Two readers wrote in regarding late returns and grace periods when renting a car. Reader Francine writes:

When I rented a car from National recently, there was no grace period for late returns. None! Is this the latest way they get you?

And reader Peter offers this story, and advice, from his recent rental with Budget Rent-a-Car in Montreal:

I was late getting out of Vermont and late getting the car back to the airport. When I arrived I discovered that I had signed a contract that stipulated $33.xx CAD/hour for being late on a $55/day rental. Further, since I was 2hrs 15 minutes late they claimed I was 3 hours late (the grace period disappeared) and they charged me for another DAY, stating it would cost me less than 3 hours of the late charge.

I haven’t had any luck getting Budget to discuss this with me. If you rent from anyone be clear at pickup 1) what constitutes late and 2) what it costs when you are.

Indeed, grace periods are no longer a given when it comes to late returns. Hertz cut their grace period in half a year ago, and others soon followed suit. Nowadays, you really need to know what you’re signing (and initialing).

In Peter’s case, I see only one possible “violation” here on the part of the company: The forfeit of the grace period. But even then, if he returned the car two hours late (instead of three), he’s better off paying a full day extra, rather than two hours’ overtime. It sucks, but those are the terms.

With contracts like this, if you signed for it, you’re on the hook. These hourly rates are one of the items you’re often asked to initial.

Not all companies are the same, though: Late-return policies vary by chain, with some chains offering no grace periods whatsoever.

Perhaps even more importantly, some companies reserve the right to retroactively change your rate to a higher level — for the duration of the entire rental — if you return the car late. If anything, Peter was lucky they didn’t change his rate for the earlier days as well!

The policies of each major U.S. chain, with key points highlighted, after the jump:
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It’s been nearly a year since I rented a car which actually came with a full tank of gas. Seemingly every time, the needle is hovering somewhere near 3/4 tank.

This always bugs me, because you’re supposed to return the fuel at the same level, and it’s quite hard to fill the tank to precisely 5/8 or 3/4 tank. Go below that point, and they’ll charge you extortionary fuel prices. Go above that line, and you’re giving a gift of gasoline to the company. Over time, I’m sure the company makes out quite well with this, charging penalties to some and pocketing free gas from the others. Win-win for them.

So now Budget and Avis have come up with a new way to annoy and exploit the renter, and they have the chutzpah to say that this is a convenience. Keith Alexander in the Washington Post reports:

To help offset gasoline prices, Budget Rent a Car is imposing an additional $9.50 charge on all vehicles driven fewer than 75 miles.
[...]
The new charge is aimed at renters who drive short distances and don’t fill up their tanks before they return because the gas gauge still reads “full,” even though the tank is a few gallons short. In the past, Budget filled the tank and billed the customer the highest rate. But now, Budget will impose the $9.50 charge even if the renter tops off the tank before returning the car. The charge will be removed only if customers show their gas receipt to a Budget agent, one traveler has already reported, slowing travelers often rushing to catch flights.

…and I’m sure they’ll be asking every customer for their gas receipt and happily volunteering to take that charge off. Sure. What a convenience!

Keep that gas receipt, show it to the attendant when you return the car, and watch the bill.