Booking & counter · Travelers
Security deposit
Also called deposit, card hold, bond
The short answerAn amount the rental company holds on your card at pickup and releases after the car comes back without new charges.
What it means
A security deposit is money the rental company blocks on your payment card when you pick up the car. It's usually an authorization (a hold), not a charge: the amount is set aside and released after you return the car and any fuel, toll or damage costs are settled. How big it is often depends on the cover you chose.
Why it matters
The hold reduces your available credit for the trip, and your bank, not the rental company, decides how fast it disappears after release. Many rental companies need a credit card in the main driver's name for it.
Wording by region
Called a "bond" in Australia and New Zealand.
Related terms
- Pre-authorizationA temporary block on your card for an amount the merchant may charge later; money is set aside, not taken.
- Debit card restrictionLimits many rental companies place on using a debit card, especially for the security deposit.
- Deductible vs excessSame thing, two words: the most you pay toward damage or theft of the rental car before the rental company's waiver covers the rest.
Also related Card hold release, Main driver's credit card, Damage hold