Hiring a car while on holiday can open the door to new places and make exploring our beautiful country easier. But some holiday-makers discover things don’t always run smoothly, which is why understanding your rights and your responsibilities is so important.
Before you choose a car, it’s worth taking the time to compare options such as pick up and drop off locations, who’s allowed to drive, and whether a deposit is required.
Beware of headline prices that might not tell the whole story. It’s misleading for a rental car company to use attractive prices to lure customers in when extra fees and conditions apply. If a car is advertised for $45/day, that must be the total price including all mandatory fees. Any conditions such as a minimum hire duration must also be clear in the advertising.
When it comes to the hire contract, read it carefully. It explains the rental and insurance costs and any additional fees, as well as how you’re allowed to use the vehicle. For example, you may not be allowed to take a 4-wheel-drive off road. Understand whether you need to return the vehicle with a full tank, as well as the cost per litre if you don’t. Often the fuel costs charged by hire car companies can be a lot higher than you would pay at the pump.
Some vehicle hire contracts may ask you to agree to unlimited charges being made to your credit card. This could be considered an unfair contract term as it may not give you notice or an opportunity to dispute the charges so it’s important to find out in what circumstances and amounts this might occur.
Hire car insurance can be a sore point for travellers. Understand if there are limits on in-house insurance but also look into cheaper alternatives. Instead of taking the rental company’s excess reduction product, you might be better off checking with your own insurer or travel insurance provider. If something goes wrong and the car is damaged or lost, you might be able pay the excess to the rental company and then make a claim for reimbursement from your insurer.
Despite wanting to get on the road as quickly as possible, make sure you take the time to check for damage both inside and out. Take photos of the car and ensure any damage is recorded in the vehicle damage report and counter-signed by the company representative. You cannot be asked to acknowledge a vehicle is undamaged unless you have been provided with this report and you’ve had the chance to inspect the car.
The damage on the report can only cover panel and other visible, external damage. You cannot be held responsible for the mechanical condition and roadworthiness of the car, this is up to the rental car company.
When your holiday ends and it’s time to return the car, take photographs of the car and you’re entitled to be present when the company completes its final inspection. Asking for a written confirmation that it was handed back undamaged provides peace of mind.
If any damage occurred during your hire period, ensure the company gives you a written outline of the expected costs and the process for repairs before you leave the premises.
Should you ever find yourself unable to resolve an issue with a car rental company, Consumer Protection is available to help on 1300 30 40 54 or consumerprotection.wa.gov.au