terminal 2 at Minneapolis-St. Paul Airport (MSP).
I pointed out that the $932.96 fee (to the penny) is what Thrifty charges as a one-way drop fee (calculated at $0.49/mile) to return a car rented in Orange County Airport (SNA) to MSP.
I’ve been in contact with Elliott’s team and want to share some more details about the incident.
First, Oyen rented the car via Southwest Airlines. His reservation showed no one-way drop fee:
His receipt from Thrifty, upon renting the car, also indicated no drop fee, though a (slightly) different estimated final price (about $33 cheaper):
Do note that his rental receipt from Thrifty indicated a return to “Humphrey Terminal” which is Terminal 2. I suspect that showed up on the reservation because that is where Southwest flies at MSP.
Oyen returned the car to Terminal 1 instead. His final invoice included an extra service charge:
Elliott and his team concluded this triggered the slight variance in rental cost as well as the $932.96 “service” charge. Indeed, that is precisely what Oyen was told when he contacted Thrifty to question the service charge.
I still don’t believe that is the case. Notice on the final invoice that the location number is listed as 076013. I called Thrifty and asked what location that was. I was told MSP Airport. Per, Thrifty, there is no difference between Terminal 1 and Terminal 2 in their system; it is the same code and it does not matter where the car is returned at the airport. I called again and was given the same answer.
Thus, I still believe the fee was a hidden charge for the one-way car rental and had nothing to do with dropping off the car at Terminal 1 instead of Terminal 2.
But there was no foul play here on the part of the consumer. Indeed, his request for a refund was 100% reasonable and justified considering his initial reservation indicated a $0 drop fee.
Even though Thrifty is a preferred Rapids Rewards partner, Thrifty no longer appears when searching for a one-way rental from SNA to MSP via Southwest Airlines. Could it be that one-way drop fees were not properly displaying and thus Thrifty is no longer offered as an option?
I’ve spent an immense amount of time on this over the last couple days. So has Elliott’s team. And while we may disagree on why the $932.96 was added, it seems clear to me that the consumer, Mr. Oyen, should not be held responsible for a fee he did not agree to.
And is it not maddening that three receipts show three different amounts when Oyen never deviated from the plan (in terms of pick-up, drop-off, and length of rental)? While airline fees are so heavily regulated, it seems absurd to me that it is still very much the Wild West when it comes to car rental fees.
In the end, Oyen rightfully received his refund.
CONCLUSION
I now believe Elliott and his team made a good faith effort to examine this issue. While I think the sensational headlines about being charged $932 for returning the car to the wrong terminal a the same airport were misplaced, I am grateful to his team for helping Oyen get his money back from Thrifty.
This whole case is a reminder of why people hate rental car companies and also why you must watch your bill like a hawk, especially if you book via a third party site like an airline or online travel agency. You may also wish to sign off on the final amount when dropping off your car rather than just waiting for the invoice to come via email.
The moral of the story is that hidden fees and rental car companies go hand-in-hand. As deplorable as that is, you can better protect yourself by being prepared to scrutinize every invoice you receive, preferably before your credit card is charged.
top image: Thrifty, other images: provided by Elliott Advocacy
Over Thanksgiving, I rented from Hertz San Francisco with an intended drop off at John Wayne Airport four days later. The SF Hertz location was downtown so one had to deal face to face in an office, even as a Hertz President member. The Hertz rep did not have the class of car reserved (“Mazda 3 or similar”) and instead offered a “mini SUV.” I accepted and proceeded to where the cars were. Two Hertz employees looked at the paperwork and the car itself as it had many dings and scratches. A Hertz rep was happy to write down all of the problems and sign off on it. The other rep said, “is this car considered washed?” It had been but it was sloppy. Even inside, I found a cigarette lighter under the driver’s seat. I am a non-smoker but I presume that smoking wasn’t allowed in this car. This wouldn’t be a story except that upon return of the car at John Wayne Airport it became clear that the car I was given did not match the paperwork. Had I interacted with police over the four days, this could have been a minor annoyance or possibly something much worse had my car been listed as stolen from Hertz San Francisco. A few minutes of computer typing at John Wayne Airport cleared it all up. No compensation was offered nor requested. Frankly, I expect much more from a “full service” rental company.
Thank you, Matthew. 🙂
Michelle Couch-Friedman, Executive Director, Elliott Advocacy
Gotta say, if you admit to your mistakes, you earn my trust. Otherwise, if I take your advice, I can only get blamed.
It seems the lesson here is always book direct. Don’t use OTAs even if they have an airlines branding on it.
I’ll rent from Hertz but only if significantly cheaper than National. The rare issues I’ve had with National were quickly addressed with corporate agents. Local and “counter” locations for all rental companies tend to either be stingier or their hands are tied with limited inventories. LAX & SNA were two of the best Hertz locations pre covid.
@Matthew: I applaud you for being so transparent. Rental car companies are a hit or miss. I have been charged for damages that were already in the car and that is a scam since most of these damages are probably already known and if customer does not catch at the moment of renting it becomes a revolving revenue for them since they accuse many customers of the same damage. Now, I learned to take pictures or make videos of the cars before taking out of the lot. But how do you do at night? Yes, it is a challenge and I always fear that I will be charged for scratches or dents that I could not see it. My last experience renting a car at Sixt in DEN was horrible. The upsell was so explicit that I had a hard time to deal with. The guy wanted to convince me that renting a Mercedes G Wagon for $800/day before tax was a great deal since it usually rents for $1200/day. Really? He clearly got mad when I passed on all his upsell trials. Then he gave me a car that was dirty and had break alerts as soon as I got in the highway but could not go back since I was late already. On returning the car I acknowledged the issue and all I got was “we will take i to the shop and check”. No apologies, no discounts, nothing. I avoid renting a car if I can.
Last time I rented at DEN, Sixt gave me a free upgrade to a G Wagon. Beautiful ride.
Wait a minute!!! Is this your first non-sarcastic comment you’ve ever made on all travel blogs?!?!! 😮
Appreciate the follow-up post and clarification Matthew. This kind of post builds trust with your readers. You’re right: Apart from the one-way drop off fee, why is there a variance between what price the rental was booked at vs. what the OP paid?
What’s $932.96 between friends?
Glad you went the extra mile to clear things up, Matthew. I feel better about Elliott and the guy he helped – but worse about Thrifty. I haven’t had really bad experiences renting cars, but the few that were less than stellar were with Thrifty/Budget.
I try to rent with Alamo and usually have a decent, and sometimes good experience. For example, a few years ago in Vegas, I rented a modest little midsize. The lot attendant looked at my paperwork, then asked, “You want an Impala?” Nice upgrade.
@Matthew: since you like to report weirdos on planes you cannot miss the story of a woman breastfeeding a cat during a Delta flight. LOL The world has gone completely nuts. Just search for it.
Unrelated but United just extended 1k status but hasn’t communicated anything yet. My card on app now says thru 1/23 and I haven’t requalifed and didn’t “fly to the finish”
Several years ago I was charged an extra $100 “drop fee” by a different rental company for picking up at Terminal 1 and returning to Terminal 2. Since it was a work rental I also got in trouble with our financial folks for drastically exceeding permitted rental costs. I spent months trying to get the fee refunded or reduced, to no avail. That company now says they treat both terminals the same but I’m still very careful to return only to the one I picked when I reserved the car. I have zero trust in rental car companies.
On my last rental at LGA from Hertz I was charged toll fees ($46.00) even though I went to eastern Long Island not going near any bridges/toll roads. After months I had evidence with a dinner receipt at the same date/time a toll incurred. Most rental car companies use outside vendors for collections. The best way to deal with over charges is to dispute the fees with your credit card company.
Is there any significance to the fact that on the Thrifty receipt, the “Rate Plan In” has changed from the “Rate Plan Out”? It’s RHXW9 v. ROYW8. Not that this would excuse a surprise fee of $932, but it could explain how the fee was generated.
Interesting you mention that because I thought the same – and asked Thrifty about it. But the agents both said they could not input rate codes so that remains just a best guess. I googled them too to no avail.
Hello Matthew, this just happened to my sister in law. She was charged over $2,000 dollars because thrifty said they couldn’t find the vehicle. It was the same airport she picked it up. She parked it one floor above the correct parking spot in the same garage. Thrifty called her and said it took them over two weeks to find the vehicle. Is there anyway for her to dispute this?
Andrew, please reach out to me via the contact form above with more details. Sounds like a horrible experience.
Thank you for such a quick response. I sent information via the contact link. I look forward to hearing from you.
Thanks, Matthew for speaking up on this. I will be honest that when I first came here I was scammed by these rental companies and I did not even know it at the time until my girlfriend took a look at it. The insurance you take on the rented cars is also a scam because when you do need it to cover you in case of an accident they start telling stories.
A few years ago, I rented a car at the Ft. Lauderdale airport. It was at night, and in the darkness (the lighting in the parking lot was not very good), I looked over the car as best as I could for dents and scratches. Unfortunately, the next morning I noticed a huge scratch on the left side, which I didn’t see in the dim light, the prior evening. I had the car for several days, and that scratch was on my mind the entire time. Sure enough, when I brought the car back, they went over it with a microscope. They found the scratch, and started hassling me about it. I told them that the scratch was not made by me, and I was not responsible, since I noticed it a short time, after I rented the car. The attendant stated (she thought that she would win), “I’m going to check the records of this car in our computer”. She came back a short time later and admitted that there was indeed a record of that scratch on that car, In other words, they harassed me for nothing, without first checking their records. I’m wondering how many other poor unsuspecting motorists they pulled that scam on. I don’t remember the name of the rental company, but it was a very unpleasant experience. Either they try that scam, or they lie to you that “they don’t have the car that you reserved”, and try to upgrade you to a more expensive model; or, they try to force you to buy insurance which you don’t need, and which is a ripoff.
Hi Matthew, thank you for sharing! I am attempting to rent a car going one-way, but cannot find any information on any car rental websites about what the drop-off fee will be. The phone numbers for the specific locations all seem to be outdated, or direct me to the national center, which just says that the drop-off fee varies by city. Do you have any advice?