All about car rental deposits and their rates

Why do you need to pay a rental car deposit? Rental car companies ask for a security deposit to:

• Protect their vehicles and cover potential costs
• Be used for damages, parking tickets, refueling or cleaning
• Security deposits are refunded in full if there are no damages to the car or extra costs incurred

Renting a car can be convenient, but understanding the fine print can be tricky, especially when it comes to security deposits. Security deposits are a common part of the car rental process, but they can be confusing if you’re unfamiliar with how they work. In this article, you’ll learn the basics of security deposits, including why they’re necessary, how much you can expect to pay and how to ensure you get your money back.

Reasons for paying a deposit

Rental car companies ask for a security deposit to protect their vehicles and cover potential costs. This deposit can be used for damages, parking tickets, refueling, or cleaning. If you return the car on time and in the same condition as you got it, you’ll get your full deposit back.

Rates of rental security deposits and how to pay

Security deposits depend on many things, including the city, company policies, the driver’s age, and the car model. Listed below are the approximate security deposit for a two-day economy rental in San Diego:

*The above information is sourced from the official rental car company websites in August 2024.

How long it takes to return car rental security deposits

The security deposit you pay is often a large sum of money. While securing a rental car is easy, getting your deposit back can sometimes be tricky.

Below are some rental companies and the time they take to return your security deposit:

*The above information is sourced from the official rental car company websites in August 2025.

Reducing or avoiding security deposits

Rental companies may lower your security deposit, though the amount varies from company to company. Some, like Sixt and Hertz, already have comparatively low deposits, while others offer no-deposit options or let you reduce the deposit with extra insurance.

Here’s how you can avoid deposits:

• Credit cards: the deposit isn’t taken from your account; it is just held and charged later in case of damages.
• Prepayment: some companies waive the deposit if you pay the full amount upfront, charging only for damages, if any.
• Third-party insurance: if you have coverage that the rental company accepts, you might get to skip the deposit entirely