Was watching one of those couples who travel the world for a living ion youtube and they went to Ireland. The rental car company put a $5000 freeze on their credit card in case of problems. they bought all the insurance available. $5000 seemed steep.
has this happened to you? How much did they freeze ?
thank you for any info,
Are you sure that they bought all the available insurance from the rental company? Holds are more common when you’re “self-insuring” or using a separate insurance provider. Or it might go as high as the deductible on the purchased policy. https://www.ricksteves.com/travel-tips/transportation/car-rental-cdw
That's how hotels, rental car companies, etc. make sure they will get paid at the end end their contract. You would be surprised, as I was, at how many people not only try to skip out on their bill but also stupidly try taking a TV set with them as a souvenir or call for a bell hop to carry their bags. The other pet trick is using a credit card that has been drained past its credit limit. As a results many places put a hold on your credit card when you check in or pick up the car, it is just done discretely and most folks never know it happened.
I own a motel so I understand a hold on a card to make sure you get paid.
I will link the video here.
https://www.youtube.com/watch?v=niG0i9zf3BY
I had heard of this before that some took a hold but $5000 seemed very high.
I’ve never had a hold placed on my card on any of my European trips. On some we’ve gotten full coverage (Ireland, Sicily) for piece of mind, while on others we’ve gone through Allianz. We use Avis and it doesn’t hard sell insurance. Most of the time it’s more a passing question the representative asks.
We rented from Alamo on our Ireland trip in 2019. They didn't put any hold on our credit card and it was 28 day rental.
I dont think you are notified if a hold has been put on your card. It doesnt show up on your statement since its not a charge. You only find out if you hit your limit.
Holds are common where you are given services or goods, but have not yet paid in full. You see them at the gas pump, hotels, rental companies, and others, but they can be handled different ways. Some you may know about, others are done and cleared without you knowing.
I have had hotels put a hold on some amount less than the bill (maybe a nights stay or a couple hundred), and have had rental cars process payment for the estimated amount as a hold, adjusting and finalizing on return. To a degree, the hold does verify the card works and will assure any payment is within the credit limit.
I have not had a large hold placed on a car rental, but it is a common practice, especially where insurance is waived. It serves as a damage deposit.
This was the 2nd time I had heard of large holds on cards. I wonder why they held $5000 on their card ?
I knew I had seen it before
https://community.ricksteves.com/travel-forum/ireland/credit-card-deposit-for-rental-car-in-ireland
The amount of the deposit is up to the rental company. I suppose they could go as high as the value of the vehicle or as high as the insurance deductible on the value of the vehicle (ie: 20% deductible, $25,000 car value=$5000). I have heard people talk about 2000, 500, and 250 euros as deposit in Ireland; and many rental agencies make a point of advertising "No Deposit"
As I mentioned, it is more common for me to see a hold placed on the cost of the rental, then the amount is finalized and processed on return.
For me, it is no issue, it is just a hold. It really is only a problem if it comes close to maxing out your only credit card.
For me a $5000 hold would be rough. Our card that we use when traveling has a $7500 limit so with the price of the rental for a month and the hold and the insurance it would be more than the max. I will have to put $ on my card before I go I guess unless I can find out about the hold ahead of time.
I wouldn't want to travel with just one credit card. It's a good idea to have a back-up, because stuff happens. Of course, if something did happen to one of the cards, you'd potentially be back in the same pickle.
We've never had a hold placed on our CC when renting thru AutoEurope.
A craven., I have a second card with a $2000 limit we never use unless as a backup.... my mom also has a card with $20,000 limit she brings but we usually use debit cards only as we like to pay as we go with cash.
Robert. Thank you. Will look at Auto Europe. We used them in the U.K.
My cards don’t cover Ireland so I was going to buy their insurance anyways. Hopefully that won’t amount to a high hold.
Numerous trips to Ireland and used a couple of different credit cards. Bought rental car insurance from the agency and never had a hold put on these cards. One was Amex and the others were MasterCard.
Good to know Gail. Thanks for letting me know.
