Start early — at least two months before your vacation. Then visit Kayak.com or Expedia first. This will give you a ballpark figure of what your rental will cost. Kayak and Expedia are aggregators — that means they comb through all of the car rental companies and compile the deals in one place. The results from that search will give you the best price available — the price you want to beat.
2. Book as early as possible.
The key here is to book a REFUNDABLE rate. That way you have locked in the best deal you could find but still have the flexibility to find something even cheaper. Then, two weeks before your vacation, check prices across the rental companies again. Do it again one week ahead. And then the day before. Rental agencies tend to run specials when they have a lower than expected demand for car rentals. When you find a deal, rebook at the special rate and cancel that refundable reservation.
3. Check Priceline after step 2.
You might be able to snag an even better deal. Bid low; you can always bid again in 24 hours if your bid is rejected. Pricelinerentals are non-refundable, so no more price checking after this!
4. Decline extra rental car insurance.
Check your own car insurance policy to see if it covers collision damage on a rental car. The American Express credit card and many other premium credit cards cover auto insurance for car rentals. Check your travel insurance, too. Chances are it covers car rentals.
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