How to Cash In Your Avis and Payless Refund Before It Expires August 13

Man and woman signing hire car agreement and car insurance at airport
Travellers can often cut hire car insurance costs by arranging comprehensive cover before reaching the rental desk.
Man and woman signing hire car agreement and car insurance at airport
Travellers can often cut hire car insurance costs by arranging comprehensive cover before reaching the rental desk.

If you rented a car from Payless anywhere in the United States between January 1, 2016, and November 25, 2023, and paid a gas or roadside protection charge, a settlement check could already be sitting in your mailbox. It expires August 13.

Avis Budget Group and its Payless brand agreed to pay $19 million to settle a class action lawsuit accusing the companies of charging customers for a Gas Service Option and a Roadside Protection add-on even when renters declined those products at the counter. A federal judge in New Jersey gave the deal final approval in December, and the settlement administrator mailed payments starting May 15. Anyone who does not cash their check by August 13 forfeits the money for good.

What the Settlement Covers

The case, Bacon et al. v. Avis Budget Group Inc. et al., was filed in the U.S. District Court for the District of New Jersey. Renters accused Payless of automatically applying GSO and RSP charges to bills regardless of whether the customer selected them, a practice commonly described as drip pricing or a junk fee.

Class members are U.S. or Canadian residents who rented from Payless in the United States within the class period and paid for a Gas Service Option, a Roadside Protection charge, or both. Under the settlement terms, members with GSO charges can recover up to $20 per rental, and members with RSP charges can recover up to $12 per rental. Payments went out automatically to everyone who did not exclude themselves from the settlement. No claim form was ever required.

Why the Check Has a Deadline

Class action settlements routinely include a void date for uncashed checks so the case can close and any unclaimed funds can be redistributed or returned according to the settlement agreement. For this case, that date is August 13, 2026. A check that sits uncashed past that point simply stops being valid, and the settlement administrator, Kroll Settlement Administration, is not required to reissue it automatically.

Renters who believe they qualify but never received a check, or who lost the one they were mailed, can contact Kroll directly at (833) 621-8397 or through the official settlement website before the deadline. The court-approved site warns that it is the only authorized source of information on the case, a distinction worth noting given how often scam texts and emails piggyback on real class action settlements to phish for bank details.

The case moved through the standard class action timeline. The exclusion and objection deadlines both closed in early November 2025, giving anyone who wanted to pursue an individual lawsuit against Avis or Payless instead of taking the settlement payment a chance to step outside the class. A federal judge held a final approval hearing on December 9, 2025, in Newark, and signed off on the deal after reviewing objections and confirming the payment structure was fair to the class covered by the case. Kroll Settlement Administration, the court-appointed firm handling notices and payments, began mailing and issuing electronic payments on May 15, 2026, giving class members roughly three months to deposit or cash what they received before the void date arrives.

How Much Money Is Actually at Stake

The math behind the $19 million fund breaks down per transaction rather than per person, as many renters used Payless more than once within the seven-year class period. A frequent renter who paid the Gas Service Option on several trips and the Roadside Protection charge on others could be entitled to multiple payments, each capped at $20 for GSO and $12 for RSP per rental. Someone who rented from Payless five times within the class period and paid both fees each time could see a payment in the hundreds of dollars, while an occasional renter who paid one charge on a single trip receives a smaller amount.

Court filings in the case describe the GSO and RSP charges as add-ons that Payless counter staff sometimes applied automatically to rental agreements without customers actively selecting them, or presented in a way that made declining the charge unclear. Avis Budget Group did not admit wrongdoing as part of the settlement, which is standard in cases resolved before trial.

Part of a Wider Pattern in Rental Car Fees

The Payless settlement lands alongside a string of similar cases against rental companies. Sixt is distributing payments in 2026 after thousands of customers accused it of tacking on undisclosed charges for damage waivers, fuel service and insurance. Drive Sally faces a proposed class action alleging it advertises a fixed weekly rate while adding charges for early termination, tolls and vehicle reactivation that were never clearly disclosed. Consumer group Travelers United has separately sued Avis Budget Group in Washington, D.C., accusing the company of what it calls bait and switch pricing on top of advertised rental rates.

Regulators have taken notice too. The Federal Trade Commission and the Arizona Attorney General secured a $2.6 million settlement from an Arizona dealership over unwanted add-ons, and state attorneys general in Maryland and Rhode Island have pursued separate junk fee cases against auto dealers and rental firms this year. The Federal Trade Commission’s rule targeting hidden fees across travel and live event ticketing took effect in May, and rental car pricing has increasingly come under the same scrutiny as concert tickets and hotel bookings.

How to Protect Yourself on Future Rentals

Renters can avoid a repeat of the Payless situation by reading the counter agreement line by line before signing, and by explicitly declining any add-on verbally and asking the agent to confirm it was removed from the total. Screenshotting the online booking confirmation before arriving at the counter creates a record of what was actually agreed to, which is useful if a dispute comes up later.

Renters who spot an unauthorized charge on a final bill should dispute it directly with the rental company first, in writing, and keep records of that correspondence. If the company does not resolve the dispute, a chargeback through the credit card used for the rental is often faster than waiting on a company’s customer service line, and it preserves a paper trail if the charge turns out to be part of a broader pattern that later becomes a class action.

What to Do Before August 13

Anyone who rented from Payless in the 2016 to 2023 window and paid for gas service or roadside protection should check their mail, email and bank statements now for a settlement payment. Physical checks need to be deposited or cashed at a bank before the deadline. Renters who chose electronic payment options should confirm the funds actually posted rather than assuming a payment notification means the money already landed.

Those who never received anything but believe they qualify have a narrow window left to reach Kroll Settlement Administration and ask about their status before the case formally closes out unclaimed funds.


Sources:

Jarrod

Jarrod Partridge is the founder of Motoring Chronicle and an FIA accredited journalist with over 30 years of experience following motorsport and the global automotive industry. A member of the AIPS International Sports Press Association, Jarrod has covered Formula 1 races and automotive events at venues around the world, bringing first-hand insight to every race report, car review, and industry analysis he writes. His work spans the full breadth of motoring — from the latest EV launches and road car reviews to the cutting edge of motorsport competition.

Leave a Comment

More in News

Freedom or safety for young drivers? UK can and must deliver both, says GEM 11/05/2026 SHARE: Images are for editorial use only. Experts gathering at Young Driver Focus in London on 13 May to press for action, not further delay Young drivers remain disproportionately at risk, with preventable deaths continuing on UK roads International evidence shows graduated driver licensing can cut crashes by up to 40% GEM Motoring Assist will return to the RAC Club, London, on 13 May as headline sponsor of Young Driver Focus 2026, renewing calls for decisive action to improve protection for newly-qualified drivers. Despite years of evidence and advocacy, the UK has yet to introduce a comprehensive system of graduated driver licensing (GDL) - a move GEM and other road safety groups say is costing young lives. GEM head of road safety James Luckhurst said: “We are long past the point of asking whether we should act. The evidence is overwhelming, and the consequences of delay are measured in lives lost and families devastated.” GDL is a phased approach that allows new drivers to gain experience under lower-risk conditions before progressing to full driving privileges. Common measures include limits on late-night driving and restrictions on carrying same-age passengers during the months after passing the test. International research consistently shows crash reductions of between 20% and 40% where GDL systems are in place. In some regions of Canada, reductions in young driver deaths have exceeded 80%. In the UK, drivers aged 17 to 24 account for around 20% of road deaths, despite making up just 7% of licence holders. Inexperience, distraction and overconfidence remain key risk factors - precisely the issues GDL is designed to address. GEM stresses that a well-designed system supports rather than penalises young people, and a recent TRL review1 found no significant negative impact on access to education, employment or social activity. GEM supports a system that extends structured learning, reduces known high-risk conditions and allows young drivers to build skills progressively and safely. GEM head of road safety James Luckhurst said: “We do many things well in the UK, particularly in driver training, but the current system offers too little structured support once someone passes the test. That’s where the real risk begins. “The choice is simple: continue with a system we know is failing too many young people, or take proven steps that will save lives. Doing nothing is not a neutral position - it is a decision with consequences… and Young Driver Focus offers a chance to translate the latest insight into real-world action.”

How DVSA Data Reveals Which Driving Test Centres Give You the Best Odds

DVSA's own test volume data shows rural driving test centres ...
Diesel being pumped into car at petrol station

Every UK Driver Faces Two More Fuel Duty Rises Worth 4p by March 2027

Fuel duty is rising for the first time in 15 ...

Newcastle Drivers Paid £3.7 Million in Parking Enforcement as Council Income Jumps 23 Percent

Newcastle City Council's parking income reached £13,965,353 in 2025-26, up ...
Hatchback parked on street in disabled parking bay

Coventry Drivers Paid £5.4 Million in Parking Charges as Council Surplus Jumps 80 Percent

Coventry City Council's combined parking and bus lane surplus rose ...
Mechanic inspecting a car

What Your Rights Actually Are When a Garage Overcharges or Botches a Repair

If you agreed a price or quote before the work, ...

Trending on Motoring Chronicle

08 BUGATTI Type 35 Victories

Bugatti Type 35: epic races and victories that created a legend [Photo Gallery]

In the annals of motorsport, few cars have proved as ...
Scenic,View,Big,Modern,White,Family,Rv,Camper,Van,Vehicle

How the New EU Entry Exit System Will Change Your Drive to Europe This Summer

If you are planning to drive to France, Spain or ...

Ten Classic Cars Tipped to Rise in Value This Year, One Costs Under £22,000

Hagerty UK's 2026 Bull Market List names ten classic cars ...
S24_2739_fine

Porsche celebrates 25 years of the 911 GT3 [Photo Gallery]

A quarter of a century ago, Porsche introduced a new ...
Remove BG Save Share Sample Brake and accelerator pedal of automatic transmission car

Which Side Is the Accelerator and Brake?

The brake pedal is on the left and the gas ...