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How trip costs are calculated - Young driver, trip fees, and price breakdown

This article explains how the total cost of a trip is calculated when renting a car through Drive lah. The total trip cost is made up of the trip price, trip fee, and processing fee.

Written by Lai

Components of the trip cost:

1. Trip price

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

  • The total trip price is calculated by multiplying the daily rental rate by the trip duration.

2. Trip fee

The trip fee is charged in addition to the trip price and varies depending on factors such as the ff:

  • Guest's age and driving experience

  • Car / Listing being booked

  • Trip duration

Young driver fee

A Young Driver fee applies to guests who fall into both of the following categories:

  • Below 24 years old

  • Have less than 2 years of driving experience

If a guest is 24 years old or above, or has 2 years or more of driving experience, NO Young Driver fee will be charged.

Any applicable Young Driver Fee is automatically included in the trip fee and will be reflected in the total trip cost displayed at checkout before the booking is confirmed.

3. Processing fee

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

Formula: Total trip cost = Total trip price + Trip fee + Processing fee

  • Total trip price = Daily rental rate × Trip duration

  • Processing fee = 4% × (Trip price + Trip fee)

Example A: Standard booking (No Young driver fee)

  • Host's daily trip price: $80

  • Guest's age: 30 years old

  • Driving experience: More than 2 years

  • Trip length: 1 day

Breakdown

  • Trip price: $80

  • Trip fee: $20

  • Processing fee: 4% of $100 ($4)

  • Total trip cost: $104

Summary

  • Guest pays: $104

  • Host receives: $80

  • Drive lah receives: $20 trip fee

Example B: Booking with Young Driver Fee

  • Host's daily trip price: $80

  • Guest's age: 23 years old

  • Driving experience: Less than 2 years

  • Trip length: 1 day

As the guest is below 24 years old and has less than 2 years of driving experience, a Young driver fee applies.

Breakdown

  • Trip price: $80

  • Trip fee: $28 (includes Young driver fee)

  • Processing fee: 4% of $108 ($4.32)

  • Total trip cost: $112.32

Summary

  • Guest pays: $112.32

  • Host receives: $80

  • Drive lah receives: $28 trip fee

Example C: Standard booking (No Young friver fee)

  • Host's daily trip price: $55

  • Guest's age: 26 years old

  • Driving experience: More than 2 years

  • Trip length: 1 day

Breakdown

  • Trip price: $55

  • Trip fee: $17

  • Processing fee: 4% of $72 ($2.88)

  • Total trip cost: $74.88

Summary

  • Guest pays: $74.88

  • Host receives: $55

  • Drive lah receives: $17 trip fee

Key points to remember:

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

  • The trip fee varies depending on the guest, car, and trip details.

  • Guests who are below 24 years old and have less than 2 years of driving experience will be charged a Young driver fee as part of the trip fee.

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

  • The total trip cost displayed at checkout includes all applicable fees before the booking is confirmed.

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