Renting a Car Under 25: Fees, Rules, and How to Pay Less

Renting a car before you turn 25 is absolutely possible across the US — it just costs more. The culprit is the "young renter fee," a daily surcharge most companies apply to drivers aged 20–24. Here is how the rules work in 2026 and the realistic ways to pay less.

Minimum age to rent

Most US rental companies set their own minimum at 20 or 21. Two states — New York and Michigan — require companies to rent to drivers as young as 18 with a valid license. Even there, the under-25 surcharge still applies.

How much is the young-driver surcharge?

Reported amounts vary widely by company and location, roughly $20–$35 per day (some airport locations go higher). Commonly cited figures hover around $25/day. Over a week, that is an extra $150–$250 — often more than the base rental.

Note: the fee is tied to the driver's age, so adding a second driver under 25 does not avoid it — each young driver can trigger the charge.

Ways to reduce or avoid the fee

• Use a membership or partner discount. Some companies waive the young-renter fee for members of certain auto clubs or affiliate programs — check before booking.
• Active-duty military on orders are frequently exempt; ask and bring documentation.
• Book through an employer or university account. Corporate and student travel programs sometimes negotiate the surcharge away.
• Compare companies directly. The surcharge is set per company, so the cheapest base rate is not always the cheapest total for an under-25 driver.
• Rent off-airport. You skip airport concession fees on top of the age fee.

What to bring to the counter

• A valid driver's license (held for at least a year is sometimes required).
• A credit card in the renter's name — many locations will not accept a debit card from under-25 renters, and a debit card also usually disqualifies credit-card damage coverage.
• Proof of any membership or military status you are using for a waiver.

Watch the insurance angle

Young renters are also the group most likely to be paying with a debit card — which means no credit-card collision coverage. If that is you, price the counter CDW honestly against the risk, or get a standalone policy before the trip.

Age rules, fees and waivers are set by each company and change often. Confirm the exact surcharge and accepted payment types for your location before booking.

Frequently asked questions

How old do you have to be to rent a car in the US?

Most companies require 20 or 21. New York and Michigan require renting to drivers as young as 18 with a valid license. An under-25 surcharge usually still applies.

How much is the young-driver fee?

Roughly $20–$35 per day, often around $25, and sometimes higher at airport locations.

Can I avoid the under-25 surcharge?

Sometimes — through certain membership or partner programs, active-duty military status, or corporate/university travel accounts. Compare companies, since the fee is set per company.

Do I need a credit card to rent under 25?

Usually yes. Many locations will not take a debit card from under-25 renters, and a debit card also disqualifies credit-card damage coverage.

Related guides

• Do You Need Rental Car Insurance? CDW vs. Credit Card Coverage
• What You Need to Rent a Car in the US: Documents Checklist
• 11 Hidden Car Rental Fees to Watch For — and How to Avoid Them

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