7 mistakes to avoid when sharing your car

Car sharing is an easy way to make a little extra cash when you don’t need to drive your primary car, especially when you’re headed out of town, or if you have an extra car that doesn’t get used often. But first-time sharers may run into a few issues. Knowing the top car sharing mistakes to avoid can help you seamlessly start sharing your car, avoid these issues and save some money and headaches along the way. 

1. Not being organized

Being a reliable car sharing car owner takes a bit of planning and organization. There can be a lot of moving parts when you start a rental car business on the side. For instance, depending on the platform you share through, you may need to communicate directly with borrowers or manage a claim if vehicle damage occurs. On top of that, you need to carefully consider your listing schedule. How often can you rent your car out? If you have multiple cars that you’re renting out, how will you organize their sharing schedules? When do you need to drop off the car(s) at the pick-up point? When do you actually need your vehicle for personal reasons? 

If you might need access to your vehicle while it’s listed for sharing, consider sharing your car through Avail. You can check it out while it’s listed for sharing and use it when you need it, as long as it’s not booked for a trip. Keeping your listing active ensures your car can still get booked and continue to earn money. 

Also keep in mind those drop-off times. It’s pretty straightforward: If you don’t drop the car off in time, the borrower can’t use it. And that means you’ll lose money and put your sharing profile in jeopardy. Not being prepared is a classic car sharing mistake to avoid.

2. Choosing the wrong auto insurance 

When you share your car, you’ll definitely need to insure it. A common car sharing mistake is choosing the wrong auto insurance, and it can be costly and disastrous. Read up on the car sharing platform you’re using. Does it have certain requirements of owners or offer some insurance coverage while your car is being shared? Do they cover the deductible? Who takes responsibility for a flat tire, or for something bigger like a collision?

Make sure you know how the relationship between the platform, borrower and the owner (that’s you!) works. Then you can make better decisions on how you want to insure your vehicle, such as determining what level of insurance policy you need and how much you want to pay up front versus a potential deductible.

3. Setting an inconvenient hand-off location 

When you’re sharing your car, you’ll need to park it at the designated meeting point or drop-off location. If you’re using a platform that requires you to coordinate a location with the borrower, choose a place that is near public transportation so you both have the option to use it to get to/from there. Also, choose a location that is well-lit, in a well-trafficked area and, if possible, has security cameras nearby to ensure the safety of your car until you or the borrower picks it up.

4. Not inspecting your car prior to drop off

Take 10 minutes to inspect and document your car’s condition — inside and out — with notes and pictures before you drop it off to ensure that any post-trip damage is assessed accordingly. When you pick up your car, conduct the same inspection to ensure the car sharing company didn’t accidentally overlook a ding or dent. Do this brief task before and after each trip or sharing period to keep your car’s condition in top shape.

Keep an eye on details like tire pressure, fluid levels and headlights so that nothing is running low or weak for the next borrower, which could cause damage to your car or require roadside assistance and insurance coverage to step in. 

5. Not setting mileage limits

If you’ve ever rented a car, you’ve likely been given a daily mileage limit. Rental car companies do this for a reason, and so should you. You probably don’t want someone taking your car across the country and putting 500 miles a day on it. That can put some heavy wear and tear on your vehicle and cause it to need more frequent maintenance. If the car sharing company doesn’t do this for you already, put limitations on the daily mileage and make sure to track and verify it on your odometer at pick-up and drop-off.

6. Pricing too low

If you’re using a service that lets you set the daily rental rate, you may be tempted to lower the price in order to get as many bookings as possible. But that may not be your best bet. It could result in borrowers viewing it as a cheaper vehicle and treating it as such. On the other hand, a higher rate may attract borrowers who value your vehicle and take better care of it. 

Just be cautious not to overprice your vehicle or it may be booked infrequently. Research what similar vehicles are going for on the platform you’re using, as well as competitor platforms. Monitor your booking rate over several weeks and alter your price as needed so you can find the happy medium, and don’t forget to adjust your price according to seasonality to stay competitive as demand shifts.

7. Buying the wrong car

Car sharing is a great way to make extra money on the side. But if you think buying an old, discounted vehicle is going to earn you some quick cash, think again. All car sharing programs have vehicle eligibility requirements, which may include mileage and age limitations, and not all cars fit the bill.

No matter the car, all vehicles require some level of maintenance. Make sure you get a full inspection on a used car before purchasing it, and continue with regular inspections. You don’t want a dashboard light to start flashing right before sharing or to get a call from the car sharing platform that your car is broken down on the side of the road. Avoid the car sharing mistake of purchasing an ultra-cheap car that may not be reliable or accepted by the car sharing company you’re hoping to use. Otherwise, you may not earn the money back you were hoping for. 

Make car sharing easier with Avail

Some of the top car sharing mistakes can be avoided just by choosing Avail. We’re upfront about our sharing eligibility requirements, mileage limits for all bookings (up to 200 miles per day) and the type of auto insurance you need and what we provide (up to $1M in liability insurance from Allstate, along with 24/7 roadside assistance). We also take the guesswork out of pricing by setting a daily rate for you, according to our internal calculations, and automatically adjusting for changes in demand and seasonality. And you never have to coordinate meet-ups with borrowers. In fact, you won’t have to talk to them at all because we take care of all communications and key hand-offs for you.

Share your car with Avail and earn money while you’re away, or make some extra cash when you don’t need to use it. Just set up an account, create a car profile and tell us when and where you’ll be sharing — we’ll take care of the rest. Sounds pretty easy to us. 

Unlock your earning potential

Want to earn even more? Share a direct link to your vehicle page on social media or with friends and family. Earn an extra $100 bonus each time a new borrower signs up using your link and completes a booking on one of your cars.