Penny wise can be pound foolish when it comes to car rental

June 2009


In recent months, SAVRALA has experienced a sharp increase in the number of complaints from members of the public with regard to cost- and/or serviced-related complaints made against car rental companies that are not members of the association. In such instances, SAVRALA is largely unable to take any action to assist in resolving the dispute between the company and the customer.

As a result of these unfortunate incidents which tend to tar the entire car rental industry with the same brush, SAVRALA would reiterate the importance of dealing with a proven and reputable company when hiring a vehicle. Association membership is strictly defined and industry involvement does not constitute automatic qualification.

To maintain professional industry standards, compliance with SAVRALA's Code of Conduct, Constitution and Charters is mandatory for any car rental company wishing to join the association. The Code and Charters establish standards of good practice for the passenger vehicle rental, leasing and fleet management industries and are intended to ensure that customers who obtain car rental or leasing facilities from association members receive the highest levels of service, honesty and integrity in all of their dealings.

There are a number of principles governing members one of which relates to complaints: “In the event of a customer complaint being received by a member, the association requires that the member follows a customer complaint procedure that ensures that the complaint is handled promptly and efficiently.”

In the event that a dispute cannot be resolved between the two parties to the satisfaction of both, it may be referred in writing to SAVRALA by the customer and/or the member company involved in the dispute. It will then be addressed by a three-person Conciliation Committee, a Committee whose members are appointed by the association’s National Executive and the outcome notified to both parties within a reasonable period of time.

Car rental companies belonging to SAVRALA are obliged to uphold the association’s Rental Charter which states:

As a SAVRALA member, we pledge to provide for our customers:

• Complete details of pricing, ensuring you are aware of all charges before commitment to a rental contract

• Vehicles that are serviced and inspected to the manufacturer's operating specification as a minimum standard and complying with all statutory requirements

• Vehicles that are fully valeted and inspected for safety and comfort before each rental - from a selection of low mileage, current model vehicles

• An appropriate range of risk protection products and other services

• Commitment to SAVRALA's Code of Conduct

• An effective complaints procedure with access to a conciliation service administered by SAVRALA

For those individuals or companies not familiar with the association and its activities, SAVRALA is a trade association representing close to 90% of South Africa's combined vehicle rental, leasing and fleet management industries.

Since its inception in the early 1980s, SAVRALA has been active in steering industry standards, serving to raise the professional profile of these industry sectors and as its united and representative voice, striving to ensure and protect its members' interests at the highest levels the government sector. Its members have acknowledged the benefits of interacting competitively but cohesively for the common good of the industry and a key SAVRALA objective remains the address of industry-generic issues to ensure the long-term sustainability of the industry as a whole.