Do you need a credit card to rent a car?

If you’re planning for an upcoming trip and want to rent a car, you might wonder whether you need a credit card to book it. You don’t always need a credit card, but it may have a few advantages over other forms of payment. 

If you’re unfamiliar with paying for a rental car, keep reading to learn why a credit card could help you save more than other payment methods. 

Key takeaways

• A credit card may not be the only way to rent a car. But it could provide more value than other forms of payment.
• Some credit cards offer rental car insurance at no additional cost. 
• If you use a debit card to rent a car, you could experience restrictions based on your age, travel plans and credit history.  
• Prepaid cards and cash are not widely accepted forms of payment to rent a car. But you may be able to use them for the final payment.

You may want to choose to pay with a credit card for your car rental. That’s because a credit card could help make the reservation process easier. Plus, you might benefit from potential perks and savings.

Credit card issuers may offer discounts on select car rentals through partnerships or their travel rewards portals.  

Some issuers may also offer complimentary status at sought-after rental agencies. For example, with Capital One’s Venture card, eligible cardholders can receive Hertz’s Gold Plus Rewards® Five Star® status. With Five Star status, you could be eligible at participating locations to skip the counter and get a car-class upgrade and exclusive rewards options.

When paying with a credit card, you may have access to rental car insurance. Credit cards with rental car insurance typically offer primary or secondary coverage—giving you the option to decline the rental agency’s coverage and associated fees.

If you have a rewards credit card, especially a travel credit card, you could earn bonus rewards from your rental car transaction. For example, Capital One Venture cardholders can earn 5 miles per dollar on car rentals booked through Capital One Travel and double miles on other purchases.

Credit card issuers may let you redeem your rewards toward car rentals. And that could help you save money during your trip. 

For example, you can redeem Capital One Venture miles for rental cars when you book through Capital One Travel.

Some car rental agencies may run a credit check if you don’t pay with a credit card. The credit check could put a hard inquiry on your reports, which can affect your credit scores. So if you’d prefer to skip the potential impact on your scores, consider using a credit card.

In some cases, rental companies offer car rentals without credit cards. But you might experience limitations, including:

• Only being able to rent at certain locations, such as airports 
• Being limited to certain vehicle types and selections 
• Needing to be a certain age and having to show two forms of ID

Car rentals with a debit card are possible, depending on the company. But if you’re using a debit card, you could experience limitations, like having to show your ticketed travel itinerary.

Other forms of payment you might consider when renting a car are prepaid cards and cash. While these options are rare for renting a car, you may be able to use them as a final form of payment. However, you could face restrictions.

In general, a credit card can help make renting a vehicle less complicated. A credit card isn’t always required, but it can potentially help you avoid a credit check and certain limitations. The next time you want to rent a car, consider the rental agency’s policies to determine whether using a credit card is right for you.  

If you’re looking for a travel credit card to use for your next car rental, check out the Capital One Venture card. Eligible cardholders earn 5 miles per dollar on travel purchases, including rental cars booked through Capital One Travel. Plus, you can receive an auto rental collision damage waiver on eligible vehicle rentals. 

Already a Venture customer? Learn how to manage rental car bookings through Capital One Travel.