Hire Cars

fryup

I notice that most hire cars are brand spanking new, do the hire companies buy them or lease them from the manufacturer or whats the story?

Cause if they buy them it must cost an absolute fortune> how would they make a profit?

Berty

Normally 6 months and an upper limit mileage. Normally leased from a dealership so then sold on as "Fleet is back" around September.

Some companies, like Enterprise, don't pay VRT until the vehicle is 6 months with them so they only keep them 6 months. Anything older than 6 months in the fleet goes out to Long Term Corporate rentals.

All from experience.

robtri

fryup wrote: »

I notice that most hire cars are brand spanking new, do the hire companies buy them or lease them from the manufacturer or whats the story?

Cause if they buy them it must cost an absolute fortune> how would they make a profit?

all depends really, but generally they buy them.....

a lot of hire car companies here are owned by garages... and i know a few garages that own hire cars in the good years where only doing it to generate second hand cars.......


Think of it like this...

a new car retails at €30k.....

hire car company could buy that car properly around the €26k mark(model and manufactureer dependant, some manufacturers offer large incentives for bulk buying)

If the car hire firm is registered as short term, they get a VRT rebate as well......

so the €30k car now costs them around €25k......

when they sell it after 9 months... they might get €24k for it..... so in the 9 months they own it they only have to generate an income of €1k to break even on cost of cars....... (excluding overheads and employees)

robtri

Beer Baron wrote: »

Normally 6 months and an upper limit mileage. Normally leased from a dealership so then sold on as "Fleet is back" around September.

Some companies, like Enterprise, don't pay VRT until the vehicle is 6 months with them so they only keep them 6 months. Anything older than 6 months in the fleet goes out to Long Term Corporate rentals.

All from experience.

VRT is always paid up front at a rebated level, cant remember the percentage reduction.... from the TAN account iirc

belcampprisoner

http://wiki.answers.com/Q/Where_rental_car_companies_buy_their_cars_from

keithclancy

Honestly I can never understand how renting a car in Ireland is so cheap.

We usually pay around 10-15 euros per day to rent a Corsa or something similar.

Anywhere on the continent your usually paying at LEAST 20 euros per day.

corktina

But car hire is generally cheap anyway. Nowadays we don't take the car to the UK< we fly in and hire. It's cheaper for two of us to do this than the ferry without even taking the petrol saving into account, and it's quicker too.

keithclancy

corktina wrote: »

But car hire is generally cheap anyway. Nowadays we don't take the car to the UK< we fly in and hire. It's cheaper for two of us to do this than the ferry without even taking the petrol saving into account, and it's quicker too.

Not here in NL or Germany ... its comparatively expensive.
Also they have kilometer allowances ... so if you go over X amount you have to pay / km on top.

E.G. renting for 7 days is most of the time cheaper than 5 if need the extra kilometers.

Bigcheeze

keithclancy wrote: »

We usually pay around 10-15 euros per day to rent a Corsa or something similar.

What makes me laugh is they try to charge you nearly the same to hire a sat nav worth €200 or €5 per day to hire a child seat worth €50.

keithclancy

Bigcheeze wrote: »

What makes me laugh is they try to charge you nearly the same to hire a sat nav worth €200 or €5 per day to hire a child seat worth €50.

Yes ... I am a bit sick of them pushing the extras at this stage.

The whole "SOMETHING WILL HAPPEN LIKE, IF SOMEONE KEYS THE CAR YOU'LL HAVE TO PAY THE EXCESS" and me explaining I have my own excess Insurance and then them going on about how it might be rubbish and I'll have to pay them anyway. :rolleyes:

barney 20v

keithclancy wrote: »

Yes ... I am a bit sick of them pushing the extras at this stage.

The whole "SOMETHING WILL HAPPEN LIKE, IF SOMEONE KEYS THE CAR YOU'LL HAVE TO PAY THE EXCESS" and me explaining I have my own excess Insurance and then them going on about how it might be rubbish and I'll have to pay them anyway. :rolleyes:

I had a look at prices and I'm shocked at how cheap it is... What's the story with insurance?

Our man in Havana

I generally just go for the "bring back the key" insurance. Peace of mind assured that way.

A-Trak

Going through a broker for both rental, extras & insurance is the way to go if hiring abroad.

I had a brand new V6 'vert Camaro, sat nav, unlimited milage & full excess for 3 weeks in the states.
Think it worked out at around just under €40 per day.

Would have been 2 or 3 times as much if I'd gone direct with the rental company.