10 Ways to Save Money on Car Rentals During the Holidays

1. Don't Book Too Early

Early bird catches the worm doesn't quite apply to car rentals. In fact, the earlier you book a car rental, the more money you'll spend. The best time to book your car is actually one month in advance, or less, according to Kayak.

Example: For travel in November, booking a car rental more than six months in advance costs roughly $12 more a day than booking one month in advance, according to Kayak. For December, it similarly costs $13 more a day to prebook than wait until one month in advance.

2. Shop Around

Car rental companies are competing for your business, which means that prices can vary from one company to the next.

• Shop around and compare rates from several companies. Travel sites like Expedia and AutoSlash can search for deals based on your travel dates, budget and car preference.
• Check prices directly from car rental companies. Take the quotes you gathered from those travel sites and see how they measure up against the prices being offered directly from car rental companies. It might be lower. In some cases, it could help you negotiate a cheaper rate.

3. Pay With a Rewards Credit Card

Using a rewards credit card throughout the year has its perks. Consider the following:

• A rewards card can allow you to earn cash back that you can use to pay for your holiday car rental.
• Some credit card companies will dole out extra points if you book your car rental through their platform. If you're going to spend that money anyway, why not get rewarded for it?
• You might be able to earn additional rewards if you use your card to pay for other holiday travel expenses. That typically includes airfare and hotel stays.
• Many rewards cards offer car rental insurance—more specifically, a collision damage waiver. That could reimburse you for damages if your rental car is stolen or damaged.

Learn more: How Does Credit Card Rental Car Insurance Work?

4. Check for Discounts

Looking for discounts can help you find the best deal on car rentals. You might qualify for a lower price if you:

• Are a senior or AARP member
• Are an active military service member or veteran (or someone in your family is)
• Have a USAA or AAA account
• Are a teacher or student
• Pay in full when booking
• Find a lower price elsewhere

You can also look for coupon codes from car rental companies and travel sites.

5. Pay for Gas as You Go

You can expect a service charge if you return your rental car without a full tank of gas. During check-out, most car rental companies will offer a refueling package for an additional fee. In some cases, it could add up to an extra $17.99. You'll probably do better topping off your tank as you go. Below are some additional ways to save money on gas:

• Earn rewards with a gas credit card.
• Download a gas app.
• Use fuel rewards programs at specific gas stations.
• Turn the engine off if you're idling for more than 10 seconds.
• Look for fuel-efficient routes.

6. Map Out Tolls Ahead of Time

If you travel on electronic toll roads, your car rental company will add those charges to your bill—plus additional fees that could be more than $30. The good news is that it's possible to sidestep these unwanted costs:

• Have exact change on hand to cover tolls.
• Map out your route to minimize or avoid toll roads.
• Bring your personal toll transponder, such as an E-Z Pass. You might be able to add your rental car to your account and use that to cover tolls. Check with your car rental company and transponder provider ahead of time.

7. Choose an Economy Car

Going with a smaller vehicle can help keep your rental costs down. For Thanksgiving 2025, a small car rented at JFK Airport would cost you $371 for the week, while a van was $616 (prices checked October 31). Your options may be limited if you're traveling with a large group—but if you can deal with a tighter ride, it could lead to a better deal. On the upside, your fuel costs should also be lower.

Tip: If you plan to rent a small car, make sure you have enough trunk space for all your passengers' luggage.

8. Stick to One Driver

Adding additional drivers to your car rental agreement will increase the cost of your rental. Many car rental companies charge per person, per day, so costs can add up fast. Consider sticking to one driver to save money. However, if you have a high status with a car rental company, additional driver fees may be waived.

9. Consider a Ridesharing Alternative

Think about how much driving you're actually going to do during the holidays. If you only need a ride to and from the airport, you might save by booking with Uber or Lyft (depending on how far you're traveling). The same goes for getting around once you're at your destination. If you just plan on visiting friends in your hometown, for example, a rideshare app might be your best bet.

Learn more: Alternatives to Traditional Rental Car Companies

10. Think About Skipping the Rental

This may sound obvious, but you might not need a car rental at all. Consider the following questions before booking a vehicle:

• How walkable is your destination city?
• Is public transportation an option?
• Can you borrow a car from a friend or family member?
• Is it possible to carpool or hitch a ride with friends to your destination?

Having your own car can make traveling more comfortable, but your wallet might thank you for exploring other options.

The Bottom Line

Holiday travel costs can add up fast, and transportation could be your biggest expense. Finding the best deal on car rentals could save you money this holiday season. Your credit score might even play a role. If you use a debit card to book your car rental, the company may perform a credit check to determine your eligibility. You can check your credit report and FICO^® Score^Θ for free with Experian.