However, the old rule that “you cannot rent a car without a credit card” is no longer generally true. Many rental companies now accept debit cards for at least some vehicle categories. What matters are the conditions applying to the specific rental.
Paying for the Rental and Providing a Deposit Are Two Different Things
If you pay for your rental online using a debit card, this does not necessarily mean that the same card will be accepted for the security deposit.
The deposit protects the rental company against additional charges, such as fuel, extra rental days or booked extras. It should not be confused with the insurance excess that may apply in the event of damage.
With a conventional credit card, the deposit is normally reserved against the available credit limit. Debit cards can technically be used for this purpose as well. Depending on the bank and card system, the corresponding amount may be reserved or temporarily blocked against the funds available in the bank account.
Is a Credit Card Really Safer for the Rental Company?
A common explanation for requiring a credit card is that it provides the rental company with greater security than a debit card. From a technical point of view, this is not necessarily the case.
Visa explains that Visa Debit and Visa Credit can both be used for car rental pre-authorisations. Once a pre-authorisation has been approved, rental charges and deposits can be reserved using either type of card.
With Visa Debit, the amount reduces the funds available in the linked bank account, including any available overdraft facility. With Visa Credit, it reduces the available credit limit. In fact, the amount available through a debit account can sometimes be higher than the credit limit on a credit card.
This does not mean that travellers have a general right to have a debit card accepted. Rental companies can still specify credit cards for particular locations, rates or vehicle categories. Their rules may reflect internal procedures and their own risk policies rather than a technical limitation of the debit card itself.
Arguing about the technical capabilities of your card at the rental desk is unlikely to help. The conditions applying to the specific booking are what ultimately matter.
Visa Debit Is Not Visa Credit
Both cards may carry the large VISA or Mastercard logo. The important distinction is whether the card is marked Credit or Debit.
Credit means that the card has a credit facility provided by the issuing bank. Debit means that the card is directly linked to a bank account. The designation itself says nothing about how much money is actually available.
Prepaid cards are another category. These can only be used up to the amount previously loaded onto the card and are particularly likely to be excluded for car rental deposits.
The Visa or Mastercard logo alone therefore does not tell you whether a card will be accepted as security when collecting a rental car.
Why Some Rental Companies Even Require Two Cards
The more expensive the vehicle, the stricter the conditions can become. This applies particularly to premium and luxury cars, large SUVs, some sports cars and convertibles.
The deposit and payment conditions of Enterprise Spain illustrate how much the requirements can vary. Debit cards are accepted for various vehicle categories, but additional requirements apply to certain higher-value groups. In some cases, two bank-issued cards are required and at least one must be a credit card.
The deposit can also depend on the vehicle category. Enterprise, for example, lists a €200 deposit for many standard vehicles and €500 for certain large SUVs and luxury vehicles.
SIXT also explains the differences between credit and debit cards for deposits in Spain. The precise requirements may vary according to country, rental location, vehicle category and rate.
The lesson is simple: Do not just check the rental company. Check the vehicle category, collection location and conditions of the specific rate.
Credit Cards Can Even Cost the Merchant More
Card processing costs do not provide a simple explanation for rental companies preferring credit cards either.
Under EU rules on interchange fees for card payments, interchange fees for certain consumer cards are generally capped at 0.2% for debit cards and 0.3% for credit cards.
The interchange fee is only one component of the merchant’s overall cost. Additional charges can apply depending on the payment provider, type of card and country in which it was issued. Different rules also apply in some cases to commercial cards, certain three-party card schemes and cards issued outside the European Economic Area.
A credit card is therefore not preferred simply because it is inherently cheaper for the rental company to process.
Paid for the Car – but Still No Car
Bookings made through car rental comparison sites and intermediaries can be particularly confusing. The rental itself may be paid for without difficulty using Visa Debit or Mastercard Debit. The actual rental company at the destination may nevertheless require a credit card or a particular type of card for the deposit.
The booking intermediary and the company handing over the car are not necessarily the same business. Before completing a reservation, check the conditions covering the deposit, accepted payment cards and vehicle collection.
We discuss other common problems in our guide to car rental on Mallorca and the tricks to watch out for.
Reisebuch.de Tip: Check Before You Book
If you do not have a conventional credit card, check the following before confirming the reservation:
- Is Visa Debit or Mastercard Debit explicitly accepted for the security deposit?
- Does this apply to the vehicle category you are booking and the specific rental location?
- How much is the deposit?
- Does the card have to be in the main driver’s name?
- Must the physical card be presented?
- Is one card sufficient, or are two required?
- Are prepaid or virtual cards excluded?
- How long can the security deposit remain reserved?
The crucial distinction is between “debit card accepted for payment” and “debit card accepted for the security deposit.”
A Debit Card Deposit Can Tie Up Your Travel Money
Even when a debit card is accepted, there is a potential disadvantage. If a substantial amount is reserved against your bank account, that money may temporarily be unavailable for hotels, restaurants and other holiday expenses.
With a credit card, the reservation initially reduces the available credit limit instead. That limit must, of course, be high enough. Existing hotel pre-authorisations or other deposits can also reduce the amount still available.
Our separate guide explains why a credit card can still be useful when travelling despite the rise of debit cards. Hotel pre-authorisations are covered in more detail in our guide to paying at hotels and choosing the right payment method.
Reisebuch.de Tip: Save the Rental Conditions
If you choose a particular rental specifically because it accepts debit cards, save the relevant conditions as a screenshot or PDF when you make the booking.
When using an intermediary or comparison portal, it is worth saving both the intermediary’s conditions and those of the company actually supplying the car. Rental conditions can change, and having a copy at least allows you to show what applied when the booking was made.
Renting a Car Without a Credit Card Is Possible
Travellers who only have Visa Debit or Mastercard Debit do not necessarily have to give up the idea of renting a car. Debit-card options are more likely to be available for ordinary vehicle categories. Premium cars, luxury vehicles, large SUVs and convertibles are more likely to come with stricter requirements.
The key rule is straightforward: Before booking, make sure that your card is accepted not only for payment but specifically for the deposit on the vehicle you are booking at the chosen collection location. Also check the amount of the deposit, your available funds and whether a second card is required.