How Much Does a Credit Hire Car Cost—and Do You Pay Anything?
When you’re involved in a road accident and your car is rendered unusable, the stress can be overwhelming. Not only do you have to deal with insurance claims and repairs, but you also lose access to your primary mode of transport. This is where credit hire cars come in—providing a replacement vehicle so you can get on with your daily life while your damaged vehicle is off the road.
But many people ask: “How much does a credit hire car cost?” and “Do I need to pay anything?” These are important questions, especially if you’re trying to navigate post-accident recovery without financial strain. In this article, we’ll explain the ins and outs of credit hire, explore the costs involved, and clarify whether you’re liable to pay anything.
What Is a Credit Hire Car?
A credit hire car is a replacement vehicle provided to a driver whose car has been damaged in a non-fault accident—meaning the other party was to blame. The cost of the hire car is typically covered by the at-fault driver’s insurance company, not by the person receiving the replacement vehicle.
The term “credit” in credit hire refers to the deferred payment arrangement: the hire company supplies the vehicle now and seeks payment later—usually from the at-fault party’s insurer.
Why Use Credit Hire Services?
Here are some key reasons why victims of non-fault accidents prefer credit hire services:
- No upfront payment required.
- A like-for-like replacement vehicle is offered (e.g., if you were driving an SUV, you won’t be given a small compact car).
- The hire is managed by experts who deal directly with insurance companies.
- You get peace of mind and continuity in daily life.
Credit hire services like those offered by Marigold Services are designed to protect your rights while ensuring you’re not left out of pocket due to someone else’s mistake.
So, How Much Does a Credit Hire Car Cost?
The actual cost of a credit hire vehicle can vary based on several factors, including:
- Type of Vehicle
The larger and more luxurious the car, the higher the daily rate. Here’s a general idea of average rates in the UK market:
Please note that credit hire rates are higher than normal car rental rates because they include additional services such as legal support, admin, delivery/collection, and insurance negotiations.
Do You Pay Anything for a Credit Hire Car?
If You Are Not at Fault:
You should not pay anything out of your own pocket.
The cost of the hire is claimed directly from the at-fault party’s insurer. You receive the replacement car on a credit agreement, meaning you don’t pay upfront or during the hire period.
At Marigold Services, we work with a panel of legal and claims professionals to ensure you’re fully supported and that costs are pursued from the responsible party.
Important Conditions Apply:
While you typically pay nothing, there are important conditions and responsibilities:
Your claim must be valid – you need to be clearly not at fault.
You must cooperate fully with the claims process.
Use the vehicle only as necessary and return it when your car is repaired or a settlement is offered.
Act reasonably – don’t reject an offer from the at-fault insurer to provide a vehicle if it’s suitable.
Failure to meet these conditions may result in you becoming liable for the cost. But in most genuine, well-managed claims, you won’t need to worry.
Who Pays the Credit Hire Charges?
The at-fault party’s insurance company is responsible for covering:
- The hire car charges
- Admin and recovery fees
- Delivery and collection charges
- Legal and claim handling costs (sometimes)
The charges are presented in a legal claim submitted by your legal representative or the credit hire company itself. They negotiate or litigate with the at-fault insurer to recover the costs.
What If the Insurer Refuses to Pay?
Sometimes, the at-fault insurer may dispute:
- The need for a like-for-like vehicle
- The length of the hire period
- The daily rate charged
- Whether the vehicle was actually required
This is where having a reliable credit hire company like Marigold Services becomes crucial. We ensure all documentation is accurate, the claim is properly prepared, and you’re represented if the case goes to court.
As long as you’re truthful and cooperative, your liability is very limited or zero.
Duration of Credit Hire—and How It Affects Costs
The longer you keep the credit hire car, the higher the total bill. However, if the repair or settlement process is delayed due to no fault of your own, the additional cost is still recoverable from the at-fault insurer.
You are typically allowed to keep the vehicle until:
- Your original car is repaired and returned
- A settlement cheque is issued (if your car is written off)
- You unreasonably delay returning the vehicle
At Marigold Services, we manage the timeline carefully to protect your rights and ensure no unnecessary delays or disputes.
Credit Hire vs. Standard Car Rental
You might wonder: why not just rent a car from a regular rental company?
If you’re not at fault and eligible, credit hire is the smarter, stress-free option.
What Happens If You’re Found to Be At Fault?
If investigations or court rulings find that you were at fault—even partially—then you may be held responsible for all or part of the credit hire costs. This is rare when claims are properly documented.
To avoid this, it’s important to:
- Report the accident honestly
- Provide witness statements or dashcam footage if available
- Cooperate fully with your legal team
At Marigold Services, we vet each claim to ensure we only support genuine non-fault drivers.
Can Taxi Drivers or Uber Drivers Use Credit Hire?
Yes! In fact, professional drivers benefit greatly from credit hire. If your minicab or Uber vehicle is involved in a non-fault accident, a suitable replacement vehicle can be arranged quickly—often with licensing and signage included.
The cost is still covered by the at-fault party’s insurer, and you won’t have to stop working.
Conclusion: Understanding Credit Hire Costs
To summarise:
- Credit hire cars cost between £40 and £300+ per day, depending on the type of vehicle.
- If you’re not at fault, you usually pay nothing, as the cost is claimed from the at-fault party’s insurer.
- It’s crucial to cooperate fully with the claims process to avoid any liability.
- Working with a trusted provider like Marigold Services ensures your replacement vehicle is provided smoothly, legally, and fairly—with no upfront cost to you.
Why Choose Marigold Services for Credit Hire?
At Marigold Services, we’re committed to:
- Providing high-quality like-for-like replacement vehicles.
- Ensuring no cost to you if you’re not at fault.
- Supporting you through the legal and claims process.
- Protecting your rights with transparency and professionalism.
Need a replacement car after a non-fault accident?
Let Marigold Services handle it for you—quickly, legally, and without hassle.
📞 Contact us today to find out how we can help you get back on the road—without paying a penny.