Yes, renters were charged excessive processing fees through a service called PlatePass, which Hertz used to automatically handle toll payments during car rentals. Hertz faced multiple class action lawsuits and settlements totaling at least $14.65 million because the company failed to adequately disclose these fees, auto-enrolled customers without their informed consent, and in some cases charged processing fees for the entire rental period even when tolls were only used on a single day. A customer renting a car for a week-long road trip, for example, might have been charged $9.99 per day in PlatePass convenience fees (approximately $70 total) plus the actual toll charges, even if they only used toll roads on one day of the rental period.
The core issue was deceptive disclosure and aggressive fee structures. Hertz partnered with American Traffic Solutions (ATS) and PlatePass to offer automatic toll payment services, but the company buried fee details in rental agreements and allowed charges to appear on customers’ credit cards days or weeks after the rental ended, making it difficult for renters to dispute them. Approximately 1.8 million renters were affected by these practices during the relevant class periods, according to litigation documents.
Table of Contents
- How Did Hertz’s PlatePass Toll Fee System Work?
- What Were the Major Settlements and Court Approvals?
- Why Were Renters Considered to Have Overpaid?
- Who Was Eligible for Refunds and How Much Could They Recover?
- What About Ongoing Complaints in 2025 and 2026?
- How Can Renters Determine If They Were Affected?
- What Changes Have Been Made, and What Should Renters Watch For Going Forward?
- Conclusion
How Did Hertz’s PlatePass Toll Fee System Work?
PlatePass is an electronic toll collection service designed to automatically pay tolls on the customer’s behalf as the rental vehicle passes through toll plazas. Rather than requiring customers to stop and pay cash or use a toll tag, Hertz offered this convenience service for customers driving through toll corridors like the East Coast turnpikes, Florida’s toll roads, and the Golden Gate Bridge in California. The problem was how Hertz implemented and disclosed the fees associated with this service.
When you rented a Hertz vehicle during the class action period, the company would enroll you in PlatePass by default without requiring explicit opt-in consent. Hertz would then charge you a daily convenience or processing fee—eventually standardized at $9.99 per day—on top of whatever actual tolls your vehicle incurred. A customer who drove through a $5 toll plaza might end up paying $14.99 for that single toll transaction ($5 actual toll plus $9.99 processing fee). Critically, Hertz often charged this daily fee for the entire rental period, regardless of whether the customer used toll roads for one day or seven days of their rental.
What Were the Major Settlements and Court Approvals?
In June 2014, a federal court in the District of New Jersey approved an $11 million settlement between Hertz, American Traffic Solutions Inc., and PlatePass LLC. This settlement addressed the core problem: Hertz had been charging customers excessive fees for toll processing without adequate disclosure of costs or alternatives. Class members who had been charged PlatePass fees during the rental period were eligible to receive a 67% refund of those charges—meaning that if you had paid $70 in PlatePass fees over a week-long rental, you could receive approximately $46.90 back.
However, the problems continued. In 2019, the San Francisco city Attorney reached a separate $3.65 million settlement with Hertz over hidden Golden Gate Bridge toll charges. This settlement specifically required Hertz to change its business practices: the company could only charge the PlatePass processing fee on days when the service was actually used, not for the entire rental period as a blanket charge. The fact that a second major settlement was necessary in 2019, five years after the first one in 2014, demonstrated that Hertz had not sufficiently reformed its practices despite the earlier lawsuit.
Why Were Renters Considered to Have Overpaid?
The excessive nature of these fees becomes clear when you examine the actual toll charges versus the processing fees Hertz tacked on. Let’s say you rented a Hertz car in New Jersey and drove through the garden State Parkway once, incurring a $4 toll. Under Hertz’s PlatePass system, you might be charged the $4 toll plus $9.99 for that day’s “convenience fee,” totaling $13.99 for a $4 tolling situation. The processing fee is nearly 250% of the actual toll amount.
Beyond the fee structure, the deceptive enrollment process made these charges particularly problematic. Most customers didn’t realize they had been enrolled in PlatePass or understand the daily fee structure. When credit card statements arrived weeks later—sometimes showing multiple charges because fees appeared separately from the actual tolls—many renters couldn’t immediately identify what the charges were or dispute them effectively. Hertz’s failure to provide clear, upfront disclosure meant that approximately 1.8 million customers during the class period unwittingly paid these inflated fees without understanding their options or consent.
Who Was Eligible for Refunds and How Much Could They Recover?
For the 2014 settlement, class members who could prove they paid PlatePass charges during the specified rental periods were eligible for refunds. The approved settlement formula provided a 67% refund of PlatePass-related charges, which covered not just the daily convenience fees but also certain associated costs. However, this required submitting a claim with documentation of your rental and charges—something many customers never pursued because they weren’t aware of the settlement or didn’t know how to file.
The challenge with these settlement programs is that they operate on a claims-made basis, meaning money is only paid out if eligible class members submit claims. Many consumers never learn about settlements, miss deadlines, or lack the necessary documentation (rental agreements, credit card statements from years earlier). Unclaimed settlement funds are sometimes distributed to cy pres recipients (non-profit organizations related to the claim’s subject matter) rather than returned to affected customers, making it crucial for potential class members to actively monitor for settlement notices and file claims promptly.
What About Ongoing Complaints in 2025 and 2026?
Despite the 2014 and 2019 settlements, multiple law firms continue to investigate new class action claims against Hertz related to toll processing fees and PlatePass charges. Consumer complaints persist through 2026, with customers reporting unexpected charges appearing on their credit cards weeks after rentals, claims that they opted out of PlatePass but were still charged, and confusion about fee structures. This suggests that either Hertz has not fully implemented the reforms required by previous settlements, or the company has adopted new practices that create similar harm.
The ongoing investigations indicate that the problem is not fully resolved. Customers continue to complain that they were charged for toll services they didn’t understand or authorize, that fee disclosures remain inadequate, and that charges appear on statements in confusing formats. This pattern of repeat complaints years after settlements is a warning sign that affected renters should carefully review any rental agreements from Hertz and monitor their credit card statements closely for unexpected charges, even in 2026.
How Can Renters Determine If They Were Affected?
If you rented a vehicle from Hertz between approximately 2005 and 2020, you should check your credit card statements from that time period to see if you were charged any PlatePass, electronic toll collection, or “convenience fees” beyond the actual toll amounts. Look for charges labeled as “PlatePass,” “Hertz Road Charges,” “toll processing,” or similar terms. These charges often appeared days or weeks after the rental was completed, sometimes under different merchant names, making them easy to overlook at the time.
If you identify such charges, you may be eligible for refunds from existing settlements if you still have the documentation (rental agreement, credit card statements) to prove you were charged. Settlement administrators maintain claim deadlines, so if you’re aware of charges, you should research the specific settlements—the 2014 federal settlement and the 2019 San Francisco settlement are the major ones with known refund programs. Some settlement claims may still be active or in later distribution phases, though deadlines may have passed for initial claims.
What Changes Have Been Made, and What Should Renters Watch For Going Forward?
The 2019 San Francisco settlement directly changed Hertz’s billing practices by requiring the company to charge PlatePass fees only on days when the service was actually used, rather than applying a blanket daily fee for the entire rental period. This was a material reform that reduced overcharges for customers who drove through tolls on only one or two days of a longer rental. However, the fact that ongoing complaints and investigations persisted years later suggests that either this change was not universally implemented or new variations of toll-charging practices have emerged.
Going forward, consumers should be aware that automated toll payment services at rental car companies are convenient but often come with hidden or inadequately disclosed fees. When renting a vehicle, carefully read the rental agreement’s section on toll services and ask the rental agent directly about PlatePass fees, daily charges, and when fees are assessed. Some customers choose to opt out of automatic toll services and instead pay tolls directly at toll plazas or through alternative payment methods. Understand that opting out may limit your convenience on certain highways, but it eliminates the risk of hidden processing fees and gives you control over toll payment timing and costs.
Conclusion
Hertz’s PlatePass toll processing fee practices resulted in multiple major settlements—$11 million in 2014 and $3.65 million in 2019—because the company failed to adequately disclose fees, auto-enrolled customers without meaningful consent, and charged processing fees that were often disproportionate to actual tolls. Approximately 1.8 million renters were affected by these practices, and those who have documentation of their charges may be eligible for refunds if they file timely claims.
If you rented from Hertz and noticed unexplained toll-related charges on your credit card, review your statements and investigate whether you qualify for a refund under one of these settlements. Settlement claim deadlines vary, but many settlements have either passed or are in late distribution phases, making immediate action necessary if you identify eligible charges. Moving forward, approach automated toll services at rental car companies with caution, read agreements thoroughly, and don’t hesitate to opt out if you prefer to manage toll payments directly.
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