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Turo is an app-based peer-to-peer platform that gives drivers an alternative to renting a car from car rental agencies. Turo claims that booking a car through them can be about 25% cheaper than renting a car from bigger companies. Is Turo cheaper than car rental? 

Price is the most significant factor in deciding what services to use, especially when it involves your form of transportation. Turo is expected to save you 30% compared to other traditional car rental companies. It's a win-win, and you can pocket your savings or upgrade to a more expensive ride.

Turo is one of the most cost-friendly car rental services, but it only makes sense to compare their services to other car rental companies. Continue reading as I compare Turo to five other car rental agencies, so you can be sure you will be making the right choice!

Is Turo Cheaper Than Car Rental?

Before comparing Turo’s rates against other car rental companies, let’s first have a look at the main differences between them.

The Biggest Differences Between Turo And Car Rental Companies

While price is the biggest factor in deciding the finalization of most transactions, some service features will usually convince renters to lean towards one way or the other, regardless of how much less or more it will cost compared to other services. 

The first thing that sets Turo and other car rental agencies apart is that you, the guest, will rent the car directly from the host, the owner. 

This is one of the most crucial aspects that will influence the pricing of Turo rentals, as the host can set their price or go with Turo's pricing recommendations. 

Being able to return a rented vehicle to a different location is not an essential service for all renters, but Turo won't be the best option for you if you have another destination in mind. 

However, Turo will come in very handy if you have no choice but to drop the car at a different location. 

And, some people are more than willing to pay a little extra money for this convenience. 

People are starting to rely more and more on secured bookings from big car rental agencies, as they have several vehicles. The chance that they might be left without a ride because of some issues with cars is on the smaller side. 

Because Tur does not have several cars and options, the guests are often encouraged to book an economy class car in advance. 

It appears that the lack of more affordable cars with lower rates is a common problem in some areas.

Turo Rates

With some insight into what influences the prices when you choose Turo, I can break the prices down, so you will know exactly what prices to expect when making use of booking a vehicle through Turo:

Trip Price

$40 fixed rate.

Trip Fees

The trip fees are calculated in the form of a percentage of the trip price upon check out. According to Turo, it also depends on factors such as the lead time of the booking, the trip's duration, as well as the value of the car.

Type Of Protection Plan

The protection plan fees will depend on the type of plan you purchase. For a top-level protection plan, you will pay a minimum of $14 per day. 

You can also choose some cheaper protection plans, such as the forgo protection.

Tax Fees

The taxes will depend on the US state. The tax fee will include unlimited miles. 

However, some hosts have a limit on the mileage, and once you have exceeded the distance, they will set the price per extra mile, which can be $0.20 per extra mile.

Charges Of Delivery

The delivery charges will depend on the host or where the car needs to be delivered.

Total Estimate

The total estimate roughly calculates to $40+. You will need to create an account with Turo before you can check out. 

And, aside from the vague calculations, you can view on their website, some commercial hosts may charge you additional fees outside Turo, such as cleaning fees.

Rental Agency Rates

To calculate whether Turo will be cheaper than other car rental agencies, I conducted a list of five other well-known car rental agencies, along with their standard rates, to give you a better idea of how much you can expect to pay:

Avis Car Rental

Avis will hold up to $200, plus the rental charges if you rent a car using your debit card or credit card. These extra funds will be non-refundable throughout your journey. 

You will, however, get these funds back if you return the car in the same condition and get all the checks screened through the return policy.

Alamo Car Rental

Alamo will hold on to more than what Avis will hold on your cards. Currently, Alamo takes up to $250 with the rental charges if you rent a car using your debit card or credit card. 

These funds will also be returned only if you return the car in good enough condition.

HyreCar Rental

HyreCar allows its customers to hire a vehicle for as little as two days! The rental charges are usually around $30 and $45 per day, or $200-$300 per week, and $800-$1100 per month. 

However, it would be good for you to keep in mind that you have to pay the full amount before you are able to rent the car and go on the roads.

Free2Move

Although there are no additional membership or monthly fees, you only pay $1 for every journey and the current minute, hourly, or daily rate. 

The cheapest options are automatically selected, and their charges include residential and meter zone parking, fuel, and insurance.

Zipcar

Every rental car comes with a complimentary gas card, so customers don't have to pay a dime at the gas station to refill their vehicles. Their monthly driving plan costs $7 per month, with the occasional driving plan costing $70 yearly. 

You will also be provided with an extra value plan, costing $50 per month, and you will receive $50 in driving credits and discounts on driving rates. 

Zipcar can cost anywhere from $66 to $78 in daily fees, or between $8 and $8 per hour, which can depend on car model and location. These fees exclude insurance and cleaning fees.

Conclusion

Turo is expected to be bigger than Uber in five to ten years with its current marketing. The rates on Turo are so much cheaper than all the mainstream car rental companies. Turo has the ability to put almost every other car rental company out of business.

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