Gas Prices Rise, Rental Car Gas Becomes Cheap

Tyler Cowen points to gas prices higher than a rental car company’s price for refilling your tank.

    Gas at the pump in downtown Birmingham: $3.99/g.

    Gas from Hertz when you return it: $3.05/g.

Still, be careful out there — there may be other costs besides per-gallon costs, such as flat service charges on gas refills. And this doesn’t mean you should “prepay” the gas which requires you to return the car empty in order to make out well since you’re prepaying an entire tank of gas (again, check the service fees).

About Gary Leff

Gary Leff is one of the foremost experts in the field of miles, points, and frequent business travel - a topic he has covered since 2002. Co-founder of frequent flyer community, emcee of the Freddie Awards, and named one of the "World's Top Travel Experts" by Conde' Nast Traveler (2010-Present) Gary has been a guest on most major news media, profiled in several top print publications, and published broadly on the topic of consumer loyalty. More About Gary »

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  1. Actually, it’s even better. Some companies have year-long contracts that state the refueling rate. I just came from Hawaii, where the stations were asking over $3 but I paid just $2.20.

    I suppose after this year’s volatility, this is the last year such negotiated rates are likely to be competitive.

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