The Office of the Director of Consumer Affairs (ODCA) is to warn car hire firms in Ireland over charges that are not clearly highlighted on their websites, writes David Labanyi
It follows an ODCA investigation of complaints from motorists about extra charges that were not clear when cars were booked on the internet. It is now writing to the firms warning them that information provided on their websites must be clear and accurate.
One car rental company has already been instructed to change the information on its website and the ODCA is now writing to the Irish Car Rental Council requesting that all firms in the sector ensure the clarity of their pricing information.
The ODCA and the European Consumer Centre (ECC) in Dublin both reported an increase in complaints from motorists over "hidden costs" or extra charges for alleged damages.
More than 40 complaints have been made to the ODCA so far this year with a further 22 cases being handled by the ECC.
Mary Denise O'Reilly, a spokeswoman for the ECC, said car hire complaints were increasing steadily. "So far this year we have 22 complaints, which is high considering most people haven't taken their two weeks in the sun yet. In 2005 we had 42 complaints, and that was up on the previous year too," she said. The ODCA received 91 complaints about car hire firms in 2005.
Ms O'Reilly said the main problem was confusion as to the total cost of the car, with internet details often differing from the final charge.
"One example was a consumer living in Ireland who hired a car in Italy. When he picked up the vehicle in the airport he was charged what he thought was the total price but it didn't include the cost of airport taxes, licence and fees and 'other surcharges'. They added up to a couple of hundred euro extra."
This case was referred to the ECC office in Dublin, which secured a refund on behalf of the driver. Ms O'Reilly said disputes over additional charges for damage to vehicles were also frequent.
"We recently handled a case from a British driver who hired a car in Ireland and was charged over €300 for scratches he claimed not to have made on the rented vehicle.
"The centre argued that the rental company did not complete a damage report and therefore could not apply the charge. This was upheld by an arbitrator in Ireland and a partial refund was secured for the driver," she said.
Another problem is that some charges are made to the motorist's credit card later, after they have returned to their home country. To counter this, the ECC has recommended a time limit for the imposing of charges on a consumer's credit card.
"A lot of people don't know there is a complaints mechanism and because it is often just a few hundred euro they let it go."
The ODCA has previously contacted the Irish Car Rental Council (ICRC) to encourage its members to improve the transparency of their respective websites and has had to do so again following a rise in complaints.
However, the ICRC said the number of complaints remained very small given the size of the sector. ICRC spokesman Paul Redmond said fewer than 50 complaints were referred to the council last year. "To put that in context, on any given day in peak season - in August - you could have up to 24,000 rental cars on hire in Ireland. So the level of complaints we are dealing with is very, very small."
Mr Redmond said many complaints arose because of a misunderstanding of the charges involved. "As for damages, often someone will return a car and be rushing for a plane so sometimes it's not possible to do a damage report. If it's a new car and it gets a scratch, that car may need to be resprayed and many motorists wouldn't understand that."
Ms O'Reilly warned motorists not to sign a contract without reading the terms carefully and querying anything that was not clear.
She also advised them to agree in writing with the hire company the condition of the car before taking possession and after returning it.