We’re out of cars — and you’re out of luck

by Christopher Elliott on September 18, 2008

Question: What’s a car rental company’s responsibility to have a vehicle available for you when it sends you a confirmation? I ask because we recently rented a car from National Car Rental in Mexico, and they ran out of cars.

When we arrived at the rental counter in Guadalajara, a representative told us that other renters did not return their cars on time. He said there would be no cars for several days and would not help us find another car.

We eventually got a rental from another company, but it took us an additional five hours, and we were very upset by the experience. Although our first email to National was acknowledged with a form response, we haven’t heard anything from the company in two months. I thought rental companies had to either honor their reservation or find a car from another rental company. Isn’t that what National should have done? — David Nicholson, Halifax, Nova Scotia

Answer: National should have found you another car — even if it was from a competitor. That’s the policy of most major rental companies, including National. The Guadalajara office goofed.

Why do car rental companies confirm reservations when there’s a chance they won’t have a car? One reason is that customers can cancel their reservation without penalty, or just not show up at all. In fact, as many as a third of the people with reservations are no-shows at some rental locations, according to informal estimates I’ve heard. (It’s usually between 15 and 25 percent.)

That means car rental companies have to factor in the possibility that lots of the people who reserve a car won’t show up when they’re managing their fleet. And that can be a real guessing game.

You checked in on a day when National guessed wrong. It had run out of cars. The rental employee must have known National’s policy, but instead chose to let you fend for yourself in a foreign country. Something tells me he won’t be getting his Christmas card from the Mexico Tourism Board this year.

You shouldn’t have taken a frontline employee’s “no” for an answer. Instead, you should have asked for a manager, and if one wasn’t available, you should have called National’s reservation number to report this. National could have helped you find another car quickly.

Car rental employees often treat foreign tourists differently from natives, and this seems to be a case-in-point. It could have been worse. I’ve heard horror stories of out-of-country visitors being forced to buy unnecessary insurance or talked into expensive upgrades. My best advice would be to be on your guard when you rent overseas. The moment you open your passport, you become a walking dollar sign.

I contacted National on your behalf, and it refunded you $685, the cost of your car rental in Mexico, and sent you a coupon for three rental days as an apology.

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  • mindy

    Chris

    For Europe I like to use a particular company for my clients (I will decline to name it here) because in most cases you pre-pay most or even all of the car cost. What is the benefit to this? First, you have paid in US$ and are not dealing with an exchange rate, you are not subjected to the hard sell on extras, AND because the car is pre-paid it is already “taken out of allotment” and you do get your car.

    As for Central America – I quite honsetly have never run into this.

  • Graham

    To Christopher Elliott – if you think car rental offices outside the USA see dollar signs when they see an American citizen come through the door I suggest you pretend being an non-US citizen renting at an airport in the USA. Unwanted car upgrades, unnecessary insurance, pre-paid gas, you get all that and more thrown at you. And, when you turn it all down, the friendly agent suddenly becomes ultra efficient and gets rid of you as soon as they can. It’s a problem worldwide and it doesn’t matter where you come from or where you are renting – it’s part of capitalism.

    To Mindy. I take the view that prepayment works when my currency is weakening against the currency of the country where I am renting. As a UK citizen I reckon prepayment works for me at the moment if I am coming to the USA. But, in the past, when the pound was doing well against the dollar I would pay on arrival. Also, you may be correct that the company you use takes the car from inventory when you pay but I’ve had issues with one company in the USA not having the car I want when I have prepaid and I’ve ended up with something much bigger than I want – costing me extra in gas.

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