Can you take a rental car out of state?

Yes, you can. But when you rent a car with the intention of driving across state or national borders, you must keep a few things in mind. There are different rules for crossing the border with a rental car depending on the rental company, vehicle category and region.

In addition, additional costs may be added, which is important to keep in mind.

Driving out of state vs. dropping off in another state.

Can you drive a rental car across state lines?

Yes. Most major U.S. rental car companies allow you to drive across state lines without prior approval. As long as you return the car to your original pick-up location, there are typically no extra fees or restrictions for interstate driving. Just confirm your rental includes unlimited mileage to avoid surprise charges.

Can you drop off a rental car in a different state?

Yes, but it requires planning. If you want to leave your rental car in another state, you’ll need to book a one-way rental in advance. One-way rentals usually come with a drop-off fee, and not all locations accept them. Airports tend to offer more flexibility for one-way drop-offs than neighborhood locations.

What to check before you drive a rental car out of state.

Interstate driving permission: Confirm your rental agreement allows driving across state lines.
One-way drop-off approval: If dropping off in another state, book a one-way rental in advance.
Mileage limits: Verify your rental includes unlimited mileage to avoid per-mile charges.
Extra fees: Ask about one-way fees, drop charges, or state-specific surcharges.
Vehicle-class restrictions: Some luxury, specialty, or large vehicles may have geographic limitations.

Rental car company policies for out-of-state travel.

Here’s what major U.S. rental car companies allow for out-of-state travel:

Interstate driving policies:

Avis: Allowed with advance booking; fees may apply.
Budget: Allowed with prior authorization; fees apply without approval.
Enterprise: Allowed without restrictions.
Hertz: Allowed without restrictions.
Dollar: Allowed without restrictions.
Thrifty: Allowed without restrictions.
National: Allowed without restrictions.
Alamo: Allowed without restrictions.

One-way drop-off policies:

Avis: Permitted with advance booking; fees may apply.
Budget: Permitted with advance booking; fees may apply.
Enterprise: Permitted with advance booking; drop charge or mileage fees may apply.
Hertz: Permitted; fees vary by rental details.
Dollar: Permitted with advance booking; fees may apply.
Thrifty: Permitted with advance booking; fees may apply.
National: Permitted with advance booking; fees may apply.
Alamo: Permitted with advance booking; fees may apply.

However, keep in mind that some regional or smaller national chains may restrict trips out of state. One reason why: These providers don’t have a large enough network to accept drop-offs far from the original pick-up location. In addition, they’re limited in assisting drivers in the event of roadside emergencies.

If you need a cross country car rental, some companies allow driving out of state but have restrictions on which states. For example, you could pick up your rental car in California and drive to Nevada, Arizona, Colorado, Utah, or Washington – but not Florida or New York. This makes sense considering the greater distance from your pick-up location.

I’ve rented a car and dropped it off in a different state several times. I’ve found that airports usually offer the cheapest rates and lowest fees, whether you’re dropping off the car or picking it up.
Travel expert Blane Bachelor

In addition, special rules exist for non-contiguous states. In Hawaii, car rentals must usually remain on the island where they were rented. Same goes for Alaska, where car rentals must typically stay in the state.

Whichever option you choose, make sure to check the terms and conditions of your rental agreement, because special offers and weekend rates may not include the unlimited mileage you’ll need to drive across borders.

Car rental company	Driving across state lines allowed?	What to know
Avis	Yes	Avis recommends on its website to book a one-way rental ahead of time and that additional fees may be required.
Budget	Yes	Budget states on its website that additional fees will apply if you attempt to drop off your rental in a different location without prior authorization.
Enterprise	Yes	Enterprise requires one-way bookings in advance and states on its website that additional fees, including mileage, a drop charge or one-way fees, may be charged.
Hertz	Yes	Charges for one-way rentals are made on a “case by case basis,” Hertz notes on its website.

What happens if you take a rental car out of state without authorization.

Taking a rental car across state lines or dropping it off in another state without proper authorization can lead to several consequences:

Additional charges: You may face unauthorized drop-off fees, mileage overage charges, or penalty fees added to your final bill.
Contract violation: Driving outside the permitted area without approval may be considered a breach of your rental agreement.
Denied drop-off: Some locations may refuse to accept an unauthorized return, leaving you responsible for returning the car to an approved location.
Coverage issues: Your rental insurance or damage waiver may not apply if you’re outside the authorized travel area, leaving you liable for any damage or incidents.

To avoid these issues, always notify your rental company of your travel plans and get written confirmation of any cross-state permissions.

Can you take a rental car to Canada or Mexico?

If your road trip extends across the border to Canada or Mexico, there are additional rules and considerations to be aware of. Driving to Canada is permitted by most providers for most types of vehicles, with the exception of luxury, high performance and large cargo or passenger vehicles. The same rules for driving between states in the US may apply to driving to Canada. Be sure to double check with your provider well in advance for any restrictions or rules.

Driving to Mexico can be more complicated. If your rental company permits it, it’s highly recommended to purchase extra insurance ahead of your trip. However, you can also opt to fly and rent a car in Mexico.

Finally, it goes without saying that you’ll need to bring your passport to drive into Canada or Mexico – so be sure it’s valid.

Rental car rules in Europe and elsewhere.

Rules for border crossings are different but comparable in other parts of the world. A critical aspect to understand about crossing borders in Europe with a car rental is the cross-border fee.

This fee, which you may need to pay in advance, covers extra taxes, insurance, and other expenses. Fees can range significantly depending on the type of car and the countries you’re traveling between. However, some companies may not charge a fee, so it helps to shop around.

If you plan to cross national borders with a rental car, be sure to notify your rental company in advance. And don’t forget to review the terms and conditions of your rental agreement before you proceed. In some cases, if you cross borders without having paid the fee, the rental car insurance won’t be valid. As a result, you could be responsible for any damages, and you may owe extra taxes and other fees upon returning the car.

If you plan on dropping off the car in a different country, you’ll have to pay a one-way fee in addition to the cross-border fee. Keep in mind that there are also country and zone-specific rules in Europe. Your rental may not be covered by insurance if you leave the European Union or mainland Europe. For example, taking your rental car to Spain’s Balearic Islands (there are multiple car ferries) might not be allowed, even though you’re not crossing a national border.

Additional documentation may also apply, depending on your itinerary. In the UK, for example, you’ll need to complete a VE103 form with the rental company to show that you have permission to drive a hired or leased vehicle in another country.

In South America, Africa, and Asia, crossing borders can be more complicated in general, and additional documentation is often necessary. Because these regions have specific rules and regulations that can be quite complicated, it’s highly recommended to do additional research if you plan to cross any national borders there.

If you’re new to renting a car in Europe, it can be very helpful to familiarize yourself with the process of paying for gas (petrol) in whatever country you’re traveling in. My husband and I learned the hard way in Germany that pay at the pump is still relatively rare; most fuel stops require payment inside the station after fueling up.
Travel expert Blane Bachelor

A hand navigates a car's steering wheel beside a screen with a GPS map.

How rental cars use GPS tracking.

When considering whether you can drive a rental car across a state or national border, a common question is if – or how – car rental companies can track your location and know whether you’ve crossed a border. The answer is that some rental cars are equipped with GPS tracking devices, but not all.

Your rental agreement will state whether the car you’re renting is equipped with a GPS device. These devices typically trigger an automatic alert back to the provider when they cross state or international borders. However, this shouldn’t be an issue if you’ve already notified the rental company and have agreed to (or already paid) any necessary fees. (Such devices and alerting systems also can also be very helpful in case of an emergency.)

Considering renting a car, but confused about the process? We get it. Find the answers to all your questions in our comprehensive Car Rental Guide.

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Can you take a rental car out of state?