Dosh dilemma: Sam’s cheap car hire wasn’t so cheap after all

Sam was excited about his family holiday to Spain. Before he travelled, he found a hire car online for £180 for the week.

It looked like a great deal, so he booked it straight away.

But when Sam arrived at the airport to collect the car, he got an unexpected surprise. The person at the desk asked if he wanted to buy the company's insurance.

Sam said no. He thought everything was already sorted because he'd booked and paid online.

Then he was given two choices.

He could either:

• pay £320 for the car hire company's insurance
• leave a £1,500 deposit on his credit card

Sam wasn't happy with either option. He didn't want so much money tied up on his credit card, especially while he was on holiday. But he also didn't want to risk a big bill if the car was damaged.

Feeling tired after his flight and with other people waiting behind him, Sam decided to pay for the insurance.

His £180 bargain had suddenly cost £500.

When Sam got home, he told a friend what had happened.

His friend asked why he hadn't bought excess insurance before he travelled.

Sam had never heard of it.

After looking into it, he discovered he could have bought a policy for around £35 before his holiday.

Well Sam, lots of people are caught out by unexpected costs when they collect a hire car. That's why it's important to check exactly what's included before you book.

Before you travel, it's worth checking:

• what's included in the price
• whether you'll need to leave a security deposit
• how much you'll have to pay if the car is damaged
• whether buying excess insurance before you travel could save you money

When you collect your car, don't feel rushed into making a decision.

Take a few minutes to ask questions and read the paperwork before you sign anything.

It could save you a lot of money and help you avoid an expensive surprise.