Malpractices by car-rental companies

Subject: Malpractices by car-rental companies

Despite efforts by the Commission and pledges from the five largest car-rental companies to adjust and improve their commercial practices, contractual conditions and internal policies, problems unfortunately still occur in practice, for instance higher rental prices and different cars than what was agreed upon, and illegally charging the lessee for alleged damage to the vehicle.

The Commission promised in January 2017 to keep a close watch on the car-rental market.

Could the Commission indicate which further actions it will undertake to improve the protection of consumer rights and put a stop to further malpractices?

Answer given by Ms Jourová on behalf of the European Commission

(28 January 2019)

In January 2017, the five major car rental companies committed to pricing transparency and clearer terms and conditions, including clarity on insurance and waiver policies and tank refuelling options, and more fairness when handling alleged instances of damage to vehicles.

The Commission did in fact state that it would monitor the market to ensure that these commitments are respected. The Commission has noticed that the number of complaints on car rental issues has been rising again. Many different players are active in this market: not only car rental companies themselves, but also franchisees and intermediaries. All of them should inform the consumer in a clear way on the issues mentioned above. The Commission does not have, as such, direct enforcement powers under EU consumer law. National authorities, which are the ones responsible for the enforcement of consumer laws, are regularly taking measures against companies breaching consumer protection laws and sharing this information among themselves and with the Commission.

To enable these authorities to perform their work, it is important that consumers who encounter problems with their rental car, file a complaint with the competent authority in their country. For consumers renting cars abroad, they can also turn to the European Consumer Centre in their own country for free-of-charge assistance.