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Car Rentals....Is this even LEGAL?

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Car Rentals....Is this even LEGAL?

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Old Jul 17th, 2010, 12:27 PM
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Car Rentals....Is this even LEGAL?

Ever notice that car rental companies charge much different rates depending on what country you're from? I checked National, Hertz etc......plugging in "United Kingdom" or "Virgin Islands" as my place of residence and was amazed at the different rates. I really can't think of anything else in the U.S. where you get a deep discount just because of where you're from. or am I blind? Are they just REAMING us?

Example: with Alamo, booking a car at Boston Logan airport July 23 for a week.

U.S. Citizen is quoted $679.00 online
U.K. Citizen is quoted $240.00
....and the U.K. rate INCLUDES collision and liability insurance which would be extra to the U.S. Citizen.
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Old Jul 17th, 2010, 12:50 PM
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Get intouch with a local newspaper or TV station in your area, and your Senator's office in Washington, DC with this info.

Sounds like this would be a great story for an investigative reporter.

I'm guessing not illegal, it's their cars, they can charge what they want, but phewwwwww, would love to see this story on the news.
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Old Jul 17th, 2010, 01:07 PM
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Car rental companies charge different rates in different cities for the same car, do you consider that illegal? Or do you accept that they charge based on many factors, and country of origin may be such a factor. I used to work for a car rental company and you would not believe what people do to rental cars--small sample, take tires and replace them with old junked out ones and then swear those were the ones on the car; take and replace batteries, exhaust systems, sound systems, you name it. Some people use rental cars as a spare parts market. And I won't even comment on the appalling condition of some cars when they are returned. BTW these are not isolated incidents, but routine.
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Old Jul 17th, 2010, 03:11 PM
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This isn't just a US issue. When we rented a car in Italy for a week I searched all the Auto Europe sites, ie, .uk, .it. .fr, etc and got different prices from each site. I used current exchange rates and converted to dollars and booked on the cheapest site which happenned to be .uk. Pays to shop around.
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Old Jul 17th, 2010, 03:54 PM
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I guess it's not illegal but it sure stinks. I suppose a restaurant could put three different prices on the menu for a steak dinner.....$20 for Americans, $15 for citizens of the U.K and $10 for citizens of Mexico......but we'd all probably avoid that restaurant and be appalled at the policy.

Most people don't rent cars very often so we just grin and bear it I guess.

I got an offer from a cable tv company, and my latina neighbor down the street got an offer in Spanish from the same company for $15 less per month. They get away with it by saying that sometimes I'll get the better offer and sometimes my neighbor will and it all evens out in the end. They just blame it on marketing research. "Our research determines what price certain customers will be willing to pay and that's what we charge. It has nothing to do with your age, sex or national origin". Yeah, right.
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Old Jul 17th, 2010, 03:57 PM
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This tidbit is great information, though....I am planning on traveling a lot in 2011 and now I am on the lookout for plenty of new Brit friends. I can save a bundle. Cheers!
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Old Jul 17th, 2010, 04:42 PM
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Hey, at least you CAN rent a car.

Imagine if you went to a place of business, and they REFUSED to serve you on no other basis but your citizenship or language.

http://tinyurl.com/NoForeigners
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Old Jul 17th, 2010, 05:36 PM
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that is very odd. have you emailed Wendy at CondeNast Traveller. I agree it would make an interesting story to investigate. I went to alamo and punched in random countries for same dates and found 4 different groupings of prices. It would be interesting to know how those prices are decided for different areas of the world. would it be which side of the road you drive on? very cureous!
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Old Jul 17th, 2010, 06:14 PM
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Companies can legally charge different prices for different classes of trade - as long as there are specific requirements = and not just random prices based on race or gender bias or similar.
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Old Jul 17th, 2010, 08:05 PM
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SAB--I can't believe people ripped off exhaust systems!!! Thanks for the laugh.

In New York City I don't think the cable companies can do this.

A shot in the dark--it may be the case that different countries have different insurance requirements and where those requirements are more advantageous or offer coverage abroad, those citizens get better treatment.... or they could be reaming us.
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Old Jul 17th, 2010, 09:53 PM
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It might be worth trying to negotiate the price of the rental if you have the information about the various pricing plans on hand.

It's possible to negotiate cell phone plans, cable tv, etc. - why not a rental car?

Although I have read articles that indicate there are rental car shortages in some areas - but, given what you've discovered, it's possible the rental companies are putting out the story to raise prices . . .
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Old Jul 17th, 2010, 11:20 PM
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I notice that Alamo does not ask your citizenship but phrases the question "Where do you live?". Couldn't you just choose "United Kingdom"...then when you pick up the car you could say "well when I made the reservation, I was living in the UK". After all, it doesn't say "where do you plan to be living when you pick up the car?"

Yes it's a fib but gee, it saves you 400 bucks! And it is no worse than the fib they come up with when they tell you why they ream Americans for $400 more per week than people from overseas.

By the way, how much would dual citizenship cost me? If I rent 4 times a year I'm sure it would pay off in the long run.
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Old Jul 18th, 2010, 03:20 AM
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Life isn't fair.

Europeans have always been able to buy packages to places like Disney World for far less than you and I would pay just as we can buy package tours to places in Europe for less than they would pay.

The same kind of arbitrage works in the other direction. French citizens don't get 17% VAT refunded when they take their new shoes to Boston. I do.

As nytraveler notes, companies can charge whatever they want to whomever they want as long as they are not discriminating on the basis of a protected class. Why do senior citizens (me) get a discount on public transportation and young families do not?

I have been able to negotiate my own car rental rates at an international firm, considerably discounted, when I rented frequently from the same agency. I called the agency directly rather than the 800 number.

As portiaperu says, there is nothing stopping you from negotiating, but as someone who has done it frequently from both sides of the desk, I would caution you to treat it as a game in which you lose if you get angry or indignant, or act entitled.
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Old Jul 18th, 2010, 08:25 AM
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Really? When you go to the Disney website they ask you what country you live in? And a travel agent selling you a tour of Europe, they ask your nationality before they can quote you a price?
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Old Jul 18th, 2010, 08:34 AM
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Good point Ackislander. Train tickets for example in UK are muuuuuch cheaper if purchased in the U.S.
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Old Jul 18th, 2010, 11:37 AM
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>>

Actually, I've always wondered why they doesn't constitute impermissible age discrimination
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Old Jul 18th, 2010, 12:34 PM
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> I've always wondered why they doesn't constitute
> impermissible age discrimination

The reason is simple: people of different ages do NOT constitute a "protected" class of citizens, other than you can not fire someone simply because of age if they are over 55. If you doubt this for a second, just check car insurance rates for people aged 18 and those aged 50. It is age "discrimination," in the same way that giving hiring preference to smarter people is intelligence discrimination. Both are perfectly legal.
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Old Jul 18th, 2010, 12:39 PM
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age is a protected class federally above 40

in NYC age discrimination, no matter how old is illegal (ex. generally can't give someone 45 better treatment than someone who's 25). Dunno how business get away with some stuff, but i guess much has been determined to be justified, such as senior citizen discounts.
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Old Jul 18th, 2010, 01:14 PM
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No, UK train tickets are not cheaper just because you buy them in the U.S, although travel agents making commissions try to tell you that. Train tickets are less expensive if you buy them IN ADVANCE, which would mean buying them over here two months before your trip.

Besides, a Mexican or a Brit could "purchase their ticket in the U.S." if that were the case, they are not asking your citizenship as a pre-requisite to quoting you a price.

I wonder how we'd feel if hospitals were quoting $2000 a night for U.S. citizens and $400 a night for Germans and Czechs?
As for the original post, ok...maybe it's perfectly legal. But WHY would they have this policy? And, during summer tourist season why would Alamo sell a car to a Brit for $250 when they could get $600 from an American for the same car???? Doesn't even make business sense. They're telling Americans that cars are $600 a week because it's high season and there is a shortage of cars this summer. AHEM??? And then you are selling that car to a foreigner for less than half that price?

We're missing something here. Maybe they've figured out that foreigners are much more likely to change their plans or extend their rentals and pay hefty late fees? Or maybe foreigners tend to change their minds and leave their Boston cars in NYC thereby incurring $750 drop fees? Or perhaps they never have child seats with them and tend to buy GPS and the gas option and to pay $15 a day to upgrade their vehicle...so the car companies are making out a lot better in the long run.
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Old Jul 18th, 2010, 01:21 PM
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PaulRabe, in California it is illegal to discriminate according to age (Unruh Act). I'm sure senior citizens discounts have been litigated, but I don't have case law in front of me.

"The Unruh Act prohibits all types of arbitrary discrimination, and not just discrimination based on sex, race, color, religion, ancestry, national origin, age, disability or medical condition. (78) The Unruh Act also prohibits discrimination based on personal characteristics, geographical origin, physical attributes, and individual beliefs."

This applies to all businesses serving the public.
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