The security deposit hold works as a temporary hold on the cardholder’s credit card limit throughout the entire rental period. It is important to note that this is not a charge, but a security guarantee for the rental company. The amount simply remains unavailable for use until the vehicle is returned.
If the car is returned without damage or outstanding issues (such as fines or missing fuel), the full amount is released.
How is the security deposit amount calculated?
The amount is not fixed and varies according to the rental company’s and reservation’s criteria. The main factors that influence the amount are:
Vehicle category: luxury cars or SUVs usually require higher security deposits.
Specific rental company: each company may adopt its own criteria.
Protection plans purchased: adding extra coverage can, in many cases, reduce the security deposit hold amount.
Rental duration: longer rental periods may impact the amount.
Country or regional policies: local rules may also influence the amount.
What is the value of the security deposit block and how is it defined?
The value of the security deposit varies according to the rental company, the vehicle group, and the items contracted at the counter. It is important to note that this amount can be defined based on different factors, such as:
Vehicle category: luxury cars or SUVs usually require higher deposits.
Specific rental company: each company can adopt its own criteria.
Rental duration: extended periods can impact the amount.
Country or region policies: local rules can also influence.
Why does the country where I'm renting influence the security deposit amount?
Local rules can impact the value of the security deposit block because each country or region can adopt different policies. This can happen due to factors such as:
Mandatory insurance: in some countries, extra coverage is required by law. Example: in Mexico, legislation requires that every rented vehicle has Personal Liability Insurance (PLI). As this protection is mandatory, the amount blocked on the card is usually higher than in countries where this coverage is not required by law.
Risk level: regions with a higher rate of accidents or thefts may have higher deposits.
Regulatory requirements: local authorities can determine minimum block amounts.
Local costs: exchange rate variations, taxes, or maintenance also influence.
Therefore, the same vehicle group can have different security deposit amounts depending on the country where you make the rental.
Where can I find the value of the security deposit block?
The approximate amount of the security deposit hold can be found on our website under “Important Information.” If the security deposit hold amount is not visible at the time of the quote, don’t worry! It will be informed at the time of signing the rental contract. However, it is important to be aware that this amount may change at the time of vehicle pick-up.
Below, you can find images that help identify the security deposit hold information.
How does the security deposit hold work?
The security deposit is processed when the vehicle is picked up, directly at the rental company’s counter. The process follows a standard cycle from pickup to vehicle return:
1. At the time of pickup
You must present a physical credit card in the renter’s name, and the rental company performs a “pre-authorization.” This amount is only held against your available credit limit.
Attention: Debit cards, cash, or third-party cards are not accepted for the hold.
2. During the rental period
The amount remains on hold against your credit limit throughout the entire rental period.
International trips: The hold is processed in the local currency.
No IOF tax: Since this is only a “pre-authorization,” there is no IOF tax charged at the time of booking. The tax will only apply if there is an actual charge for damages or fines.
3. At return and release
As soon as the vehicle is returned without damages or pending issues, the rental company requests the immediate release of the hold.
Release timeframe: The actual update of your available credit depends on your bank. It usually happens within a few days, but the official timeframe can be up to 30 business days (and may take up to two billing cycles).
What are the mandatory card requirements for the security deposit hold?
To guarantee vehicle pickup, the renter must meet the following mandatory requirements related to the security deposit hold and the card used for it:
Cardholder name: the card must be under the reservation holder’s name. If the driver does not have a card, check whether the rental company accepts a Financial Responsible Party, which is common in some operations in Brazil.
Physical credit card: it must be a physical card (virtual or digital cards are usually not accepted).
Credit card issued by a traditional banking institution: the card must be issued by a traditional bank. Some digital banks may be accepted at the rental company’s discretion.
Card type: it must be a credit card. Debit or prepaid cards are not accepted for the security deposit.
Available credit limit: the card must have available credit above the total security deposit amount.
Expiration date: the card must be valid for use.
International use: for rentals outside Brazil, the card must be enabled for international transactions. Remember that the hold is processed in the local currency of the country where the vehicle will be picked up.
What should you do if there are issues with the release of the security deposit?
If the security deposit amount is not released within the stipulated period of up to 30 business days, the customer should:
Confirm with the rental company if the release of the amount was properly requested.
Contact the credit card operator to check if there is any pending issue in the administrator's system or any irregularity in the process.
If the problem is not solved, it is advisable to open a request directly with the rental company, which should conduct an internal analysis and take the necessary measures for resolution. Depending on the bank's policy, this release may require specific follow-up.
What to do if the security deposit was charged and not just blocked?
If the amount was debited from the card, instead of just being blocked, the customer should follow these steps:
Contact the responsible rental company directly to request clarification and arrange for the refund.
Gather documents such as proof of payment, photos, and inspection reports.
If necessary, contact us for additional guidance.
Important Information
A separate security deposit hold is required for each confirmed reservation. Even if the rentals are consecutive with the same rental company, an additional independent hold will be applied for each new contract.
It is important to note that Rentcars does not directly process the hold or release of the security deposit. This is a financial transaction that is the sole responsibility of the rental company and the card issuer bank.
The security deposit is processed at the time of vehicle pickup.
The release of the amount is not immediate and may take up to 30 business days, depending on the rental company’s and the issuing bank’s policies.
It is important to note that Rentcars does not directly process the hold or release of the security deposit, as this responsibility belongs exclusively to the rental company and the card issuer bank.