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Hire cars in Spain seem to be unbelievably cheap

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 GeoffRadcliffe 21 Mar 2014
I have recentlty returned from Spain. I booked at a 4 door rental car for a week to be picked up and dropped off at Malaga airport. The total rental cost was £22.46 for 7 days!

I already have an annual policy that covers hire car insurance excess payments, so I didn't take out their (expensive) policy. No additional driver cover (which is also ludicrously expensive).

I thought I was going to get stung on the fuel cost. Some rental companies charge you for a full tank of fuel at an extortionate price. But no, the car was 1/4 full of unleaded and I just had to return it with the same amount (or more) of fuel in the tank. Unbelievable!

I got my deposit back (credit card authorisation) when I took the car back and I walked away with a smile on my face.

How do they make money?

Anyone else with similar stories?
 ebygomm 21 Mar 2014
In reply to GeoffRadcliffe:

I know Enterprise in the UK make money by buying new cars cheap in bulk, renting them for a year and then selling them on for profit.
 Rampikino 21 Mar 2014
In reply to GeoffRadcliffe:

Who did you book with? It's incredibly low.
 John2 21 Mar 2014
In reply to GeoffRadcliffe:

I've always assumed the reason for this is that the companies buy large numbers of cars for use during the main summer holiday season, and are glad to receive any income at all during the winter.
In reply to John2:

> I've always assumed the reason for this is that the companies buy large numbers of cars for use during the main summer holiday season, and are glad to receive any income at all during the winter.

I checked just before I left the UK and the hire company had rented out all of their cars. So there was no shortage of demand.

I can't understand why they didn't charge me a small fortune for a full tank of fuel. Some friends of mine who went to Spain at the same time got charged 120 euros for a tank of fuel!
 Rampikino 21 Mar 2014
In reply to GeoffRadcliffe:

What company was it Geoff? I'm tempted to try to get a better deal for my summer trip!!
 LeeWood 21 Mar 2014
In reply to GeoffRadcliffe:

They're probably building reputation - after which they'll begin stinging. Rentals profits are not made on standard tarifs, they're made on contractual wrangling so when the company sees its chance someone will get stung.
 John2 21 Mar 2014
In reply to GeoffRadcliffe:

Out of interest, was there a minor but unimportant fault with your car? I rented a very cheap Volkswagen Polo with a piece of plastic trim hanging down at the front. The car drove superbly though.
Rigid Raider 21 Mar 2014
In reply to GeoffRadcliffe:

It's a scam to get you to hire one of their cars; their pals are waiting on the road just outside the airport to tell you you've got a flattie, stop you, relieve you of your luggage then scarper. Oh, and share the loot with the airport Police to ensure unmolested operations.

Just saying, like....
 Trangia 21 Mar 2014
In reply to GeoffRadcliffe:

They make their money out of the huge number of suckers who aren't as street wise as you.....
In reply to Rampikino:
> What company was it Geoff? I'm tempted to try to get a better deal for my summer trip!!

I am a little reluctant to give you all the details just in case you are disapointed as these deals seem to change all the time and I suspect that I just got lucky on the fuel policy. Perhaps they were just too lazy or didn't have time to fill the car up with fuel and so charge me a small fortune for the privilege?

What I would say is this:
Book in advance.
Shop around. I got my car via a broker. The broker got me a discount with the car rental company (I did check the usual rates for the company I used and they were more expensive). My rental agreement also showed this discount.

Check the terms and conditions very carefully both for the broker and the ones for the hire car company (as these often apply as well).

Check the fuel policy and their typical fuel charges.
Be wary of upgrading to a slightly bigger car; this may seem only a few extra euros but it will probably have a bigger fuel tank and so there is more opportunity to fleece you on the fuel.

Take out separate insurance to cover the ridiculous car insurance excess charges (otherwise you may find yourself a few thousand euros out of pocket if you write the car off). Taking out the rental car company's additional insurance is expensive.

Ask about any damage on the car before you accept it. Take photos of any existing damage on the car and make sure the staff know that you are doing this. There are several stories of hirers being charged for damage that was present before they hired the car.

Avoid insuring for additional drivers if you can. Typical rates seem to be about 5 euros a day.

If you are not going to drive many miles you may get charged for a full tank of fuel if you have the car for a week. One way round this is to take out several short term rentals. Usually the fuel policy will be different for short term rentals.
Post edited at 14:51
In reply to GeoffRadcliffe:

I have just returned from Barcelona and got a similar base price (around 25 euros) for 6 days. Found this through holiday autos and it was with fire fly who seemed to be the budget end of Hertz. They did try and tell us how important a 60 euro insurance policy but we ignored them.

We did have a take out full of fuel, return empty and they charged us 80 euros for that which would have probably been more like 50 - 60 euros at the petrol station, still we had the car for 6 days covered about 500miles, returned it empty and paid a total of less than £100 in total a great deal I think.

I assume this is because it is out of season and it will be considerably more in the summer.
In reply to John2:

> Out of interest, was there a minor but unimportant fault with your car? I rented a very cheap Volkswagen Polo with a piece of plastic trim hanging down at the front. The car drove superbly though.

No faults that I could see. However, there were a fair few scratches and some small dents.
 John2 21 Mar 2014
In reply to GeoffRadcliffe:

So maybe these are cars that would need a fair bit of money spending on them if they were to put them on the second hand market. It's only cosmetic damage though, so still a very good deal.
In reply to GeoffRadcliffe:

One more tip when renting hire cars. Make sure you know how to release the filler cap before driving off.

I had a Mitsubishi car and I pulled up late at night after a long journey to fill up and I spent a long time trying to work out in the dark how to release the filler cap (no manual in the glove). The Spanish chap in the filler station (who was locked in as it was late at night) realised my plight and by a series of hand gestures showed me what to do!

For those that don't know, there is a lever in the floor next to the driver's seat. At first glance it looks like some seat adjustment lever.
Ho ho!
 Trangia 21 Mar 2014
In reply to GeoffRadcliffe:

Another tip keep your head torch handy if your flight arrives after dark so that you can fully inspect the car for signs of pre-existing damage. Always make a very thorough inspection when you pick it, both inside and out, and INSIST that any unrecorded damage is added to your hire agreement before you leave the airport. I got stung by Goldcar for a new wheel which I had failed to notice was damaged when I picked it up.

Also check the wheel changing tools and condition of the spare tire.

In Spain it's compulsory to have high viz jackets for all occupants within the car. Check for these and insist they provide them, because the police will fine you if you get stopped in one of the many random police stops and don't have one. It being a hire car is no excuse. Some hirers will charge you for renting these! The same applies for a breakdown triangle which is compulsory and isn't always provided by the hirer.

In France you will also need a fire extinguisher and spare light bulbs. Again always check for these when you pick up the car.

Some countries also insist on a First Aid kit and in mountain winter conditions, chains. Some US States require these.

It's worth googling the requirements for any country you are hiring in before you go.

Although most reputable hirers will include such things, some "cheaper" hirers don't, and these can add to the basic hire costs, so check first. Generally you will probably get away with it, but in places like Spain random police checks do occur. I've been stopped, and the cynic in me suspects that the "Men in Green" target hire cars when they need to get fine income levels up. And the fines can be hefty.
 Rick Graham 21 Mar 2014
In reply to Trangia:

Good advice.

and take a few photos of the car as evidence if you need it.

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