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How is the trip cost calculated?

Lia avatar
Written by Lia
Updated over 2 weeks ago

This article explains how the total cost of a trip is calculated when renting a car through Drive lah. The total trip cost consists of several components, including the trip price, trip fees, and processing fees. The article provides examples to clarify how these components come together.

Components of the Trip Cost

The total cost of a trip is calculated by adding the following components:

1. Trip Price

The trip price is the daily rental rate set by the host for their vehicle.

This price is multiplied by the length of the trip to determine the base cost.

2. Trip Fee

The trip fee varies based on several factors, including the driver's age, the car model, and the trip price.

This fee is added on top of the trip price.

3. Processing Fees

A processing fee of 4% is applied to both the trip price and the trip fee to cover credit and debit card processing costs.

Example Scenarios

Example A:

Host's daily trip price: $80

Guest's age: 30 years (no additional fees for age)

Trip length: 1 day

Breakdown:

Trip Price: $80

Trip Fee: $20

Processing Fee: 4% of $100 ($4)

Total Trip Cost: $104

In this example:

The guest pays $104.

The host receives $80 (the daily rental price).

Drive lah receives $20 (trip fee) and the processing fee is included.

Example B:

Host's daily trip price: $80

Guest's age: 23 years (additional young driver fee)

Trip length: 1 day

Breakdown:

Trip Price: $80

Trip Fee: $28 (including the young driver fee)

Processing Fee: 4% of $108 ($4.3)

Total Trip Cost: $112.3

In this example:

The guest pays $112.3.

The host receives $80 (the daily rental price).

Drive lah receives $28 (trip fee) and the processing fee is included.

Example C:

Host's daily trip price: $55

Guest's age: 26 years (no additional fees for age)

Trip length: 1 day

Breakdown:

Trip Price: $55

Trip Fee: $17

Processing Fee: 4% of $72 ($2.8)

Total Trip Cost: $74.8

In this example:

The guest pays $74.8.

The host receives $55 (the daily rental price).

Drive lah receives $17 (trip fee) and the processing fee is included.

Key Points to Remember:

The trip price is set by the host and based on the car's daily rental rate.

The trip fee varies depending on the guest's age, the car model, and the trip length.

A processing fee of 4% is applied to the trip price and trip fee.

The total trip cost is calculated by adding the trip price, trip fee, and processing fee.

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