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There are many ways to get around, and renting a car is one of them. However, these days there isn't just going and renting a car; there are many different kinds of companies that can help you get your hands on a car for a short time. What is the difference between car sharing and basic car rental?

Car sharing is when a person rents a vehicle from another person in the area. However, this renting process is facilitated by a car-sharing company. Car rentals involve renting a car from a company that owns multiple vehicles that it rents out to customers.

There are many differences between car sharing and car rentals (as well as car sharing and ride sharing) . How the individual companies work, as well as age restrictions, costs, and how they handle maintenance is different.

How Does Car Sharing Work?

There are a few car-sharing companies that have popped up over the years. Instead of renting a car directly from a company, you are renting a car from a car owner in your area Car sharing companies will help people that want to rent a car find someone nearby who is willing to rent their car out. The company will facilitate payments and communication between the car's renter and owner.

Car sharing usually takes place over an app. Renters or owners who want to rent their car will download an app, create an account, and fill out any relevant information. When you want to rent a car, you use whatever car sharing app you have to find an owner close by with a vehicle that they are willing to rent. You then pick the car up from the appropriate place and use it until your time is up or you don't need it anymore.

How Does Car Renting Work?

Car sharing vs car rentals

Car rental companies are companies that own cars and rent them out to people. Unlike car sharing, where the company is the facilitator in the rental, the company owns the vehicle you are renting out. There are usually a few car rental companies in a city where you can go and get a car or reserve one ahead of time. There are usually a few near airports, some of which are even partnered with airports, so travellers can easily get a car when they are in a new place.

With car rentals, you usually call ahead or book a car online. You pick up the car at the rental agency, drive it, and then return it to the rental agency.

Age Restrictions with car sharing

You've probably heard all the time about how you can only rent a car if you're 25 years of age or older. This is not universally true. Having a minimum age of 21 is actually more common, and some car rental companies will allow drivers as young as 18 to rent cars.

Here's the catch: most companies that allow those younger than 25 to rent cars will have fees involved. A young renter fee will often be charged for renters ages 21 to 24, and an even larger fee is often charged for 18 to 20-year-old renters. Every car rental company is going to have different fees that it charges, and some may have younger or older minimum ages. This protects the cars because younger drivers tend to be more reckless.

With car sharing companies, the minimum age is also typically between 18 to 21. Though car-sharing companies don't typically have young renter fees, they may protect the company and the car owners from younger drivers in other ways. For example, the car-sharing company Turo has a minimum age of 18. However, renters younger than 21 years of age cannot rent cars that are valued at over $20,000. This is to protect the more expensive cars from young and reckless drivers.

Costs of car sharing vs car rentals

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The costs of car rentals and car sharing will differ quite a bit. However, it is impossible to tell which one will be more cost-efficient, because it depends not only on which company you go to, but also on how often you will be renting a car and how long you will use it.

Car rentals cost, on average, $81 per day. This is higher than ever these days because many car rental companies have sold many of their vehicles because of the COVID-19 pandemic. The supply of rental cars has decreased, so the price has increased.

Car sharing companies each have different rates, and the costs will also differ depending on how much the car you rent is worth. Car sharing will often rent out cars by the hour or even by the minute instead of by the day. They will also have weekly or monthly plans for renters who will drive a lot. Some will also allow you to rent by the day or may have a fee for each mile you drive. Each company is going to handle it differently in different places.

The costs of car sharing are also going to include membership fees. Most car sharing companies will require you to pay at least one joining fee, usually around $30. They also may charge yearly membership fees.

Some car rental or car sharing companies will have gas, mileage, and/or insurance included in the price, while others will not. Some car rental companies will require you to fill up the gas tank before dropping the car off or pay a fine.

To decide whether to rent a car or use a car sharing service, you will need to look at the rates in your area. They can change based on the cars that are available. Consider how long you are going to rent the car. Look at a few car rental companies and car sharing services to decide which one has the best price. When renting a car or using car sharing, one will not be inherently cheaper than the other.