Wrongfully charged for my expired tags

Question: While we were visiting Philadelphia a few months ago we parked our Hertz rental car downtown. Almost immediately after walking away, I saw an officer stop by the car and start writing a ticket. I ran over and asked him if I had parked in the wrong place or something like that and he informed me that it was simply an issue of my tags being expired. I told him it was a rental and he suggested I just give the ticket to Hertz and inform them that if they took care of the tags, the ticket would be canceled.

When we returned the car to Hertz, my husband handed the ticket to one of the agents and explained what happened. They wrote on the windshield with a wax pen “expired tags” and told us they would take care of it for us.

Fast forward to about a month later, and we received a notice from the collection agency arm of Hertz ATS Processing Services. I called and tried talking with them and they said they would look into it, but couldn’t really do anything and then recently sent us another bill, this time with a higher fee for being late. I tried calling Hertz and after being bounced around from person to person and explaining my situation, no one seemed able to help. I’m not really sure who I should talk to next. Can you help? — Meaghan Dellar, Cincinnati

Answer: Hertz should have ensured the tags on your rental were up to date. And it should have paid for your ticket, as agreed.

But there were a few things you could have done to prevent this, too. Although it isn’t your responsibility, it’s not a bad idea to check the tags on your car before you leave the lot. When you’re managing a fleet of hundreds of vehicles, it’s easy to overlook an expired registration or two.

When you returned the car, I wouldn’t have just taken the employee’s word for it when you were told Hertz would “take care of it.” Get it in writing. That may mean speaking with a supervisor, but it’s well worth it. Even if the supervisor refuses to put something in writing, you’ll still have a name and phone number, and can follow up with that person if there’s a problem later on.

I also notice that most of your communication with Hertz happened by phone. In this kind of situation, an email works far better. If the company refuses to help you through the Web form on its site, you can always appeal your case to someone higher up with a keystroke and the click of a mouse.

Lately, car rental companies have become more vigilant about collecting unpaid debts from their customers, sometimes going so far as to sue them. Taking such a hard-line approach isn’t particularly good for the company’s image. Nor is it a customer-friendly policy.

I asked Hertz to take another look at your case. A company spokeswoman said ATS had been directed not to bill customers for expired tags. “However, a few technical glitches caused a handful of customers to be billed,” she added.

Hertz withdrew your bill.

  • cjr

    This just might be the most absurd story involving a car rental company that I’ve read yet.

  • SirWired

    Funny how those glitches never cause customers to be billed too little…

  • Josh

    This is as absurd (on a different scale) as Budget charging a customer for their maintenance failure. The responsibility to register the car properly is *clearly* the rental company’s, and no valid contractual term could make a customer responsible for that. Hertz should have paid up and cleared the file right away. Since they continue to fraudulently harass the customer, I might argue for some actual compensation — perhaps refunding the entire cost of the rental (since they didn’t give them a legally drivable car)

    I wonder if we need a solution similar to what’s needed for this false foreclosure scandal — require that a human agent sign off on any collection item before it’s sent, certifying that the debt is valid and legal, with *criminal* and civil penalties for doing so when the debt isn’t clearly the customer’s. Maybe that’s too far, but it is getting ridiculous.

  • LeeAnne

    Now THIS would be a great installment in your “That’s Ridiculous” series! (Which, btw, I think is a great idea.)

    Not to be nitpicky, but I just gotta point out that I think it’s a bit unreasonable to expect customers to check the registration tags of their rental cars. I would never in a million years even think of that! I mean it’s CLEARLY not the responsibility of the RENTER to deal with vehicle registration issues, nor should we have to verify that the rental agency has done their job. It would seem to go without saying that they shouldn’t be renting out cars that aren’t legally registered.

    And I also disagree that the customer should have gotten in writing a declaration that the agency would take care of the ticket. Some things are just…well, come ON…too obvious to even question. Who in their right minds would even IMAGINE that a rental agency would expect the customer to pay a fine for the AGENCY not doing something so basic as registering their vehicles before they rent them out? What customer would even think that it would even be POSSIBLE that the agency might try to bill them for their own gaffe?

    Renting a car is now so fraught with danger of unexpected charges that it’s beyond absurd. We have to take photos of every inch of the vehicle before we drive it off the lot, for fear that they’re going to scratch the car up after we return it and then try to bill us for it. We have to take photos when we drop it off, to ensure that something doesn’t happen to out once we’ve left, that they will try to put off on us. We have to ensure that the car is running perfectly before we leave the lot, because if there are mechanical malfunctions while it’s in our possession, we might get charged for them (even though it’s not OUR responsibility to do routine maintenance on these cars before we rent them!). Now must we also go through all the paperwork and tags of our rental cars, to ensure we’re not going to get stuck with a ticket because the agency hasn’t bothered to legally register them?

    And ya gotta wonder about the essential mental powers of whatever persons were involved in trying to stick the customer with the ticket for an expired-tags on a rental car. Doesn’t that seem like…well…basic LOGIC that the renter isn’t responsible for registering rental vehicles owned by a rental agency? Shouldn’t SOMEBODY somewhere have recognized the inherent idiocy of this case, at some point?

    Glad it had a good outcome. But it boggles my mind that the customer had to involve a consumer advocate.

  • Dang

    In this computer world, do you really think they forget to pay the expired tags ? ….I bet they just don’t have the cash on the expire day.

  • Carver

    Check tags?

    Are you serious? Now we should check to make sure that the tags on the rental car are current? Seems excessive.

  • CTP

    “However, a few technical glitches caused a handful of customers to be billed,”

    You mean they billed customers MORE than once for expired tags?? How did it get to the point where a rental car is not expected to be fully road worthy when rented?

    CTP

  • sweepergrl

    How interesting that they only found this glitch after Chris contacted them. It seems the customer wasn’t important enough to warrant checking into something so obviously wrong.
    So more than one person was billed for this? I wonder if Hertz bothered to contact the other people and refund any money already paid. Somehow I doubt it.

  • LadySiren

    @LeeAnne @Carver – It’s already good practice to do a
    walkaround for the vehicle (and take photos) before you leave the
    lot. Why not take the minute or so required to glance at the tags
    while doing this? Yes, it’s rather unreasonable and absurd that
    travelers are forced into this position by greedy and underhanded
    rental agencies (I mean, really, Hertz? Really?) and their shady
    dealings. I’d rather be safe than sorry, though, especially given
    that it took Chris getting involved before the agency would back
    down off. I hate to be the one to say this, as I’m generally not
    for more governmental interference, but MOAR REGULATION, PLZ! Of
    course, if we started tacking on criminal charges against the
    corporations, then we’d have a never-ending upward spiral of prison
    overcrowding. Therefore, I suggest we need more regulation backed
    by non-incarceration penalties. Tar and feathers is a good place to
    start, IMO.

  • Cheryl

    LeeAnne, I LOVE what you wrote and agree totally, I could
    not have said it better!

  • http://www.best-car-rental-tips.com Paula

    This is one of the saddest examples of poor business
    practices I’ve ever seen from a car rental company. Even if it was
    a “technical glitch” that caused the renter to be charged..
    seriously???? …it should have been taken care of within seconds
    of her first phone call… sad, sad, sad!

  • Carver

    @LadySiren

    True, its only a few seconds. While we’re at it, why not check the registration paperwork, perhaps the fluid levels, ask when the last oil change was, kick the tires, etc.

  • http://www.thetravelinggiraffe.com Crissy

    I’m with some other people who think this should go in the rediculous column.

    While I agree it’s a good idea to check the stickers, just as you would check the car over – to protect yourself. But it is sitll 100% the car companies problem. Perhaps if they had to pay for harassing customers they wouldn’t have these “glitches.”

  • LadySiren

    @Carver Oh, I hear you – I hate the idea that the onus should be on the consumer. But if you’re going to protect yourself from being screwed by the evil rental goons anyway, might as well check the tags, eh? Sad that it’s come to that, though.

  • LeeAnne

    @Carver,

    My point exactly. Where does this end? Do we need to start bringing mechanics with us to do a thorough mechanical check…auto body experts to ensure that the bumpers aren’t going to fall off in traffic…forensic specialists to ensure there aren’t any hidden scratches or other microscopic damage that they will come after us for to the tune of hundreds of $$ after we return it…DMV agents to ensure that all the legalities are in order? At what point does this begin to become absurd?

    Oh wait…we’re already past that…

  • LeeAnne

    @LadySiren – I’m not disagreeing with you. :) In fact, I agree…I’m just mad. It’s just so WRONG. And, for the record, I’m not the only person who goes to extreme lengths now to avoid renting a car. We just got back from a Costa Rica vacation in which we traveled all over by car. Normally we would have just rented one, but not wanting to chance getting screwed by a rental agency in a foreign country, we instead borrowed a car from friends of ours who’ve retired down there. We dislike borrowing cars from friends – things can get sticky if something goes wrong. But we considered that to be LESS risky than renting and taking the chance of getting fleeced.

    Sad, isn’t it? Are the rental agencies making enough money from their illegal scams to make up for the loss of business?

  • Mike in NC

    If all the states marked the validity of their tags in a uniform manner, then the customer checking wouldn’t be such a difficult expectation.

    However, they’re not. New Jersey doesn’t even have ANY outward marking on the plates whether or not the registration is valid or not. It’s a card that the owner/leasee holds. New York doesn’t mark the plate, but has a sticker on the windshield.

    Hertz tried to soak the customer. Plain and simple. And abhorrent.

  • Steve

    @LeeAnne: “Now THIS would be a great installment in your “That’s Ridiculous” series!” I couldn’t agree more. I would go out on a limb and say this is by far the most ridiculous charge a rental agency has tried to impose on a consumer. There is absolutely no way a consumer should be responsible for ensuring that the rental car’s registration is up to date. Unbelievable.

  • Shannah

    @Mike: I agree, and I wonder who is going to research online how to tell if the plates are expired?

    Also, most modern cars have diagnostic codes stored in the car’s computer – should we be learning how to check the diagnostic codes? Someone could have redlined the engine, or done something else to it that can’t be seen by the naked eye.

    However, we could protect ourselves from being billed for that by checking the diagnostic codes and refusing any car that has any issues.

    Seriously, I personally think the whole scratch thing is stupid. I think an agency employee should note any scratches/dings on the car when you rent it, and then again when you return it, and anything that’s normal wear and tear should be excused.

    This whole thing of “Oh, just go take any car you want” seems geared towards making it so that the customer has no proof of the condition of the car, unless they want to be taking photographs of the whole thing.

    I could really badly scratch up a car someplace where most people would never photograph. It’s not that hard. Particularly if the customer is elderly or disabled. It’s not that hard to create a claim that typical photographs would never dispute.

    I think this whole thing of “buyer beware” has been taken to ludicrous lengths. The car rental agencies need to have their feet held to the fire, rather than people trying to do their job for them. settling up when it’s an unfair claim, etc.

  • Mike Z

    ” A company spokeswoman said ATS had been directed not to bill customers for expired tags. “However, a few technical glitches caused a handful of customers to be billed,” she added.”

    ATS or whatever arm of the company that bills customers should never even have been given this to collect on, let alone be worried about being ordered not to. Anyone in their right mind at the compenay who gets a ticket saying that the registration was expired should have taken care of it right then and there and never allowed it to be processed to a customer.

  • Roberto

    This isn’t over. Meaghan Dellar needs to check her credit report on all 3 bureaus to make sure this collection item doesn’t appear on it, or this will wreck her credit score.

  • MeanMeosh

    Remember who you’re dealing with here, in addition to the rental car company. ATS is a red light camera/photo radar vendor. These vendors have proven time and time again that they don’t really care about due process, or even if the person receiving the bill is actually guilty of anything. “Shut up and pay, the camera never lies and your citation is reviewed by a police officer, now prove your own innocence or go away.” Never mind that the “review” is usually a robo-signing of thousands of citations with one click of a mouse. My guess, the bill for the expired tags got thrown in with a stack of other bills for things like photo radar tickets, cashless toll plazas, etc., and since ATS doesn’t bother reviewing the validity of these things, they just sent the notice out. Meanwhile, whoever the traveler called at Hertz was probably just too obtuse to understand what was going on.

  • MJ

    Don’t rental agencies charge a Registration fee or something with every rental? Isn’t that supposed to cover the cost of the car being registered correctly? Agencies charge this tax to customers, even though it should be a cost of doing business. So if they still rent out cars with expired registrations, can it be construed to be a breach of the rental contract?

  • http://www.usascan.com Ken

    This also happened to me. I noticed the expired tags and called the rental car agency. They advised I needed to return the car to their rental center. After a 120 mile round trip drive back to the rental agent, they had to swap cars as they didn’t have a new, current license plate and registration for their vehicle. They credited my rental contract for the time to drive back to their rental center.

  • Becky

    This customer gave them their business and they were rewarded with a faulty product, substandard service, inconvenience, threats and a lot of their time wasted. I hope they got more than the withdrawal of the bill. Maybe it just wasn’t said, but I hope there was, at least, a sincere apology, in writing, and some sort of incentive in the form of a credit or discount for this customer to even consider doing business with them again.

  • Chris in NC

    I hate to say it, but this happens more often than not. Most renters aren’t aware of it because they never get “caught” or “ticketed.”

    Agree with LeeAnne, this is one of the most ridiculous situations. Normally, I would say a refund is suffice, but for all the of OPs wasted time over something that was 100% the fault of Hertz, I think Hertz should have thrown in a certificate as a gesture of goodwill.

    I’m somewhat shocked that this involves Hertz. In my experience, they are one of the few rental car companies that seems to be consistently a cut above the others. But, nobody’s perfect right?

  • Peter

    Next, we’ll be expected to assure ourselves that the car itself has been paid for (perhaps a quick scan of the bill of sale), so that we’re not held responsible when the repo man tows it away.

  • Chris in NC

    Speaking of car rentals….

    If you rent a car and don’t have a transponder for e-tolling, you may be in for a NASTY surprise if you accidentally drive down a highway with electronic tolling. Not only are you liable for the tolls, but they will throw tons of fees on top of the tolls. Problem is many highways are now 100% electronic tolling and its NOT obvious that you are on a toll road.

    Almost got tripped up on E-470 in Denver. Used to be that you could pay cash in lieu of a transponder, but sometime around 1-2 years ago, they eliminated cash booths. One of the rental agents warned me about it in DEN, so not all rental agents are sleazy!

  • Ed

    As someone above wrote, “How did it get to the point where a rental car is not expected to be fully road worthy when rented?”

    I wonder if the expired tags in some way invalidates the entire rental contract? I mean there must be *SOMETHING* in the rental contract about the company is obligated to supply the renter with a road worthy vehicle…If they failed on that part, then the entire rental contract is null and void and therefore the renter is due their entire rental fee back. I’m sure that a lawyer can do *WONDERS* with this! Imaging a class action suit! Wouldn’t that just be jolly!

  • BucksterSF

    A customer should not have to check the plates or tags or any other regulatory item, no more than they are responsible to check that the rental company is making the appropriate payments for the vehicle. There are certain givens in life, like when you rent a car the regulatory fees are paid.

  • LeeAnne

    The next thing I expect to read in Chris’s “That’s Ridiculous” segment is that a traveler was thrown in jail for driving a stolen vehicle because the rental agency didn’t bother to pay for the car! And then, once the customer bails himself out, he’ll start getting dunning letters from collections agencies that he’s being billed by Hertz for their fines for stealing the car!

    That might seem absurd – but no more so than the customer being expected to pay the fine for not registering the vehicle.

  • Raven

    I don’t think it’s the customer’s responsibility to “verify” the tags upon renting the car. Yes, Hertz has a large fleet, but it is THEIR job to maintain said fleet. Telling a renter to “check the tags before rolling off the lot” is akin to telling an air traveler to check the pilot’s medical log.

    C’mon.
    When I rent a car, I expect it to be drivable and that includes up to date registration.

  • Joe Farrell

    I will point out that most states require the DRIVER to be liable for operating a vehicle with expired tags. . . . so the company could have a legal argument the legal liability for operating a non-currently registered vehicle is that of the driver. That all said, the driver and renter has a decent breach of contract claim obviously . . .

  • y_p_w

    I know that a lot of the photos are stock ones, but why a picture of San Francisco Police for an article on Philadelphia?

  • Steve

    @Chris in NC: regarding transponders, I don’t know if this is standard practice and I don’t remember the exact details, but my wife and I were thinking about renting a car for a long road trip through several states with toll roads, and one of the reasons we didn’t is because even *with* a transponder, the car rental company was going to charge us a bunch of fees for using it – I know there was a per-day fee for every day we were on a toll road, and I want to say there was a per-toll administrative fee too. We have our own transponder and would have happily used it and paid for the tolls ourselves, but it was unclear if that would even be an option. This was one of the reasons we decided to drive our own car instead.