Planning on renting a car in the United States? Excellent choice! We think that the U.S. is best explored by road-tripping, as it means you can explore at your own pace and venture off the beaten path. And if flexibility is important to you (like it is to us), then it’s the way to go, as you can create your own itinerary.
That said, before you rent a vehicle and start driving in the mighty USA, you probably have a few questions you want answered. Well, that’s where I come in. I was born in and lived in San Francisco, and have rented a car here (as well as in Phoenix) on many occasions. So, I know the rules of the road here, the best road trips to take, and how to avoid the hidden fees from car rental agencies here.
So, below, you will find an extensive list of 10+ things you should know before renting a car in the United States. Hopefully, it will make the process much easier for you.
What are the rules for renting a car in the United States?
The most important thing you will need if renting a vehicle in the United States is a valid driver’s license. No company will allow you to do so without one.
And if you are traveling from a non-English-speaking country (i.e., your license is in another language), you might want to get an international driver’s license to make the rental process easier.
Drivers typically need to be at least 21 years old to rent a car in the U.S., though some companies might require a minimum age of 25. Young drivers under 25 may incur a surcharge.
Each company has different terms and conditions, so you should be fully aware of them. This is where options like RentalCover rental car insurance may come in handy,
Additionally, you will also likely need a valid credit card, as most rental companies will want to keep a credit card on file as a holding deposit. If you have a debit card, you will be charged a holding fee. Please note that some companies do not accept a debit card.
Some other points worth noting before renting a car here are that you CAN take your rental car across states, and most rental cars are automatic, and if you require a manual (stick shift), then you need to book it in advance.
🚗 TOP TIP 🚗 We always book our rental car through Discover Cars – which is a search engine for rental cars and allows you to filter by price if you’re on a budget or by vehicle type if there’s a specific car you’re after.
Do you need an international driver’s permit to rent a car in the USA?
As I said, if you are traveling from a non-English country, you might want to get an international driver’s license (IDP) to make the rental process easier.
An IDP can be a helpful document to carry as it serves as an official translation of your license and can help avoid any language barriers.
What’s the cost to rent a car in the United States?
The cost of renting a car in the U.S. will vary based on several factors, including the type of car, the duration of the rental, and where you’re renting the car from.
On average, you can expect to pay between $30 to $100 USD per day for a standard car.
Larger cars like SUVs or vans will cost more, typically ranging from $200 USD per day.
Prices will also vary depending on the time of year. You will notice higher rates during peak tourist periods (like in July and August). Additionally, extras such as insurance, GPS navigation, and child seats will more than likely incur additional costs.
My top tips for driving in the U.S.
First off, remember that they drive on the right side of the road. And it’s important to adhere to speed limits, which are posted in miles per hour.
These are the general speed limits across the USA:
- In cities: 25 – 35 miles per hour
- On highways: 55 – 75 miles per hour
- Interstate roads in rural areas: up to 80 miles per hour, depending on the state
You will need to wear a seat belt at all times; this is mandatory in all states.
You will also need to watch out for traffic signals and signs, especially those indicating school zones and pedestrian crossings.
It’s also important to understand the concept of four-way stops, where the first vehicle to arrive has the right of way. And remember that you will be overtaking on the left – only when it’s safe to do so.
How to avoid extra charges when hiring a car in the USA:
For any traveller to the USA, hiring a car opens them up to some of the best road trips in the world. From cruising along California’s scenic Pacific Coast Highway to driving through the deserts of Arizona or the national parks of Utah, having your own wheels gives you freedom that public transport just can’t match.
However, many tourists don’t realise that vehicle hire can be more expensive than they think. In fact, given the way the industry works, they can often find themselves with a nasty surprise when they receive their final bill after returning the motor.
Extra charges catch out plenty of travellers, especially those visiting the country for the first time. Thankfully, most of these fees are easy to avoid just by understanding how they are applied.
Why are extra charges so common with US car rental companies?
In the USA, extra charges are common. That is because car rental prices are advertised as a base rate, with optional add-ons layered on later. These charges can include:
- Taxes
- Airport surcharges
- Insurance options
- Fuel policies
- Driver fees
These costs can quickly add up, especially when applied over multiple days. Indeed, many travellers arrive tired, keen to get on the road, or make quick decisions without fully understanding what’s already covered. This is where options like RentalCover rental car insurance often get overlooked, even though they can reduce the need to purchase expensive insurance sold at the desk.
If you are hiring a vehicle from an airport, car rental surcharges may also apply. Most major US airports add concession fees that increase the overall cost. Therefore, you should be aware that even though the daily rate may look cheap online, the final cost could be much higher.
What are some hidden fees to watch out for?
Hidden fees can severely dent your travel budget. Therefore, the best way to counter them is to be aware of what they are. Some of the main hidden fees to watch out for include:
1. Insurance add-ons at the counter
Car hire insurance in the USA causes the most confusion for overseas travellers and can end up costing you a lot of money if you don’t know your stuff.
Most rental companies offer Collision Damage Waiver, Loss Damage Waiver and liability cover as part of their package, all of which are usually presented as essential.
These are the different car hire insurances offered by rental agencies:
- Collision or Loss Damage Waiver: Provides protection against damage to or theft of the rental vehicle.
- Supplemental Liability Insurance: Offers coverage for damage to other vehicles or property.
- Personal Accident Insurance: Covers medical expenses for you and your passengers.
- Personal Effects Coverage: Protects against theft of your personal belongings inside the car.
However, it’s worth checking if you already have cover through your travel insurance, credit card, or a separate car rental policy. So that you don’t end up paying for extra cover that isn’t needed.
2. Fuel policies and refuelling charges
Excess fuel charges are another common trap you may fall foul of, and they can vary by company.
Although the thought of prepaid fuel might sound convenient, more often than not, it is more expensive than filling the vehicle up yourself. You should also be aware that returning the car without a full tank can often result in you being hit with refuelling fees that are well above local petrol rates.
Therefore, it is advisable to take a quick photo of the fuel gauge when you pick the car up and drop it off to avoid disputes later.
Please note that fuel prices at gas stations here are listed per gallon (1 gallon = 3.8 liters).
3. Extra driver and young driver fees
In the USA, additional driver fees apply per day. They are not a one-off charge that covers the entire duration of your rental. Yep, it’s a daily charge.
As a result, they can quickly add up if you choose to include one or more people in the car hire. Thankfully, some states, including California, Illinois, Missouri, Nevada, Oregon, and Wisconsin, legally require rental companies to waive extra fees for a renter’s spouse. This means they are automatically authorised as drivers if they meet certain age and license requirements.
And as I said earlier, young driver fees apply to all drivers under the age of 25. This can significantly increase the overall cost of the rental if you include people under that age in your agreement.
4. One-way rental and location return fees
The option for one-way rental is now commonly available from most companies here, thankfully. However, picking up a car in one city, for instance, Seattle, and dropping it off in another, such as Las Vegas, almost always costs more.
This might be a cost you are prepared to bear to enable you to see more of the country. However, you should be aware that some destinations will cost more to drop the car off than others.
Therefore, if your itinerary is flexible, you might want to check which pickup and drop-off combinations will provide you with the best deal.
My tips to avoid paying more than you should:
If you do want to hire a car during your trip to the USA, there are a few things you can do to reduce the overall cost of your rental and avoid paying extra charges.
- One of the best ways to keep costs down is to book as early as possible. When we’ve booked 2-3 months in advance, we’ve been able to secure a better price and have more choice of vehicles.
- When booking, make sure you check the total cost of the vehicle, rather than the daily rate. This will show you what you’ll actually pay once fees are included, which is important as it will help you to budget better.
- Try to avoid car rental add-ons unless you know you really need them. Things like GPS and roadside assistance. Often, they are unnecessary when your phone and existing cover already do the job.
- If you made your booking online, definitely save screenshots of your confirmation and inclusions. This will be very helpful in answering any questions you might be asked when you pick up the vehicle.
Thanks for Reading!
Traveling through the vast United States is an adventure in itself, and renting a car is one of the best ways to make it even more memorable. It gives you so much more freedom to just drive around as much and as often as you like, playing your favorite tunes and making memories to last a lifetime.
You may also enjoy reading my other car rental guides –
Planning a Road Trip in Europe? Common Mistakes to Avoid When Renting a Car In Europe
What You Need to Know About Renting a Car in Costa Rica
Best Road Trips in Mallorca (+ Renting a Car in Mallorca Guide)
Best Road Trips in Madeira (+ My Guide to Renting a Car in Madeira)
Last Updated on March 17, 2026 by snaphappytravel