For many people, renting a car is an essential part of travel. But for those under the age of 25, it can be difficult to find a rental company that doesn’t charge an extra fee. Budget car rental is one of the companies that does charge an under-25 fee.
In general, young drivers, particularly teenagers, are said to underestimate hazardous driving conditions.
So how much is Budget Under 25 fee?
In this article, I will explain everything you need to know about the fee and how to avoid it.
Does Budget Have a Young Driver Fee?
Yes, Budget charges an additional young driver fee for those renters under the age of 25.
So, if you’re considering using Budget, be sure to factor in the cost of the young driver fee when deciding whether or not it’s the right choice for you.
However, there is a way to get around it. More on this is explained below!
Why is Under 25 Fee Important
Young adults are often seen as inexperienced and high-risk when it comes to car insurance. Because of this, they are typically charged higher premiums than older, more experienced drivers.
Studies have shown that drivers under the age of 25 are more likely to be involved in accidents than older drivers. They are also more likely to speed and other risky behaviors.
The under-25 fee is important because it helps to offset the increased risk that young drivers pose.
How Much Is the Budget Under 25 Fee?
Here is a breakdown of Budget under 25 fee;
You are required to be 21 years old(Exceptions below) and meet requirements such as presenting an acceptable credit card and a valid driving license to rent a car in most US corporate locations.
In the United States, an additional underage surcharge of $27 per day is applied to your card at the time of reservation.
This fee is already added to your online quote when you make a reservation.
In Canada, the additional under-25 fee is 29.95 -35 CAD per day
Customers between the ages 21-24 are not allowed to only provide debit cards, they must have an acceptable credit card.
However, there are exceptions to this.
Exceptions
In New York at corporate-operated locations, the minimum age requirement to rent is 18. For renters aged 18-20 a youthful surcharge of $52 is applied and $35 per day for renters between (21-24) years old.
In Michigan at corporate-operated locations, the minimum age requirement to rent is 18. For renters aged 18-20 a youthful surcharge of $41 is applied and $35 per day for renters between (21-24) years old.
For Government personnel, whether civilian or military, the policy is as follows;
For that personnel with a government purchase order or a travel order, they will not be charged an underage fee. The minimum age requirement for this is 18.
Those without a government purchase or travel order, will not be charged an underage fee but the minimum age requirement is 21 except for New York and Michigan states. For leisure rentals, they will be charged an underage fee for those under 25 years old. However, special rates are available for US government personnel after proving affiliation with the government.
Rules at locations outside the US may vary, it is advisable to check the terms and conditions on your online reservation confirmation or on their information page.
Vehicle Restrictions for those under 25
Renters (21-24) years old may be restricted to specific car classes.
They will be not permitted to rent from the following classes;
- Full-Size SUVs
- Premium SUVs
- 12 Passenger vans
- Luxury cars
- Specialty vehicles
- Minivans
Requirements to Rent a Car Under 25?
Here is a breakdown of what you will need to rent a car from Budget if you are Under 25;
- Meet the age requirements to rent. The minimum age to rent in Michigan and New York is 18. For the rest of the U.S, the minimum age to rent is 21. In Canada minimum age to rent is 21.
- Have a valid driver’s license
- Credit card accepted by Budget such as Discover, Mastercard, American Express, Visa, JBC/Japan Card, Optima, Budget International, and Budget Charge Card
- Both the driver’s license and the credit cards should be in the renter’s name.
Can I Have Budget Under 25 Fee waived?
Yes, the Budget under 25 fees can be waived. In this article, I have covered 6 ways to avoid it. More on this is explained below.
Comparing With Under 25 Fees of Other Car Rental Companies
The table below shows the latest details for each car rental company.
Car Rental Under 25 Fee, 2022
Entrprise Under 25 Fee, 2022
Car Rental company | Minimum Rental Age | Vehicle Restrictions | Young Driver Fee Under 25 | New York State Youthful Surcharge (21 to 24 years old) | New York State Youthful Surcharge (18 to 20 years old) | Michigan State Youthful Surcharge (21 to 24 years old) | Michigan State Youthful Surcharge (18 to 20 years old) |
---|---|---|---|---|---|---|---|
Alamo | 21 years 18 in Michigan and New York | Economy to Full-size cars | $25.00 | $24 | $64 | $20 | $42 |
Enterprise | 21 Years 18 in Michigan and New York | Economy to Full-size cars | $25.00 | $24.50 | $64.50 | $19.00 | $ 40.00 |
Hertz | 21 years 18 in Michigan and New York | Economy to Full-size cars | $19 | $25-35 | $52 | $19 | $42 |
Avis | 21 years 18 in Michigan and New York | Economy to Full-size cars | $27 | $35 | $84 | $28 | $41 |
Dollar Car | 21 years 18 in Michigan and New York | Economy through Luxury cars | $29 | $29 | $41 | $29 | $41 |
Budget | 21 years 18 in Michigan and New York | Economy to Full-size cars | $27 | $35 | $52 | $27 | $41 |
National | 21 years 18 in Michigan and New York | Economy to Full-size cars | $25 | $25 | $64 | $25 | $42 |
Advantage | 21 years 18 in Michigan and New York | Economy to Full-size cars | $25 | $25 | $25 | $25 | $25 |
Sixt | 21 years 18 in Michigan and New York | Depends on location | $25- $30 | N/A | N/A | N/A | N/A |
Ace | 21 years 18 in Michigan and New York | Economy to Full-size cars | $20 | $20 | $50 | N/A | N/A |
Fox rent a car | 21 years 18 in Michigan and New York | Economy to Full-size cars | $20 | $20 | $25 | N/A | N/A |
Thrifty | 21 years 18 in Michigan and New York | Economy to Full-size cars | $29 | $29 | $52 | $29 | $41 |
Most rental companies waive this fee for USAA members from 18 to 24 years old.
Military and government personnel are exempted from the young driver surcharge by most car rental agencies.
Some state that government personnel should prove that the travel is for government-related purposes.
Can You Lie About Your Age On Budget?
No, you cannot lie about your age on Budget. During the verification process after signing up, you are required to submit a valid driver’s license. Your license shows your date of birth. So not unless you submit a fake license.
You should also note that Budget has access to the DMV database. So, if you provide the wrong documents, you will not be approved and therefore you will not use Budget.
Budget also needs to be keen in their scrutiny for insurance purposes.
How to Avoid Budget Under 25 Fee
If you’re a young driver looking to rent a car through Budget, you may be wondering if there’s a way to avoid the young driver fee. Here are a few tips;
- Book with Non-traditional Rental Companies
Non-traditional car rental agencies are companies such as Turo, Getaround, Silvercar, and Zipcar.
Unlike most traditional companies, you can get a lower or no youthful surcharge with them.
For Example;
Getaround
Get around has a price structure that is different from other car rentals. They charge a percentage of the trip price that is different for every age from 19 to 25 years.
Age | Under 25 fee |
---|---|
25 | None |
24 | 5% of trip price |
23 | 10% of trip price |
22 | 15% of trip price |
21 | 25% of trip price |
20 | 45% of trip price |
19 | 75% of trip price |
The trip cost is higher if you are 19 years but reduces as you approach 25.
For Silvercar
Silvercar by Audi is another good option to roll around the hood. It rents SUVs and sedans at Audi dealerships and off-site airport locations. Silvercar doesn’t have an under-age fee in most cases but you must be at least 22 years at the time of rental.
Exception– New York where you need to be 18 years old and pay a $75 young driver fee.
- Rent Through Carla
Carla, an Online Travel Agency that specializes in car rentals can help you find great deals and rates.
They waive under 25 fees for Carla’s “surprise supplier” deals. In this case, you will not know who you will rent from until after you have paid for it.
When you rent from travel agencies such as Carla, you may not be eligible to earn car points, use rental car elite status or qualify for elite status.
Although they have cancellation fees and strict restrictions, it is a good option for those under 25.
- If possible, Get a USAA membership and Enjoy the Benefits they Offer that Include the Waiver
If you’re a member of the United Services Automobile Association(USAA) and are under the age of 25, your young driver fee is likely to be waived by major rental companies such as Avis, Enterprise, Budget, and Hertz.
You must be a current or former member of the U.S. military to qualify. This includes active duty, National Guard, and Reserve members, as well as veterans and their families. The fee waiver applies to rentals at participating U.S.-based locations.
- Ask Your employer, university, or Alumni association for a waiver or a discount code
Some car rental companies have partnerships with universities or employers to provide benefits to their members. Check the benefits section on your school’s website or alumni forum for discount codes or waivers.
This can not only give you the best deals but also waives the underage fee, includes unlimited additional drivers, and adds the damage waiver free of charge.
- Get an AAA Membership and Rent Through Hertz
Getting an AAA membership and then renting a car through Hertz can help avoid that annoying Budget under 25 fee. Hertz and AAA have had a long-tenured partnership in the automobile industry.
A waived young renters fee for 20-24 years old is one of the benefits AAA members enjoy. Other benefits are;
- Save 10% off prepaid gas
- Add an additional driver for free
- Save 50% off satellite radio
- One free use an infant seat
- Discounts of up to 20% off
- Tow service
- Fuel delivery
- Locksmith service
- Battery service
If you enroll in Hertz Gold Plus Rewards® and you are also a AAA Member, you will enjoy the following benefits;
- Earn points toward free rental days and upgrades.
- Skip the counter and go straight to your car.
- Loyalty offers throughout the year e.g Discounts of up to 20% off
- Add an additional driver for free.
- Drop the keys and go to return.
- Choose from a wide selection of cars.
AAA membership fee varies depending on the membership type, location, and level of coverage. It ranges from $59.99 to $119.99 per year.
However, all Memberships include emergency roadside assistance, DMV services, trip planning, and discounts at hotels, restaurants, movie theaters, and more.
Take your experience with Hertz to insane levels by becoming an AAA member. Join now.
- Rent a U-Haul Pickup truck or van
If you don’t require extra seats and want to avoid this Budget young driver fee, you can get a U-Haul pickup truck. U-Haul charges a fee of $19.95 per day, plus $0.59 per mile.
U-Haul franchise is available in most parts of the country. Assuming the trip takes 1 week and the distance covered is 100 miles, the U-Haul cost adds up to; $19.95*7 + $0.59*100=$139.65+$59=$198.65. U-Haul does not charge young driver fees.
You can do your math and see if you will be saving something more so if your trip is local.
This can be a great way to save money on that trip and avoid Budget young driver fees.
Does Budget Have Any Other Hidden Fees?
There are some hidden fees that you should be aware of before using the service. This includes;
- Child seat fee
- Late return fee
- Additional drivers fee
- Return change fee
- Cleaning fee
- Admin fees
- Navigation fee
- Early return fee
The fees should not be a surprise to you. Make sure you inquire about any additional fees from your agent before that trip.
Concluding Thoughts
In conclusion, the Budget Under 25 Fee is an important charge that helps to offset the costs associated with renting to young drivers. The fee is necessary to ensure that all drivers are able to enjoy the same level of service and safety.