How Do Low-Cost Car Rental Companies Work in Portugal? 10 Facts and Myths

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Updated on May 20, 2025
Need to rent a car in Portugal? Chances are you’ll start by looking for a low cost car rental. But are these services really budget-friendly? Do they deliver when it comes to customer service, comfort, and reliability?
With so many rumours out there, it’s important to separate fact from fiction when it comes to cheap rent a car Portugal.
In this article, we uncover 10 myths and truths about low cost car hire, so you can make an informed decision and travel stress-free.
Is Low Cost Car Rental in Portugal Worth It?
While low cost car rental is all about affordability, it's worth checking if the service also meets your needs for comfort, rental flexibility, vehicle variety and customer support.

1. Low cost car hire means poor-quality vehicles.
Myth. Not necessarily. The link between price and quality isn’t always direct. Some low cost car hire companies offer modern, well-maintained vehicles. Always compare offers before making a decision.
2. Customer service is less personal with cheap car hire.
Partial truth. It depends on the company. Some offer excellent customer support, others less so. Check online reviews and testimonials to ensure you’ll get the assistance you need throughout your rental.

3. Hidden fees are common.
Partial truth. Always read the car rental agreement carefully. Extras like fuel, additional drivers or insurance coverage can raise the car rental price significantly.
4. Low cost rental prices are always the cheapest.
Myth. Usually, the base rate refers to an economy vehicle for a single day. Longer rental periods or specific car types can increase the cost. So low cost doesn’t always mean low total.
5. Low cost fleets are limited.
Partial truth. Most low cost car rental in Portugal focus on economy and commercial vehicles.
But if you’re looking for an electric vehicle, convertible or 9-seater van, you may need a rent a car with a wider offer.


6. Low cost car hire doesn’t include extras.
Myth. Even cheap car hire services can offer extras like baby seats, toll devices or additional insurance. The variety may be smaller, but extras are usually available.
If you're looking for a more complete car rental service, including electric charging cards or premium roadside assistance, you may want to expand your search.
7. Renting a cheap car means compromising safety.
Myth. Car hire companies in Portugal are regulated by the AMT (Mobility and Transport Authority), and all vehicles must undergo regular inspections.
In this regard, your safety is generally well protected.
8. Low cost car rentals are more common in large cities.
Truth. Cheap car hire services are mainly available in urban areas where demand is higher and prices are more competitive. In rural regions, the offer can be more limited.

Drivalia offers wide coverage across Portugal, from north to south
9. Cheap rent a car services tend to be less flexible.
Truth. Low cost contracts are usually standard, with fewer options for changes or upgrades.
If you’re looking for flexible options like date changes or vehicle swaps, go for a company that offers tailored car hire solutions.
10. Online booking is complicated.
Myth. Most Portuguese companies now offer fast and simple online booking. Just make sure to confirm the company’s credibility before submitting personal details or payment information.
Frequently asked questions about low cost car rental in Portugal
What is low cost car rental?
It’s a car hire service that focuses on offering affordable car rental prices, usually with simpler features and fewer custom services.
Is it safe to rent a car from a low cost provider in Portugal?
Yes. These companies are regulated by AMT and must maintain their fleet to legal standards. Still, it’s wise to check reviews and reputation before booking.
How can I avoid hidden fees when I rent a cheap car?
Read the contract carefully, ask questions about extras, and confirm what's included in the quoted car rental price.
Rent a car in Portugal with peace of mind at Drivalia

In summary, the biggest advantage of low cost car rental in Portugal is the price.
But the best choice also depends on your comfort needs, vehicle type, contract flexibility and service quality.
At Drivalia, you get it all: a modern fleet, nationwide coverage, cheap car hire rates and personalised support.
How to Book Your Car with Drivalia:
- Go to our website;
- Choose your Portugal car hire location and dates;
- Fill in your details and select your vehicle;
- Finalise your booking quickly and securely.
Simple and reliable, for a smooth experience.