U-Haul Taking a Bite Out of the Big Apple

For decades, U-Haul has advertised that its trucks can be rented for the low price of $19.95, despite the fact that no one pays that amount thanks to hidden fees and other sneaky add-ons. These unexpected charges can easily turn a “$19.95 rental” into one costing three times or more that amount.

Last May, TINA.org filed complaints with the FTC and nearly two dozen state regulators urging them to take enforcement action to stop U-Haul’s bait-and-switch pricing scheme. To date, no public action has been taken and U-Haul has not made any material changes to its marketing and pricing tactics.

But we’re not taking our foot off the gas.

Last week, TINA.org alerted consumer protection officials in New York City – which recently issued an executive order aimed at “combatting hidden junk fees” – to U-Haul’s ongoing drip pricing scheme.

With more than 100 locations in New York City, U-Haul’s footprint in the Big Apple is one of the largest it has in any U.S. city. And in addition to the mandatory fees charged at U-Haul locations throughout the country (i.e., an environmental fee and a vehicle cost recovery fee) that already significantly increase the cost of a rental, certain NYC U-Haul locations also charge a mandatory facility fee that can cost as much as $15.95.

Yet none of these fees, which can cumulatively increase the cost of a rental by as much as $18.95 (and perhaps more), are disclosed until the very end of the online reservation process.

U-Haul also imposes administrative fees for tolls, which aren’t properly disclosed and which could have a disproportionate impact on New Yorkers.

“Given that New York City has numerous toll bridges and tunnels, and travelers entering or leaving the city are frequently routed onto tolled highways, New York City consumers may incur significant U-Haul administrative fees,” TINA.org wrote in its complaint to NYC Department of Consumer and Worker Protection Commissioner Samuel Levine.

Numerous consumers have complained for years about being blindsided by U-Haul’s hidden fees. For example, one U-Haul customer reported more than 10 years ago:

This is a terrible company, but it’s even worse in NYC. I remember when they had the “rent this truck for $19.99” signs on the trucks. By the time you got out of there the final cost was closer to $80 than to $20. It was a bald face lie and it’s how they conduct business.

Thousands of consumers have filed complaints regarding U-Haul with various outlets including the FTC, TINA.org, Consumer Affairs, Trustpilot, Yelp and the BBB, which is currently reviewing U-Haul’s business profile. (In response to a request for comment, the BBB declined to say what prompted the inquiry or how long it will last but said that U-Haul “remains in active communication with BBB.”)

The bottom line: There is not a single consumer in New York City – or nation – who will pay just $19.95 for a U-Haul truck rental. Under the bright lights, the company’s low rental price crumbles.

Find more of our coverage on U-Haul.