Posts Tagged ‘car hire companies’

New research reveals lack of information given by car hire companies

Tuesday, January 26th, 2010

Those deciding to rent a car for their holidays have been advised to read and understand the terms and conditions outlined in the hire contract before committing their signature to the dotted line. Recent research by Which? Holiday has found that many car hire companies are severely lacking in the amount of information they offer up to customers before they hand over the keys. Researchers at Which? Holiday looked at eight car hire companies at Heathrow and Charles de Gaul and came up with some worrying results. When trying to examine the contractual terms and conditions on the websites of both Avis and Enterprise they could find nothing. Limited information was found on the websites of Budget, National and Alamo. A lack of information about the total cost of hiring a car from some of the companies meant that it was not possible to do an accurate price comparison because no information was given about the price of waivers or extra costs.

A spokesperson for Enterprise reportedly told the research team that their website was merely a tool for booking a vehicle and that the transaction as well as terms and conditions being made available would take place at the booking desk. National and Alamo also allegedly said that customers should not compare waivers and insurance cover on price alone because their levels can vary.

Hertz, Europcar and Enterprise all told Which? Holiday that the clause in their contracts making the hirer of a vehicle responsible for paying the full price of that vehicle in the event that they cannot produce the keys after the car has been stolen is a way of preventing fraud and negligence. They said that there were circumstances where exceptions would be made.

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Car hire situation still dire in Spain

Thursday, December 17th, 2009

The situation for the car hire industry in Spain shows little sign that it has improved much, if at all, since the world went into economic meltdown in 2008. Customers are reporting a scarcity of vehicles and those who manage to find a car say that prices are exorbitant. Spain was hit particularly hard by the global recession. Car hire companies found themselves unable to restock their fleets as the banks refused to give any money to the lease companies so they in turn could no longer supply vehicles to the car rental firms.

The result of all of this is that there simply aren’t enough vehicles to satisfy demand from travellers requiring car hire when they visit Spain. The recession has also affected the number of people visiting Spain. In 2008 the figures for those visiting Spain from the U.K. for a winter break were down by eighteen percent. Suffice it to say this made the people involved in the countries tourism industry slightly nervous so car hire companies hiked prices by way of compensation for lost revenue. During the summer many customers were booking car hire at rates that were more than double the price of just a year ago. One holidaymaker said that she was shocked to find that the modest run-around she usually hired each year for £200 had suddenly sky-rocketed in price to over £500.  She went on to point out that she was seriously considering buying a car and keeping it in Spain as it would probably work out cheaper than having to hire every year.

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Car hirers urged to book now for 2010

Wednesday, September 9th, 2009

A North Cypriot car hire company is urging tourists to book their car hire now in order to guarantee an available vehicle for the 2010 holiday season.

Pacific Rent-a-Car has predicted a major shortage of vehicles which will make last minute bookings impossible as the company struggles with demand.

The news comes after statistics reveal a 15 percent increase in holidaymakers in Northern Cyprus, compared to a 30 percent drop in travellers to Southern Cyprus.  One of the reasons for this is because of the Turkish Lira which offers a better exchange rate over the Euro, which is the currency of Southern Cyprus.

The recession has hit the car hire industry, as a whole, but particularly in Cyprus, as many firms have gone out of business.  Also, car hire companies have been struggling to obtain bank loans, so many car hire companies have been unable to obtain credit to update or replace their fleet.

Pacific Rent-a-Car is presently offering customers an incentive of a 15 percent discount for early reservations as well as the peace of mind that the car hire is guaranteed, rather than arriving at the airport with no available vehicles.

Many experts are predicting a steep rise in the cost of car hire in 2010, something which has already been seen this year in Spain and Greece.  Holidaymakers planning to take advantage of car hire are strongly advised to book sooner, rather than later in order to avoid paying extortionate pricing or avoid missing out on a car altogether.

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Staff shortages lead to car hire £208 damage bill

Monday, September 7th, 2009

It has been revealed that some Europcar customers have had their credit cards charged for damage after returning  their hire car in perfect conditions due to what is said to be staff shortages.

One case included Kate Colledge, who rented a car from Manchester Airport and returned the car 40 minutes early, being told that there were no available staff to inspect the car for damages.  She was instructed to leave the keys in an envelope at the outlet and wait for an invoice to be sent by post.

Later when Ms Colledge checked her credit card statement, she discovered that £208 had been taken without notification by Europcar.

After much investigation it was found out that the car wasn’t checked until 17 hours following her return of the vehicle.  Europcar informed the customer that it is company policy that customers are liable for rental cars until they have been checked by staff regardless of when.

Ms Colledge said that if she had wanted the car to be checked by someone, she would have had to have stayed with the car for a further 17 hours ahead of the agreed time of return.

As the issue was probed, Europcar conceded that staff shortages were a common issue as staff are often forced to spread themselves thinly due to the busy nature of the airport, but have withdrawn the £208 due to the time lag between the return of the car and the inspection.

The British Vehicle Leasing and Rental Association have recommend that customers should try to return the car within office hours to ensure vehicle inspections are done completely and correctly to prevent such incidents arising.

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Avis streamlines car rental model

Monday, August 31st, 2009

Travellers returning from their holidays with tans and souvenirs are also returning with stories of incredibly high car rental prices, Avis has announced a plan to streamline its operations as to cope with the downturn in the travel industry.

As overall travel volume declined by 9.4 percent in the six month period to June 30, car hire companies have also taken a hit by the global recession.

Avis have reported a drop of 6.8 percent over the six months, but performance was stronger, with a drop of only 2.9 percent, because of the holiday season.

The company has also predominately been affected by the worldwide downturn specifically of corporate travel, as business car rental is one of Avis’ key markets.

Despite the declines, the car hire industry has benefited from raising their prices which has led to greater profit margins, as most companies have been forced to charge higher and sell vehicles as credit has been difficult to obtain.

Avis have been fighting the downturn by reducing its fleet by 16%, which has led to an increase in utilisation by 5 percent.

The company has also set out a plan streamline the management of its fleet by cutting back the number of new vehicles purchased by 30 percent, and has reduced its £1.1 billion debt by closing poor performing outlets and slashing jobs.

Following a rather optimistic peak season, Avis plan to expand into Asia and boost its UK operations, however the company forecasts a weak winter season.

Thanks to The Times.  For more information on this article visit their website.

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