About Allegiance Motor Group
Allegiance Motor Group is a UK-based vehicle rental and mobility provider, offering flexible short- and long-term hire solutions to customers from around the world. Operating in a fast-moving rental environment, the business manages high vehicle turnover, international customers, and time-sensitive post-rental charges such as parking penalties, congestion charges, and traffic violations.
With a strong focus on customer experience and operational efficiency, Allegiance relies on robust payment infrastructure to protect revenue while maintaining a smooth rental journey.
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The problem
Before working with payabl., Allegiance Motor Group faced a critical issue around point of sale (POS) pre-authorisation hold periods.
Customer deposits were being released after five to six days, while Penalty Charge Notices (PCNs) and congestion charges often took up to 14 days or longer to reach Allegiance via their leasing provider. By the time these fines were received:
- The customer’s deposit had already been released
- The customer had often returned to their home country
- Allegiance had already been charged an administration fee by the leasing company
As a result, Allegiance was absorbing unrecoverable costs for fines and administration fees, a recurring and avoidable revenue drain.
“We were losing money on penalty charges because by the time the fines came through, the deposit had already been released and the customer had left the country. Recovering that money was extremely difficult.”
Sadan Khan, Founder and CEO, Allegiance Motor Group
The solution
As part of its payabl. in-store solution in the UK, payabl. provided Allegiance Motor Group with a pre-authorisation solution capable of holding deposits for up to 30 days, aligning the payment lifecycle with the real-world timing of PCN notifications.
This enabled Allegiance to:
- Retain funds securely until all potential post-rental charges are known
- Recover PCNs, congestion charges, and administration fees directly from held deposits
- Batch multiple fines into a single charge before releasing the remaining balance
Implementation was straightforward, with no disruption to Allegiance’s day-to-day operations. While the business adapted its internal process to charge all fines at once near the end of the hold period, this proved to be a simple and effective operational adjustment.
“The biggest benefit is the 30-day pre-authorisation. We’re finally able to recover money for penalty charges and parking violations that we previously had to write off.”
Sadan Khan, Founder and CEO, Allegiance Motor Group
The results
Since going live with payabl., Allegiance Motor Group has begun consistently recovering thousands of pounds’ revenue that was previously lost, directly improving profitability on each rental. This has given the business greater confidence in scaling online bookings and payments.
Key outcomes include:
- Average of 7.3% monthly revenue recovered on rental income
- Successful recovery of £7.5K worth of PCNs, congestion charges, and related administration fees in one month
This uplift represents pure recovered revenue, not new sales, making it highly valuable to the business’s bottom line.