Car-Rental Firms Punish No-Shows
Expect to pay a fee if you don't cancel your reservation.
Your flight is canceled and the next one isn’t until tomorrow. Better call the hotel and cancel the room -- and don’t forget the rental-car counter. Some 20% to 30% of people who reserve a car with a rental agency never pick up the keys. But travelers who are accustomed to getting a free pass when they fail to claim their rental may soon be hit with a fee. “These no-show fees are not a matter of if but when,” says rental-car industry consultant Neil Abrams. Such charges already exist in other countries, and in some cases you’ll pay a no-show fee in the U.S. for a hybrid or other specialty car, for a long-term rental, or for renting at peak times.
With demand down and operating costs rising as Detroit funnels fewer cars into rental fleets, rental companies are looking for income. Over the past year, Avis has begun retooling technology to allow the company to process credit-card numbers at the time of reservation, giving the company the ability to, among other things, penalize no-shows. There’s no rollout timetable yet, but an Avis spokesperson says the process will be moving ahead in the next few months -- and not just at Avis, but likely industrywide. In the U.K., Avis gives no-shows a 24-hour grace period to cancel the reservation or pick up the car; after that the company charges a fee of 40 euros (about $57).
For Patty Hsu, a consultant from Cerritos, Cal., who rents cars for business travel, a fee for a missed reservation could be an expensive speed bump but not a surprising one. “It sounds like the same concept as hotel-cancellation policies,” says Hsu.

Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.
-
How to Invest as the AI Industry Grows Up
Here’s where to find the winners as artificial intelligence transitions from an emerging technology to an adolescent one.
-
I’m 62 and worried about Social Security’s future. Should I take it early?
A Social Security shortfall may be coming soon. We ask financial experts for guidance.
-
How to Find the Best Alternatives to Popular Travel Destinations
You don’t have to bust your budget or battle big crowds to enjoy pristine natural beauty, rich culture, authentic cuisine and more.
-
7 Golf Course Destinations to Vacation Away from the Crowds
Beat the growing crowds of new golfers at these golf course destinations off the beaten path.
-
Amazon Resale: Where Amazon Prime Returns Become Your Online Bargains
Feature Amazon Resale products may have some imperfections, but that often leads to wildly discounted prices.
-
The United and JetBlue Partnership: Everything We Know About Blue Sky So Far
Blue Sky, the United and JetBlue partnership just announced, will give frequent fliers more ways to earn and use miles. Here's what you need to know.
-
Struggling with How to Plan a Trip? These Companies Will Help
Travel Plans Sit back, relax and let the professionals handle the logistics.
-
Roth IRA Contribution Limits for 2025
Roth IRAs Roth IRA contribution limits have gone up. Here's what you need to know.
-
Four Tips for Renting Out Your Home on Airbnb
real estate Here's what you should know before listing your home on Airbnb.
-
Five Ways to a Cheap Last-Minute Vacation
Travel It is possible to pull off a cheap last-minute vacation. Here are some tips to make it happen.