Drop-off charge

A drop-off charge, or inter-city fee, is a fee that car rental companies charge for one-way rentals, when a vehicle is returned to a location different from where it was picked up. It helps companies recover the cost of repositioning the car and adjust fleet availability across branches.

Drop-off fees are typically listed alongside the tariff, which includes the base rental price as well as additional charges like fuel, taxes, or insurance. The amount depends on several factors, including the pick-up location, the return location, and the season or time of year. If a renter is required to pay a drop charge, the cost will always be disclosed during the booking process, be it offline or online—for example, via car rental reservation systems.

For travelers, understanding drop-off charges is important when planning longer road trips or multi-city itineraries. Like ancillary revenue in airlines and hotels, these fees contribute significantly to overall rental revenue, which is why companies use them as part of their broader pricing strategy.