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Budget Rent A Car, Subrogation Management Team ripoff failure to disclose hidden fees and dishonest fraudulent billing Ripoff Eugene Oregon
I rented a compact car at BRC in Eugene the first week of this year. The rental agent told me about the extra charges to buy their insurance. I told him that I have full coverage on my auto insurance. He just said OK, initial here and sign here. I was shown and given only one page of the rental agreement and was issued a Ford Focus. One the forth evening I had an accident. A deer ran in front of the car and there was nothing I could do. My mother was with me and we were in shock. I called the BRC office in Eugene for help, but no one answered the phone. I found another number on the key ring for an office in Medford. The person that answered said I had the call the Eugene BRC. I called several times and still no one answered the phone. I left a voice mail and no one returned my call. So much time was lost trying to reach someone at BRC. Thankfully, we were not hurt. I finally had to call AAA for help. The car was towed back to Eugene at my expense. The tow truck driver was finally able to reach someone at BRC by phone hours later and BRC did give me another car so we could get back to the airport the next day. On the fifth day, I returned to the BRC location in Eugene and filled out the form titled Subrogation Management Team at the top. I was being honest and didn't know what was in store for me. A week later I started getting calls from a woman at SMT. I returned her call, still not understanding what was about to happen. Soon after I received a bill in the mail for damages and other fees including loss of use, diminution of value and an administrative fee. I also get a copy of the rental agreement. Now I see there are 2 pages, not only one. On the first bill these fees totaled $2561.31. My insurance company paid for the damages and I paid my deductable but not the other fees. SMT sent me another invoice for more repairs to the car and a story about the tires being stolen. Now I am being charged for more loss of use. Now the unpaid fees total $3307.80. Then I get a third invoice for more repairs and fees and now the total is $3450.83. Who knows what else they will find to charge me and my insurance company for. I have tried to fight back in writing to this person at SMT that keeps calling me and sending me letters demanding payment. I tried to explain to SMT and BRC why the hidden fees are invalid. First, I was not given all of the rental agreeement, only one page of it at the time I signed it. I was never given a chance to read the entire agreement. Second, the rental agent failed to disclose these fees in the event that the car would be damaged. According to a court order docket no. C-3674 ftc.gov/os/1996/06/budgetd.pdf, they are required to diclose these hidden fees. Third, I immediately tried to report the accident to BRC, put no one answered the phone. I asked them to waive the fees. Their repsonse was, that the rental agents are not train to use scare tactics on their customers. Yet after the fact, this is what they hire SMT to do. Scare their customers into paying exorbitant fees. This is just an untruth fabicated by BRC to cover up their incompetence. I was also told that the court docket doesn't apply. I asked them to explain the hidden fees. Why are they charging dimished value on a Ford Focas??? I didn't rent a high class vehicle. I have been lied to numerous times by SMT. One lie the woman at SMT told me was BRC tried to return my call but I was in a remote area. If I couldn't receive calls, why was I able to make so many? Why didn't they leave me a voice mail? The letters I receive from SMT are full of spelling errors, and the invoices have errors too, which I have asked to be corrected. Everytime I receive an invoice, the bill goes up again and again. They are making up more fees and telling me more lies. The person I am dealing with at SMT is very unprofessional. I am being ripped off, harrassed and threatened with more fees if I do not pay. They have also threatened to hurt my credit rating. I believe these fees are invalid because they were not disclosed to me when I signed the the rental agreement. I could not read the part about the extra fees because I was not given that part of the agreement to read. I feel BRC intentionally with held the entire agreement from me. The employees at BRC did not do their jobs. SMT is hired to scare people into paying extra fees. Its all about the money. I only deal with SMT in writing now and I have saved all my documents, including my phone records. This has been going on for 4 months now and I know this is just the beginning. I just want my life back and to be free of these people that are trying to rip me off. I honestly didn't know about this before I did business with them. I will never do business with Budget Rent a Car again. Charging fraudulent fees and treating their customers this way is inproper business practice.
Glynny
Long Beach, California
U.S.A.
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10 Updates & Rebuttals
Roy
Fort worth,Texas,
U.S.A.
Accepting the LDW
#11Consumer Comment
Mon, August 06, 2012
I have to agree its safer to pay the LDW...I rented airport cars in several states..I have witnessed a rental in an accident on airport grounds...what a way to start a vacation...anything can happen anytime anywhere...I am so glad I have reviewed this report...thanks Ripoff Report...its an education to the consumer....Roy
The Voice of Reason
Richardson,Texas,
United States of America
If you don't know what you're talking about, don't talk.
#11Consumer Comment
Sat, June 18, 2011
Can't you read? He said his insurance company paid for the physical damage claim. As for the rest of the charges, the insurance company said they are not covered by the policy, so they are NOT going to deal with the rental company on his behalf.
If you don't know what you're talking about, don't talk.
Cj
Clarence,New York,
U.S.A.
Budget Rent A Car, Subrogation Management Team ripoff failure to disclose hidden fees and dishonest fraudulent billing Ripoff Eugene Oregon
#11Consumer Suggestion
Sun, September 24, 2006
Just five words. Take the insurance next time. I know its an extra fee and can add a "little cost" to the rental. but you can save yourself ALOT of time and aggravation by accepting the LDW. I know you probably saying that yeah he just wants to make that extra buck, it may be true, but you could have avoided the whole thing by taking it.
Joanne
San Antonio,Texas,
U.S.A.
Lord help me Educate
#11UPDATE EX-employee responds
Wed, June 07, 2006
OK....so you purchased the "damage Waiver" NOTE..this IS NOT insurance. It is a "DAMAGE" waiver. There are conditions that apply. You see, the car rental company makes money off the LDW, PDW, CDW or whatever they call it. IN "Our terms" It is Loss, Physical or Collision damage waiver. Either way......you step out of bounds.....you are caught and are responsible. You will be held responsible regardless what the counter rep says. It's all about a contract. You are not safe at all.....you step out of line and YOU WILL be responsible. Catch 22 all around.
Joanne
San Antonio,Texas,
U.S.A.
P.S on last response
#11UPDATE EX-employee responds
Wed, June 07, 2006
To retain an attorney can be more costly than one can expect. Do what you feel is right. I know what "They" will back off from. An attorney is no threat to these people. An attorney is busy and at $150.00.... will not take care of you. Again.......know the law and understand it. You can do "this" on your own. PROTECT YOURSELF and make your position known. The law really is on your side and you should seek an attorney when all else fails.
Good Luck
Larry
West Sacramento,California,
U.S.A.
Always buy the damage waiver
#11Consumer Suggestion
Tue, June 06, 2006
When you rent a car you are responsible for everything that happens to it, including things you cannot control. Such as a deer jumping in front of the car.
Buried in the contract for every rental car and truck is a clause that says you will pay them not only for damage but for loss of income while the vehicle is being repaired plus whatever other fees they care to add on.
You have found out the hard way that your car insurance will pay only the physical damage to the rental car as if it was your own car. But your insurance policy does not pay you for loss of income while your car is being repaired so they will not pay Budget for that, either. That is why SMT is coming after you.
Also, Budget may have a price list for repairs that far exceeds what your insurance company would normally pay for the same repair.
Technically the "insurance" rental car companies offer is a damage waiver. It is an agreement that they will not seek payment from you for damage to their car. It is ridiculously expensive. (I just rented a car from Budget in Phoenix a few days ago and they charged me something like $21, even though I drove less than 100 miles and returned the car four hours later.) As you have found out the hard way, paying $21 a day is a lot cheaper than being hounded forever for both real and imagined damage to the vehicle.
Jim
Flagstaff,Arizona,
U.S.A.
I agree!!
#11Consumer Suggestion
Tue, June 06, 2006
I would be better and cheaper in the long run to get a good attorney and let him handle it. Chances are, it will only take him a letter or two, a phone call, a fax, and email and then he'll bill you for $150.00.
Still it's a lot cheaper and if they try to get nasty and ding your credit report, your attorney is already familiar with the case and you'll see dollar symbols in his eyes for the fees he'll collect from BRC's legal dept.
Joanne
San Antonio,Texas,
U.S.A.
Protect your rights and know the law
#11UPDATE EX-employee responds
Tue, June 06, 2006
Chances are you received some generic "terms and conditions" which is convenient for everyone but you. You are being billed and held responsible for Loss of Use, Diminished Value and Admon fee's. None of the employee's at that company are licensed to practice as an adjuster or "settle claims" in Texas or any other state for that matter.
You sound exhausted and should be. There are quotas the employees MUST meet every month. The owners split the LOU, DV and Admin with the franchise location. So you are being billed let's say $1500.00 for DV, the RAC location gets 1/2 and SMT the other half. To include the Administrative fee which is told to you it's a "contractual obligation" and NOT a fee charged by SMT. That's garbage.
Anyway, the employee (depending upon how long they have been with the company) is required to meet a quota. After about 6 mos. they MUST bring in $15000.00 per month. Imagine the profit being made off YOUR accident. Imagine the hundreds of thousands of dollars being made from accidents period! You best bet is to file a complaint with the Board of Insurance in the state where you signed the contract and also the state of Texas. Let the law know they are practicing without a license.
You would do well to file a complaint with the Attorney General in those states as well. Protect your rights and don't accept the bulley tactics. The employee is trying to "meet the goal" for the month or else the owners will be quite upset which is the reason for the abusive and forceful tatic and making threats to ruin your credit.
Good luck and don't give in.
Dave
Jacksonville,Florida,
U.S.A.
I don't care what their contract says
#11Consumer Comment
Mon, April 17, 2006
You cannot be charged with a diminution of value fee. That would never hold up in court. Also, your insurance company should be the one cooresponding with these people, not you. You need to send everything to your insurance company. I will bet dollars to donuts they will take care of everything, without paying any fees.
Also, what does the tires being stolen have to do with you??? You didn't take them! Don't mess with these people, just give all the paperwork to your insurance. That is what you pay premiums for.
Chip
Anytown,Indiana,
U.S.A.
Where's YOUR Insurance Company in all of this?
#11Consumer Suggestion
Mon, April 17, 2006
If Budget is going through Subrogation, they should be doing so directly with your insurance company...not you. Did't you file a claim? Your insyrance co.'s sub folks shoud be dealiung with Budget's. I don't understand why they are making their demands directly to you. All you are liable for is your deductible...even if there are misc. fees related to the accident, your insurance co. should pay those. If it's really out of hand, I don't understand why your insurance co's legal dept isn't involved.