Car sharing services – what you need to know

RACQ has encouraged motorists to do their research before signing up to a car sharing service, after reports more people were turning to the scheme as a way to save on vehicle expenses.

Savings.com.au reported one car sharing business had increased its customers by 245 percent during the COVID-19 pandemic.

RACQ Head of Public Policy Rebecca Michael said it was not surprising more people were trying services which allowed them to hire out their own car or use someone else's for a fee.

“We’re seeing these type of sharing services become more popular, particularly overseas and expect it to surge in Queensland into the future,” Dr Michael said.

“Our research shows when you factor in paying for fuel, registration, insurance, maintenance, car loan repayments and depreciation you’re often paying in excess of $10,000 per year to keep your vehicle on the road. 

“Given the current economic climate, it can be a real strain on the family budget, especially if there are two or three cars sitting in the garage.  

“So for some people, if they live nearby public transport or are finding themselves driving less, it makes sense to sell or rent out their car and use a sharing service for the times they do need a vehicle.”

Dr Michael said it was crucial Queenslanders looked at their own circumstances and thoroughly researched their options before making a commitment.

“Like any financial decision, people shouldn’t enter into any agreement hastily. Make sure you look at your budget, how you use your vehicle and take into account any fees or charges, before agreeing to a new service.”