Which statement about rental deposits is true?

The statement that rental deposits can vary based on the type of vehicle is accurate because different vehicles may have different values, impact on risk, and associated costs to the rental company. Higher-end or specialty vehicles, for instance, may require a larger deposit to cover potential damages or risks associated with renting such cars. This practice helps ensure that the rental company is protected against loss or damage and can depend on the specific rental agreement as well as the regulations and policies of the rental agency.

While some rental companies may not require a deposit for certain standard or economy vehicles, requiring a deposit can be a standard procedure for premium or luxury car rentals. Additionally, the other options are less accurate: deposits are often required for many vehicle types, they may not be fully refundable depending on the rental circumstances, and they typically do not exceed the rental rate but could be a percentage of it or a flat amount designed to cover damages. Understanding how rental deposits function can help customers better prepare for their rental experience.