Why Security Deposits are Important (The Truth...)
Our main goal at Veluxity™ is making sure every client (or potential client) that calls into our offices hangs up that phone feeling like they have a better grasp on how all of this stuff works. Renting an exotic car can be an unbelievably exciting experience, but it can also end in catastrophe.
The truth about renting an exotic car is...
It's an incredible experience, but one that should never be taken lightly.
Renting moving capital that are as expensive as most couples starter homes can be extremely stressful for rental companies.
Have you ever thought of it that way? That Aventador you hop behind the wheel of costs about the same as a 4 bed, 4 bath 3k sq ft home in North Carolina. It's more or less a house on wheels...
The reality is, many companies in the Miami, NYC, Chicago and Las Vegas markets are crippled with overhead. Oversaturation of various markets throughout the US have led to a drop in prices and...you guessed it! A loosening up of the policies that keep you (the client) safe and keep us (the rental company) covered in case of an accident or damage to our vehicle.
If you're considering renting an exotic car or have rented an exotic car in the past, chances are you've taken notice to the security deposits most companies hold. The deposits can range from no deposit at some companies to as high as $10,000 at others which means this specific policy is at the rental companies own discretion.
Before we dive into our list of a few things you can do to hopefully prevent yourself from ever having to lose this deposit on a rental, we wanted to touch briefly on why security deposits are important to both you and the company you're renting from.
Many clients that call into Veluxity, whether it be Miami, NYC, Chicago or Las Vegas often bring up the fact that some of the companies they've seen offer no security deposit AT ALL (we hold a $1k deposit).
More often than not competing companies use the deposit as leverage to convince the client to rent from their company as opposed to the competitor. Unbeknownst to the client, there is a big reason why they SHOULD care about a deposit being held...
If a company does not hold a deposit, what type of condition do you think there fleet is in? When someone scratches a wheel or dings a door, do you think they fix it? How could they with no way to retrieve any of the funds from the clients? The answer to these questions are: The fleet is not maintained well, they do not fix blemishes, and they often have no recourse when incidents do happen.
Our society has taken a monumental shift to an age where delaying or denying responsibility for things has become more and more frequent. The truth is, if we don't hold deposits, when rims do come back scuffed and doors come back dinged most clients will deny any level of responsibility.
Now...do we blame them? Ofcourse not, why would you want to shell out an extra 100$ for a rim you scuffed if you don't recall scuffing it. We understand that logic, we are human too. But, we're also sitting in and driving these vehicles more than we sit and spend time at our own homes, these cars are our second home of sorts , that's how often our employess are in them. So, 99.9% of the time if we say you scuffed that wheel, you scuffed it!
Like anything else in life, you have to weigh the positives of an option with negatives. Renting the cheapest exotic car you find will save you a few hundred dollars up front, but if it has 45k+ miles, scuffed wheels, check engine lights, worn tires and damaged bumpers do you really think you'll feel like you got a good deal?
When it comes to rentals good rentals aren't cheap and cheap rentals aren't good! Always keep that in mind! Until next time...