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I found a way to cut extra rental car fees with a little-known Costco benefit – a hidden trick can get you money back


I found a way to cut extra rental car fees with a little-known Costco benefit – a hidden trick can get you money back

Drivers rejoiced when they discovered a hidden Costco car rental hack that gave them perks and cash back across the store.

Several car rental customers said they liked the Coscto benefit, which is hidden in a tab on the company’s app.

Costco members said they saved money while traveling using the app (symbol image)

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Costco members said they saved money while traveling using the app (symbol image)Photo credit: Alamy
The store's new travel offers provide discounts for drivers and cashback opportunities (symbol image)

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The store’s new travel offers provide discounts for drivers and cashback opportunities (symbol image)Photo credit: Getty

The wholesale-focused store has ventured into affordable travel options for its customers.

Costco Travel is a members-only section of the store’s app that offers one-stop shopping for any vacation.

Customers can rent cars, book hotel rooms, purchase cruise tickets and find resort reservations.

Drivers in particular praise the app as a time and money saver.

A reader recently wrote an email to the US Sun praising the hidden app.

“I’m a Costco guy and a lot of people don’t know they have car rentals,” a reader named Eddie said in an email.

“You can do it through the travel tab on their website. It amazes me how many people don’t know you can do it through Costco.”

Eddie isn’t the only one who speaks highly of Costco.

“At Costco, prices on rental cars and travel packages are often lower than AAA, AARP and other member organizations that offer travel discounts,” said one Costco Travel user on X.

Another driver posted on Reddit that he appreciates the app’s ease of use when rental prices fluctuate.

“Not a good day,” moans a driver who was wrongfully towed from a vacation rental – he was charged $175 that he will never get back

“You can change your reservation without penalties if a better deal comes along before your rental date,” the Redditor added.

“We recently saved about $400 just by checking prices a few months after reserving the car.”

Costco also offers drivers the opportunity to add a free second driver, purchase cheaper rental car insurance, and even count some rental car purchases toward the cash back program.

The company offers drivers 3% cash back when they use the Costco Anywhere Visa Card from Citi.

However, the app has some limitations.

Things to consider when renting a car

According to The Boston Globe, anyone renting a car should take a few minutes to check a few boxes before deciding on a rental car.

  1. Remember that car rental companies are responsible for making sure the cars are in good working order, and if you ever find yourself in a situation where you have to wait more than 90 minutes for a tow truck, they advise you to leave the keys in the rental car and ask for a refund if other transportation options are available (such as a ride from a friend, Uber, or Lyft).
  2. Be wary of roadside assistance packages. Most packages cover cases like forgetting your keys in the car or running out of gas, but mechanical problems are the company’s responsibility.
  3. However, an accident is the responsibility of the renter and will be billed to your insurance and not to the company.
  4. Certain memberships, such as AAA or AARP, may qualify you for a discount on rentals.
  5. Some companies will offer insurance for a small fee even though you are already covered by your personal insurance. Before declining rental insurance, you may want to double check that your insurance covers the rental.
  6. To protect yourself from claims for damages from the company, carry out a visual inspection of the vehicle before leaving the premises.
  7. When returning the vehicle, make sure that the fuel level is as close as possible to the level it was at when you left to avoid a fuel charge.
  8. Research different car rental companies before choosing one. Some may have better reviews or guarantees than others.
  9. Maintain all contact via email or text message in case a claim needs to be made later.
  10. If you notice any scratches or dents on the vehicle, be sure to take photos with a time and date stamp to avoid claims for damages.

Source: The Boston Globe

Costco has contracts with four car rental companies: Alamo, Avis, Budget and Enterprise.

While the supermarket says the app forces landlords to remain price competitive, other, cheaper options could enable even cheaper rentals.

The US Sun found examples of low-cost car rental chains like Thrifty Car Rental that offer even cheaper prices than Costco.

However, if customers are already Costco members and value the cash back program, clicking on the Travel tab can be a financially sensible move.

The US Sun has reached out to Costco for comment on this story, but the company did not immediately respond to our request.

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