Deposit returned

[isleswing]

We rent from Autoreisen, and for the last 3 times, we've paid e200 deposit and it's been returned within hours. The same this time.
However, I just analysed my credit card statement and spotted the exchange rate cost.

e150 rental e200 deposit total e350 inc  £8.76 (2.99%) fee. @ exchange rate 0.8617 (equals 1.16 e/£) charged £301.61
Of that, e200 equals £172.32 inc £5 (2.99%) non-sterling fee.

Refund deposit e200 inc  £5.04 (2.99%) non-sterling fee, @ exchange rate 0.8181 (equals 1.22 e/£) refunded £163.62
So £8.70 - that's 5% in this case - disappears into the TB banking system.

The seller - Autoreisen gains nothing.

The same thing will happen with any deposit charged in euro.

Also, any refunds from returned goods etc.

[Can the Man]

Isleswing, you can now get 'Pay as you go' type credit cards in Euro that you can preload with money for this type of expense, then you have control of the exchange rate.

[isleswing]

Thanks for that. We do use a prepaid debit card and euro cash for most of our spending, though.

It was the double cost of exchange on the refund that surprised me, though I should have expected it, really.

In the past, companies have just 'authorised or marked' card accounts for the value and then cancelled it, rather than actually charging and refunding.

To use a prepaid debit card for a deposit would involve loading the deposit value (e200), and the compny charging and refunding. No cost to you at all. But. The refund goes on after you leave the Island, so you have to leave the money on the card till next time. It costs even more to take it back off in Sterling.
I suppose that it's technically possible to use a euro prepaid debit card to pay in euro for online purchases and orders.

[bedouin]

Next time, rent from Pluscar - no deposit, no excess, no fuel scam.

[isleswing]

My issue is not with Autoreisen, we've always been perfectly satisfied with price, service etc, and are unlikely to change unless the price goes badly wrong.

It was the cost of getting the refund which I wanted to warn people of.

The same cost will arise on any money going back on to a sterling card, whether it's a daposit on a Villa rental, car rental, or even something you take back to a shop because it's faulty or doesn't fit.

[Trumpy]

You do realise that you have to pay the €200 deposit because the car isn't fully insured. If you break a windsheild or have a blowout you will be liable for the total cost of replacement.

[bedouin]

That's one reason why Pluscar is such a good option.

[KayaFuerte]

That's why better to rent a car without deposit!
I'm working in Fuerteventura Autos Rent in Costa Calma and we never take deposit or credit card number like in another car rentals!
And also if you rent a car with company where I work you can be sure that insurance is totally full!
Sometimes my clients have some accidents but they never pay anything!They just call me what's happened and I organise help for them. Without problems...

Earlier I was working in another company, also in Costa Calma but I don't want to write which one here... and there thay say that you have full insurance. But you need to be careful! If you broke the tire there-YOU PAY, if you want to take big car like a Jeep, they take credit card number and if you do something-YOU PAY (250-350eur) so It's strange there...and insurance is not really full there! So be carefull!

If you have any question-write me :
Karolina
fuerteventura.autos@interia.eu