Believe you must have a credit card to rent a vehicle? Not necessarily. Although many car rental firmsclaimthey need a credit card to secure payment, a closer look often reveals several alternatives to using a credit card for car rentals.
In this walkthrough, I’ll show how you can rent a vehicle using a debit card. Whether you’re concerned about credit limits or simply don’t carry a credit card, these practical tips will explain how to rent a car using other payment methods.
More from Savinly: Are you a frequent traveler? Check out our list of Best Travel Credit Cards of 2025.
Can You Rent a Car Without a Credit Card?
Yes — it’s possible to rent a car without a credit card, but it may take a bit more legwork and preparation. Most rental agencies don’t advertise alternate options prominently, but if you read their terms you’ll discover many accept alternative payments like debit cards. You may need to satisfy extra requirements to use non-credit card methods, so be ready to provide additional documents or accept stricter rental conditions.
Rental Companies That Accept Non-Credit Card Payments
Renting a vehicle can be complicated if you don’t have a credit card.
Some agencies simply refuse rentals without a credit card issued in the renter’s name. Almost no one will accept cash or personal checks anymore.
However, many firms permit rentals using a debit card — though there are caveats.
Most rental companies will perform a credit check, and many require additional identification when you use a debit card (compared with a credit card). Call your rental agency in advance so you arrive with all necessary paperwork.
You’ll always need to present a valid driver’s license and the payment card. Some companies may also demand a larger security hold (often an extra $200 to $400) when you pay with a debit card.
Additional ID requested for renting without a credit card can include:
- A return airline ticket or itinerary
- U.S. passport or military ID
- Current auto insurance card
- A copy of a phone or utility bill or a bank statement dated within 60 days
As of January 2025, these companies permit renting with a debit card (some with specific conditions — verify beforehand):
- Dollar
- Thrifty
- Alamo (return ticket or itinerary may be required; some locations skip the credit check)
- Avis
- Budget
- Hertz
- Enterprise (return ticket or itinerary may be required)
- National
Generally, you must be at least 25 to rent with a debit card. However,Dollardoes allow drivers under 25 to rent with a debit card.
An Alternate Way to Rent Without a Credit Card
Rather than using my bank debit card for the refundable deposit, I use my PayPal debit card. With this approach, the hold never truly leaves my account.
How to Obtain a PayPal Debit Card
First, you’ll need a PayPal Business MasterCard debit card. If you don’t already have one, here’s how to get it:
1. Create a PayPal Account
If you don’t have an account, visitPayPal.comto sign up for free.
2. Upgrade to a Balance or Business Account
Set this up when opening the account, or upgrade your existing account to Balance or Business. (Both upgrades are free and include features not available on a standard personal account.)
In short, if you plan to use PayPal for freelance or business transactions, choose a Business account. For personal use with extra banking features, Balance is the better option.
3. Apply for a PayPal Business MasterCard Debit Card
Plan ahead if you intend to use this card for a specific trip. If you’re new to PayPal,apply for the Business MasterCardat least three months before travel. Even existing PayPal users should allow a month.
Note: This isn’t the same as aPayPal Prepaid MasterCard, which works like a reloadable gift card. The Business debit card operates like a bank debit or ATM card.
3. Link a Backup Funding Source
Add a backup funding source for your Business debit card. This is separate from selecting a backup for your PayPal account, so be sure you attach it specifically to the card.
Your backup will typically be a checking account or another debit card (or both).
When you pay with your PayPal debit card, available PayPal funds are used first. The backup covers the charge if the purchase exceeds your PayPal balance.
Warning: The backup covers purchases that surpass your PayPal balance whether or not that backup actually has sufficient funds. Monitor both accounts to avoid overdraft fees.
How to Rent a Car Using a PayPal Debit Card
When traveling, use your PayPal debit card to cover the rental deposit.
Here’s the process:
1. Deposit $1 Into Your PayPal Account
A few days before your trip, put a small amount into your PayPal account — I usually add just $1.
Depending on your bank, the deposit can take a few days to appear. For me it generally takes two or three days.
If you need it faster, arrange for a friend or family member to transfer funds from their PayPal account, which posts almost instantly.
Keep your balance minimal. If you already have more money in PayPal, move most of it to your bank account.
Any available PayPal funds can be held for the deposit, so the lower the balance when the card is run, the better.
2. Watch for a Hold on Available Balance
When the rental firm swipes your card, the authorization will consume your available $1.
The hold registers as approved because the authorization sees your backup funding and deems sufficient funds for the hold, irrespective of your checking account balance.
Your checking account won’t be charged since the transaction remains an authorization, not a completed charge.
You can still receive payments or deposit money to your PayPal account afterward and access it; those funds won’t be tied up by the hold.
3. Return the Vehicle and Release the Hold
When you bring the car back, you’ll settle the rental fee. You can charge it to the PayPal card on file (and consequently to the backup funding source), or, if permitted, pay with another card or cash.
After returning the vehicle, the hold is removed and you’ll never actually lose the deposit amount.
Be aware that any extra charges — for smoking, damage, or other fees — will be billed to your PayPal card and/or the backup funding source.
Pros and Cons of Renting Without a Credit Card
Generally, renting with a credit card is simpler than using a debit card. It tends to be more straightforward, offers more rental choices, and often gets you better rates. Still, if you don’t have a credit card, renting with a debit card has clear advantages.
Pros
- Accessibility:If you don’t have a credit card, a debit card may be your only route to renting a vehicle.
- No credit card debt:Paying with a debit card prevents credit card debt and avoids interest charges and late fees.
- No impact on credit utilization:A costly rental won’t affect your credit utilization ratio, which could otherwise lower your credit score.
Cons
- Stricter requirements:Renting with a debit card usually means additional hoops: extra documents, a credit check, or a large deposit.
- Higher cost:Using a debit card is often pricier because of bigger holds, higher deposits, and sometimes elevated daily rates.
- Limited options:Some agencies restrict the vehicle classes available to debit-card renters, reducing convenience and comfort choices.
What You’ll Need to Rent Without a Credit Card
Policies differ by company, but typically you’ll need the following to rent without a credit card:
- Two valid forms of identification
- A debit card in the same name as the driver’s license
- Sufficient funds to cover rental charges plus a hold of $200–$500
- Preparedness for a potential credit check
- Proof of return travel (often required at airport locations)
Tips for Renting a Car Without a Credit Card
As noted, renting without a credit card can take extra effort. These tips will help make it smoother:
- Call ahead:Policies vary by location, so call the rental office to confirm their rules.
- Watch for hidden fees:Using a debit card may raise total costs. Read the contract carefully and ask about any extra charges.
- Buy rental insurance:Some credit cards include rental coverage, which you won’t have with a debit card. Consider purchasing insurance — some firms may require it.
- Use a third party:Occasionally third-party booking sites or agents offer more flexible payment terms for debit-card renters.
- Prepay if possible:If allowed, prepay your reservation online with a debit card. That can speed up pickup and may lower the deposit required.
Now that you know ways to rent a car without a credit card, you can pick the option that fits your situation. Renting without a credit card can cost more and involve extra steps — but knowing what to expect will make the experience smoother and less stressful.
Contributor Alex Rivera is a Certified Educator in Personal Finance® who has covered money and careers for outlets such asForbes,The New York Times, CNBC, Insider, NextAdvisor andInc. Magazine. Freelance writers Marcus Lane and Erin Holt contributed to this piece.
