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That 'too good to be true' rental car price you saw is probably a scam

May 24, 2021
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5 min read
Rental Cars in a lot
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As if this summer's looming rental car shortage isn't stressful enough for travelers eager to make plans, scammers are taking advantage of the situation, using fake customer service phone numbers and low rental prices that seem too good to be true -- because they are.

The Better Business Bureau said in a scam alert earlier this month that its Scam Tracker, which logs reports filed by consumers with regard to nefarious business practices, was seeing cases of car rental fraud.

The BBB is warning travelers to watch out for rental car scams this summer. (Photo by Kiyoshi Hikiki/Getty Images)

What is a car rental scam?

The BBB warned would-be customers about Googling rental company phone numbers or using ones listed in sponsored ads (the listings marked "ad" that appear near the top of search results). Sometimes those numbers aren't legitimate and will connect you directly to someone trying to take advantage of your need for a set of wheels.

The organization also says shoppers should be highly skeptical of any special offers that require payment in the form of gift cards or prepaid debit cards, no matter what the "agent" on the phone might claim.

"The representative insists that the 'deal' is a partnership with the gift or pre-paid debit card provider," the BBB alert says. "You purchase the cards and share the PIN with the representative. In several reports, the scammer insists that the money didn't transfer, and you need to purchase another card. But no matter how many cards you buy, the outcome will be the same. The 'special offer' is a scam, and the rental car doesn't even exist."

Scammers will try to offer you a great rental car deal if you agree to pay with a prepaid gift card or debit card. (Photo by Daniel Acker/Bloomberg via Getty Images)

One such report said the alleged agent, who claimed the rental car company had partnered with Amex, promised the rental would be delivered to the train station where the customer was waiting, but it never showed up.

Another report states that a phony representative, who purported to be affiliated with Enterprise, asked the customer to hang up, purchase the required cards, and call him back to share the PINs. The customer checked Enterprise's website and noticed that the actual customer service number was different from the one they had used to call the fake agent earlier.

Although there are several credit cards that offer rental car perks -- such as elite rental status, car rental insurance coverage or discounts for booking using your card -- you will never have to purchase separate prepaid gift cards or debit cards in order to receive those extras.

man on phone
Make sure the customer service number you're calling is found on the company's main website, rather than looking for the number directly via a search engine. (Photo by Thomas Barwick/Getty Images)

How can I avoid car rental scams?

Here are some additional tips the BBB provided that can help you to avoid car rental scams:

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  • Never make payments with prepaid debit cards or gift cards. Scammers prefer these payment methods because there is nothing you can do to get your money back. Remember, legitimate companies almost always accept credit cards as the primary means of payment.
  • Use contact information listed directly on the business' website instead of relying on an Internet search for customer support phone numbers. (Always double-check the URL.)
  • Beware of sponsored links. Fake websites sometimes pop up in your web browser's sponsored ad section and appear at the top of the search results. Be careful when clicking. Hover over the URL to be sure it's the right one.
  • When in doubt, verify special deals directly with the company. If you are unsure about a promotional offer, get the customer service number from the company's official website. Call the company directly to make sure the deal is real.

Related: How to avoid falling prey to the most elaborate travel scam I've ever seen

If you do accidentally find yourself the victim of a scam and your personal information has been compromised, there are steps you can take, including filing reports with your credit card company, signing up for fraud alerts and closely monitoring your bank account and credit card statements.

Rental cars at STL airport
Rental cars are at a premium this summer, thanks to smaller fleet sizes and lagging manufacturing supplies. (Photo by Jeffrey Greenberg/Universal Images Group via Getty Images)

Why are rental cars so hard to find in the first place?

At the beginning of the pandemic, demand decreased so much that many rental agencies had to sell off large portions of their fleets. Now that travel has somewhat rebounded, car manufacturing lags mean it's nearly impossible for fleet sizes to increase quickly enough to keep up with demand.

Related: Can't find a car rental? Here are 7 tips that may help

Featured image by ALEXFAN32/SHUTTERSTOCK
Editorial disclaimer: Opinions expressed here are the author’s alone, not those of any bank, credit card issuer, airline or hotel chain, and have not been reviewed, approved or otherwise endorsed by any of these entities.

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Why We Chose It

There’s a lot to love about the Amex Gold. It’s a fan favorite thanks to its fantastic bonus-earning rates at restaurants worldwide and at U.S. supermarkets. If you’re hitting the skies soon, you’ll also earn bonus Membership Rewards points on travel. Paired with up to $120 in Uber Cash annually (for U.S. Uber rides or Uber Eats orders, card must be added to Uber app and you can redeem with any Amex card), up to $120 in annual dining statement credits to be used with eligible partners, an up to $84 Dunkin’ credit each year at U.S. Dunkin Donuts and an up to $100 Resy credit annually, there’s no reason that foodies shouldn’t add the Amex Gold to their wallet. These benefits alone are worth more than $400, which offsets the $325 annual fee on the Amex Gold card. Enrollment is required for select benefits. (Partner offer)

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  • Packed with credits foodies will enjoy
  • Solid welcome bonus

Cons

  • Not as useful for those living outside the U.S.
  • Some may have trouble using Uber and other dining credits
  • You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $6,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
  • Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
  • Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
  • Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
  • Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
  • Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
  • $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
  • $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
  • $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
  • $120 Dining Credit: Satisfy your cravings, sweet or savory, with the $120 Dining Credit. Earn up to $10 in statement credits monthly when you pay with the American Express® Gold Card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, and Five Guys. Enrollment required.
  • Explore over 1,000 upscale hotels worldwide with The Hotel Collection and receive a $100 credit towards eligible charges* with every booking of two nights or more through AmexTravel.com. *Eligible charges vary by property.
  • No Foreign Transaction Fees.
  • Annual Fee is $325.
  • Terms Apply.