Everything you need to know about hiring a car

Hiring a car can be straightforward if you know what to watch for. Learn how to choose the right vehicle, avoid unexpected charges, and travel more confidently. Plus, explore tips for hiring a car abroad​.

Booking tips: when, where and how to hire a car

When to book your hire car

Unlike with hotels or airfare, booking a car far in advance will not usually get you the best deal. The best rates are usually found one to four weeks before the hire date*. Occasionally, you may find last-minute deals as hire companies try to offload excess inventory.

Are your travel plans flexible? Since rates are demand-based, the season plays a big part in how much you’ll pay. Avoid travelling during the peak summer season if you can.

*Based on 2024-2025 data for daily car hire rates.

Where to reserve your hire car

Hiring a car at the airport may be more expensive than at other locations, due to airport fees that are passed along to you. Many hire companies offer shuttle service from the airport to other locations, which could be cheaper. It might even pay to take a rideshare to a more distant branch. However, competition between hire firms at the airport can sometimes drive down rates. Compare prices online to ensure you find the best deal.

How long to book your hire car for

Companies often charge the same price for a weekly hire as for a six-day hire. If you’re debating whether to extend your trip another day, a free hire car day might tip the scales.

Ultimately, the best way to get the lowest price on your car is to book three to four weeks ahead with a company that offers free cancellation. Continue to monitor prices and cancel and re-book if prices go down. That way, you can leave the door open for last-minute deals, without the risk of being unable to find a car or paying too much due to low inventory.

Choosing the type of hire car

Car size

Choosing a smaller car can save you a lot of money. Economy cars typically cost £10–£14 less per day* and get better fuel economy than full-size cars. Of course, comfort is a factor as well. An intermediate or standard car will often seat as many people as a full-size hire, but obviously won’t be as spacious. If you aren’t travelling long distances, an intermediate car might strike the best balance between comfort and savings.

*Based on 2025 data for daily car hire rates

EVs and hybrids

All major car hire companies offer hybrids and electric vehicles, though availability depends on the location. For eco-conscious travellers or those looking to save money on petrol, either option could be attractive. However, fuel savings could be offset by the higher hire price. EV hires cost on average 11% more than petrol cars, while hybrids cost 27% more*.

If you’re thinking of booking an EV, be sure to plan your route around charge points (infrastructure varies widely by location). Confirm the car’s range with the hire company, but keep in mind that the battery range decreases in extreme temperatures and on hilly roads. You will also need to factor in charging times (level 3 rapid chargers still require 30+ minutes for about 100 miles of range). When returning an EV, most hire agreements require the same battery charge as at pick-up, or you will face steep recharging fees.

For improved fuel efficiency without the range anxiety of a full EV, you might rather hire a hybrid.

*Based on 2025 data for daily car hire rates.

How to avoid hidden hire car fees

Excess insurance

Hire companies include a Collision Damage Waiver (CDW) or Loss Damage Waiver (LDW) with your booking, but these basic options come with a high excess (£1,000–£2,000). This is the amount you have to pay in the event of damage to the car. You can avoid this by taking out additional excess insurance. Hire companies usually offer a “Super CDW,” or zero-excess cover, which will significantly reduce or eliminate your financial responsibility. These policies often also cover common exclusions, such as tyres, glass, and undercarriage.

A hire company’s Super CDW is convenient and comprehensive, but it could significantly increase the cost of your car (£12–£30 per day). On the other hand, you can purchase excess insurance from a third-party provider, such as ReduceMyExcess, CarHireExcess.co.uk, or RAC, for £2–£6 per day. If you travel a lot, you can save even more by purchasing an annual policy.

For a deeper dive, read our guide to hire car insurance.

Credit card holds and deposits

When you pick up a car, a hold will be placed on your credit card for a deposit (usually £200–£300) plus the full estimated cost of the hire. This will deduct from your available credit on that card, so budget accordingly. 

If booking with a debit card, the deductible will likely be higher (up to £500), or the company might require you to purchase their zero-excess waiver. The deductible will most likely be debited upfront from your current account (and refunded later), rather than just held. Be sure you have enough for your travel expenses and can wait several weeks for a refund after returning your car. Read our guide to hiring a car without a credit card. 

Young driver and additional driver fees

If you are under 25, the hire company will likely charge a fee. These fees typically range from £32–£38 per day, 

Similarly, if you want to authorise an additional driver, you may have to pay £10–£15 per day per additional driver. There is often a maximum charge per hire period of around £120–£189.

Certain memberships (e.g., AA and RAC) and credit cards may waive these fees (see below).

Fuel policy

Hire companies usually offer a few different fuel policy options. The best bet is usually “full-to-full,” meaning they give you the car with a full tank and you return it with a full tank. Just be sure to fill up at a nearby petrol station before returning the car, as the hire company will charge an inflated rate (2–3 times normal prices). Check the fuel gauge before driving the car and note any shortage to an employee. Take photos of the gauge at drop-off to avoid any unjustified charges.

Cleaning fees

If you plan to go to the beach, are bringing a dog, or if you have young children, be aware that you might be charged for cleaning after returning the car. Hire companies allow for minor dirt, but may charge £14–£75 or more if there is excessive dirt, mud, stains, pet hair or odours that require deeper cleaning.

Take photos of the vehicle's interior and exterior at pick-up, and discuss any dirtiness or damage with the company. Document the car’s condition at drop-off so you can dispute any excessive cleaning charges. If you are a smoker, always smoke outside of the car. Even the faint smell of smoke can carry a big penalty. If in doubt, consider washing or vacuuming the car before returning it to avoid a heftier cleaning charge.

One-way fees

Do you plan to return your car to another location? It will likely cost more. Most companies charge a flat fee for domestic one-way hires, with pricing tiers based on the length of the booking. These usually range from £45–£250, but may depend on location.

Feature add-ons

Avoid these extras whenever you can. Use a smartphone for navigation to avoid GPS costs (£12–£15 per day), and bring your own car seat (£12–£15 daily). 

Tollways and Transponder Fees

While toll roads aren’t common in the UK, if you’re travelling to the Republic of Ireland or the Continent, you may encounter them. In these cases, the hire company may either include a toll transponder or offer one for a fee. 

In Portugal, where tolls are largely electronic, Europcar includes Via Verde transponders at certain branches. France and Italy have some electronic-only tollway sections. Companies in these countries typically offer transponders as optional extras. Familiarise yourself with how tolls work along your route. You may be able to pay with cash or a credit card and skip the transponder. 

If you use an electronic tollway without a transponder, the tollway operator bills the hire company (via number plate recognition), which will then charge you for the toll plus a fee (ranging from €30–€50). Depending on the company policy and your travel plans, it still might be worth paying the penalty to skip the transponder fee.

Loyalty programmes and memberships

Look into hire company loyalty programmes before booking. Many have free membership tiers that include benefits like faster service, car upgrades or free additional drivers. 

Explore your credit card perks. Premium cards often get you a higher-tier membership in loyalty programmes, which can unlock more benefits and discounts. Other memberships, such as AA, can get you cheaper rates and sometimes waive young or additional driver fees.

Hire car restrictions

Mileage restrictions

Most hire cars include unlimited mileage for standard domestic hires. Some car classes, such as luxury or larger vehicles, may restrict mileage. Hires exceeding 28–30 days may also have different terms.

Tips for hiring a van

Confirm mileage limits on van hires. Many vans include unlimited mileage, but some companies and locations may only offer it as an add-on. Many hire firms require drivers to be at least 21-25 years old and hold a full driving licence for 1-2 years to hire a van.

Larger vans may have restrictions on certain city centers or low-emission zones; check if a congestion charge or permit is needed.

Crossing borders

Post-Brexit, many companies do not allow travel to Continental Europe, or may do so with restrictions. If you plan to travel to the Continent, book at least 72 hours in advance. The hire company will likely require a cross-border fee, extra insurance and documentation, so it’s typically cheaper and easier to hire a car at your destination.

Travelling to the Republic of Ireland is more widely allowed. This requires a VE103B certificate from the hire company and may require additional insurance. Both of these are typically included for a flat “foreign use” or “cross-border” fee (often £25–£35). Some companies, such as Europcar, charge more. For luxury cars or longer hires, fees can be as high as £190.

Driving on different surfaces

Be aware that driving on anything but paved roads violates most hire contracts. That includes dirt roads, the beach or grass. Getting stuck will come with hefty fees, and any damage will be your full responsibility.

Even if you stick to paved roads, most CDW policies do not cover tyre, glass and undercarriage damage (unless you purchased a “super” cover that specifically includes these). Be mindful not to back over kerbs when driving an unfamiliar car, and use caution when encountering road debris. Check out our tips for what to do if your hire car is damaged.

What to know about hire car returns

Always return the car at the same time of day you picked it up to avoid paying for an extra day. Dropping off even a couple of hours late can trigger an extra full-day charge. 

Likewise, don’t return the car too early without notifying the company a day in advance. Many companies charge early return fees. If your travel plans change, you might be able to get a refund for any unused days if arranged ahead of time, but in some cases, it can end up costing you.

The best way to hire a car

From excess insurance to surprise fees, hiring a car can be stressful and confusing. By following the tips in this guide, you can save money and spare yourself a lot of headaches during your trip. 

• Book ahead and continue to monitor prices.

• Know your insurance needs and ensure you’re sufficiently covered. 

• Decline unnecessary extras and prevent additional charges by familiarizing yourself with your hire agreement. Ask questions when you’re unclear.

• Document the car’s condition, inside and out, at pick-up and drop-off.