New York Woman Challenges Hertz Over $440 Damage Fee

A woman from New York is contesting a $440 bill from Hertz, triggered by an AI damage scanner used by the car rental company. Nicole Paixao explained that after returning a Nissan Altima at Atlanta’s Hartsfield-Jackson International Airport, she received messages indicating damage was found on the vehicle.

“Before we even got to the gate, I got a text and email saying there was damage,” she recounted, expressing disbelief at the claim. She and her wife travel frequently and, according to Paixao, they have decided to avoid Hertz in the future.

“I can’t believe they’re charging me for something so minor—a small scuff on the wheel,” she said. Photos provided by Hertz showed scuffs on the passenger side tires, but she insists the car had no visible damage when they picked it up.

The couple rented the vehicle on June 28 and returned it on July 5, with Paixao noting that the tire appeared undamaged at the time of pickup. After Hertz’s inspection, however, a mark was allegedly found on the rim, about a few inches wide.

The rental giant defended its use of AI diagnostics, claiming it delivers “precision, objectivity, and transparency” in assessing vehicle conditions. According to Hertz, the AI scans ensure that 97% of the nearly 1 million scanned rentals show no claimable damages.

As per the company’s terms, customers are financially responsible for any damages incurred during their rental period. Hertz assured that the scanners only report damage that exceeds a specific threshold—like dents over an inch.

“We don’t charge for normal wear and tear, just significant damage,” a representative commented.

Paixao mentioned that she had the option to buy Hertz’s insurance but opted against it due to her existing coverage through her employer. “I think I didn’t want to give in to what feels like price gouging,” she remarked, emphasizing her intent to handle the situation without filing a claim.

Despite her requests, she stated that Hertz failed to provide video evidence of the alleged damage. Paixao, who doesn’t own a car, questioned how they arrived at the $440 figure. “It feels like a scam,” she stated, indicating concern over how often similar charges occur.

She speculated that the minor mark could have been misinterpreted by the AI or caused during the rental process. “They could just buff it out—charging $440 feels excessive,” she said.

Paixao also pointed out communication issues with Hertz, claiming they sent her multiple payment reminders, which she considered harassment. “I got messages not just on my phone but also on my wife’s as a backup,” she noted.

After several unanswered emails and calls, she found herself frustrated by the customer service experience. When she finally spoke with a representative, she felt her concerns were dismissed. “She didn’t even show me the supposed damage,” Paixao recounted.

Additionally, she contacted her credit card company to dispute the charge, expressing that it seemed like something was off. Paixao even provided Hertz with her lawyer’s contact information, hoping to escalate the issue.

As the rental situation unfolded, she made sure to compile evidence, sending emails and receipts to Orbitz, the platform she used to book the car. Yet, she found herself being asked for the same information repeatedly, which only added to her frustration.

This incident echoes a growing number of complaints regarding Hertz’s AI scanners, which critics say often flag existing wear or environmental reflections as new damages, leading to hefty fees for renters nationwide.

The company has implemented these AI systems at numerous airports and plans to expand this technology further by the end of 2025. While Hertz insists on fair treatment, many users are calling for a better way to contest charges produced by automated systems.

As Paixao reflected on her experience, she raised questions surrounding the costs associated with tire repairs, revealing she could find a replacement for under $280 online. She also recalled a previous incident in Phoenix where she was charged for not returning a vehicle with a full gas tank, despite having filled it up before drop-off.

In light of these experiences, Paixao is determined to challenge the fee, seeking clarity on the practices of Hertz and their AI damage assessment protocols.