The Volkswagen Golf is a versatile and economical hatchback, ideal for travellers who want a practical and affordable way to explore Iceland. Its compact size makes it easy to handle in Reykjavík traffic and simple to park, while still offering comfort for day trips to nearby highlights. With excellent fuel efficiency and seating for up to five passengers, the Golf is a solid choice for budget-conscious travellers. That said, due to its size and 2WD system, it has limited luggage capacity and is not suitable for highland F-roads or rough gravel tracks. It’s best for couples or small groups planning to stick to Iceland’s main paved routes and looking for a reliable, low-cost option.
Heads-up: Reservations are made by car category. Specific models are not guaranteed.
Where can you drive with the VW Golf in Iceland?
This vehicle is NOT allowed on F-roads.
The Volkswagen Golf is well-suited for driving around Reykjavík city and along Iceland’s main paved roads, making it a practical option for sightseeing in the capital, day trips to the Golden Circle, or a relaxing visit to the Blue Lagoon. Its manageable size makes city driving and parking stress-free, while its good fuel economy helps keep travel costs down. However, travellers should take extra care when using a smaller 2WD car like the Golf in winter, as strong winds, icy conditions, and heavy snowfall can make driving more difficult. During the colder months, a larger 4×4 is often the safer choice, but for summer journeys and city-based trips, the VW Golf delivers great value, comfort, and convenience.
Important Reminder: Off-road driving is illegal in Iceland. Driving off-road on lava fields, moss, beaches, or unmarked land will result in heavy fines.
FAQ
- Is a Deposit Required for My Car Rental?
No, a deposit is not necessary when you book with us. You can secure your rental without any upfront costs, providing you with peace of mind.
- What Documents Do I Need to Rent a Car in Iceland?
Please bring a credit card in your name, valid for six months beyond the return date, and a valid driver’s license at pickup. The drivers license must contain Latin letters, if not, you will need an International Drivers License. For more details, please refer to our terms and conditions page.
- What Is Your Cancellation Policy?
The cancellation policy is as follows:
- 16 days or more before rental: Free cancellation
- 15-8 days before rental: 40% of the total reservation value
- 7-2 days before rental: 50% of the total reservation value
- 1 day before rental: 80% of the total reservation value
- No show: 100% of the total reservation value
If you need to cancel your booking, you can do so through our website if you booked directly with us. Just click on the “View/Delete Booking” button and enter your details. If you booked through another website or travel agent, please contact them directly for cancellation.
- How Do I Pick Up My Rental Car at Keflavik Airport?
You will find the Dollar car rental desk in the arrivals area at Keflavik International Airport, which is the area you enter after leaving baggage claim and clearing customs. It’s a small arrivals hall, so the desk is easy to find. And once you have picked up the keys, the vehicles are parked right outside the terminal – so no need for a shuttle bus.
- Can I Rent a Car in Akureyri with Dollar Car Rental?
Yes, we are also based at Akureyri Airport. When booking your vehicle simply select ‘Akureyri (AEY)’ from the pick up list, and same for the return location. You can also return at a different Dollar Car Rental location for an additional fee.
