If you are renting a car for your trip to Iceland and you want a company that has seen every kind of Icelandic weather since 1966, here is your answer. Höldur, the Europcar franchisee in Iceland, is one of my trusted partners, and readers of Stuck in Iceland save 10% on every booking with my promo code STUCK10. You simply type it into the Coupon field when you book — I explain exactly where to do so below.

Höldur is Iceland’s oldest and largest car rental company. They run a fleet of more than 8,000 vehicles and over 20 pick-up locations around the country — including a desk right inside the arrivals hall at Keflavík International Airport, so there is no shuttle bus to wait for when you land. Whether you are a couple doing the Golden Circle or a family of eight circling the Ring Road, there is a sensible option in this fleet, and I have gone through it below with my honest advice on which car suits which kind of trip.
Europcar Höldur Discount Code — 10% Off
As a partner of Höldur, I can offer Stuck in Iceland readers 10% off every car rental. Use this code when you book on holdurcarrental.is:
STUCK10
Enter it in the field marked Coupon on the booking form, and the 10% comes off before payment.
Want discounts like this for your whole trip? My free newsletter unlocks exclusive codes from 50+ hand-picked Icelandic operators — tours, car rentals, camper vans, spas, and more.
I confirm this code directly with Höldur. I negotiate every Stuck in Iceland discount personally with the operator, so you will never find an expired or fake code here.
How to use the STUCK10 promo code
The booking form makes this easy, but here is the exact route so nothing trips you up:
- Go to the Höldur / Europcar Iceland website.
- Choose your vehicle type, pick-up location, and dates.
- Type STUCK10 into the field marked Coupon before you search.
- Pick your car and any extras you want.
- Complete the booking — the 10% discount is reflected in your price.
That is it. You have saved 10% on your rental and helped keep this travel magazine running. Check the final price and details with Höldur before you book.
Rent from Iceland’s oldest and largest car rental company
Höldur was founded in Akureyri back in 1966, which makes it the oldest car rental company in Iceland — sixty years of learning what Icelandic roads, gravel, wind, and winters do to a car. Today they are also the biggest, with a fleet of over 8,000 vehicles and the country’s widest service network. That size matters more than you might think: with more than 20 pick-up and drop-off locations and Iceland’s largest network of service stations, help is never far away if something goes wrong on your road trip. Every rental includes 24/7 roadside assistance.
Their Keflavík Airport operation deserves a special mention. The desk is inside the arrivals terminal — you walk off the plane, collect your bags, and the counter is right there. No shuttle bus in the rain with tired children. During peak summer, they operate around the clock to meet every arriving flight.
Beyond Keflavík, you can pick up or return a car in Reykjavík (two city locations plus the domestic airport), Akureyri (downtown, airport, and the cruise harbor), Ísafjörður, Sauðárkrókur, Húsavík, Egilsstaðir, Höfn, and the Westman Islands. One-way rentals — for example landing at Keflavík and flying home from Akureyri — are possible, which opens up some clever itineraries that most rental companies simply cannot support.
Overview of available vehicles
Small & Economy Cars — Couples and City Trips
| Car | Gearbox | Seats | Suitcases | Highlands? |
|---|---|---|---|---|
| Toyota Aygo | Manual or auto | 4 | 2 | No |
| Toyota Yaris | Manual or auto | 5 | 2 | No |
| Suzuki Swift AWD | Manual | 5 | 2 | No |
| Kia Ceed | Manual or auto | 5 | 3 | No |
| Toyota Yaris Cross AWD | Auto | 5 | 2 | No |
| Skoda Octavia (sedan) | Auto | 5 | 3 | No |
My advice: In summer, a small 2WD car handles the Ring Road, the Golden Circle, and the South Coast just fine, and the fuel savings are real. Two people with soft bags will be happy in a Yaris. The interesting one here is the Suzuki Swift AWD — a small, cheap-to-run car with all-wheel drive is a genuinely clever choice for shoulder-season trips, and not something you find at most rentals. If you want more boot space without going up a class, take the Kia Ceed.
Estate Wagons — More Space, Same Footprint
| Car | Gearbox | Seats | Suitcases | Highlands? |
|---|---|---|---|---|
| Kia Ceed Sportswagon | Manual or auto | 5 | 4 | No |
| Dacia Jogger (7 seats) | Manual | 7 | 1 (all seats up) | No |
| Skoda Octavia Combi | Auto | 5 | 5 | No |
| Skoda Octavia Combi AWD | Auto | 5 | 5 | No |
My advice: The Skoda Octavia Combi is a quietly brilliant summer Ring Road car for a family of four — a huge boot, comfortable on long days, and easy on fuel. The AWD version adds all-weather confidence for spring and autumn trips without the cost of a full SUV. A word of honesty about the Dacia Jogger: with all seven seats up, it takes one suitcase. It works for a summer day-trip crew with light packing, not for seven people with a week of luggage — for that, scroll down to the minivans.
Electric Cars — Cheap to Run in the Land of Renewable Energy
| Car | Drive | Seats | Highlands? |
|---|---|---|---|
| BYD Dolphin | 2WD | 5 | No |
| Kia EV3 | 2WD | 5 | No |
| Volkswagen ID.4 | 2WD | 5 | No |
| Volkswagen ID.4 GTX AWD | AWD | 5 | No |
| Tesla Model Y AWD | AWD | 5 | No |
| Smart #5 | See Höldur site | 5 | No |
My advice: Electric cars make a lot of sense here — our electricity is renewable and the charging network along the Ring Road is decent. Höldur provides the charging cables and guidance on using Iceland’s charging network with every EV rental. For a Reykjavík base with Golden Circle and South Coast day trips, an EV is an easy yes. For a full Ring Road circle, it works, but plan your charging stops in the Eastfjords ahead of time. Note that no electric car is permitted on highland F-roads.
4×4 SUVs — Gravel, Winter, and the Highlands
| Car | Gearbox | Seats | Suitcases | Highlands? |
|---|---|---|---|---|
| Suzuki Jimny 4×4 | Manual | 2 | 2 | Yes |
| Dacia Duster 4×4 | Manual | 5 | 3 | Yes |
| Suzuki Vitara 4×4 | Manual or auto | 5 | 3 | Yes |
| Dacia Bigster 4×4 | Manual | 5 | 4 | Yes |
| Kia Sportage 4×4 | Auto | 5 | 4 | Yes |
| Kia Sportage PHEV 4×4 | Auto | 5 | 4 | Yes |
| Mitsubishi Outlander PHEV 4×4 | Auto | 5 | 4 | Yes |
| Toyota RAV4 4×4 | Manual or auto | 5 | 4 | Yes |
| Kia Sorento 4×4 | Auto | 5 | 5 | Yes |
| Toyota Land Cruiser 150 | Auto | 5 | 5 | Yes |
| Toyota Land Cruiser 250 | Auto | 5 | 5 | Yes |
| Land Rover Discovery | Auto | 5 | 5 | Yes |
| Land Rover Defender | Auto | 5 | 5 | Yes |
My advice: This is where Höldur really shines — no rental company in Iceland has a wider 4×4 range. The Dacia Duster remains the value pick, one of the most popular rental cars in Iceland for good reason. I drive a Kia Sportage myself, so I can vouch for that one from daily experience — it is the sweet spot for most Ring Road trips outside high summer. Note that Höldur’s Jimny is the two-seat version: charming and genuinely capable off the tarmac, but strictly for a couple with soft bags. For the highlands, the Land Cruisers are the honest choice — built for F-roads and rough ground. But never ford a river you have not walked or watched someone else cross first. I personally never attempt this, but you are an adult, and you make your decisions! One more practical note: in winter, all Höldur vehicles come fitted with studded winter tires, which is exactly what you want here from October onward.
Minivans — Big Families and Groups
| Car | Drive | Seats |
|---|---|---|
| Volkswagen Caddy Maxi Life | 2WD | 7 |
| Ford Tourneo | 2WD | 8 |
| Renault Trafic | 2WD | 9 |
| Volkswagen Caravelle 4WD | 4WD | 9 |
My advice: A word of caution from someone who has packed a car for a family: 7-seaters carry seven people or a week of luggage, rarely both. If your group has real suitcases, go straight to the 9-seat Trafic or Caravelle — the vans are the honest answer. For a winter group trip, the Caravelle with four-wheel drive is the one I would book. Höldur also rents 4×4 campers and motorhomes if you want to take your bed with you, and the same STUCK10 code applies.
The practical bits worth knowing before you book
What you need at pick-up. A valid physical driver’s license printed in Latin characters (digital licenses are not accepted), a physical credit card in the main driver’s name for the security deposit, and your passport or ID. You need to be at least 20 years old and have held a license for at least 1 year; luxury vehicles and motorhomes require 23.
What is included. Every rental comes with Collision Damage Waiver, third-party liability insurance, personal accident insurance, and theft protection. For Iceland specifically, I recommend considering their Premium protection upgrade — it adds gravel protection and sand-and-ash coverage, which address the two most common damage types on our roads. Read the coverage details at checkout and choose based on your route and season. More on this in my guide on how to pay for things in Iceland.
The kilometer road tax. Iceland now charges a distance-based road tax of ISK 8.81 per kilometer for all cars under 3.5 tons. Höldur reads your total distance at drop-off and charges the tax to your card. It is not a rental company fee — it applies to everyone driving in Iceland — but it is worth budgeting for. To balance it, fuel prices at the pump have come down.
Free Iceland road trip plans
Once you have your car sorted, feel free to steal my free road trip itineraries: the Golden Circle plan, the South Coast plan, the Diamond Circle plan, and the full Ring Road plan.
And please drive sensibly: follow the weather forecast, check road conditions, and read my guide on how to travel safely in Iceland. The wind here opens car doors with more enthusiasm than you expect.
Ready to book your Iceland rental car?
Use promo code STUCK10 in the Coupon field on holdurcarrental.is and save 10% with Iceland’s oldest and largest car rental company.
STUCK10
Booking with my code supports Stuck in Iceland at no extra cost to you.
Europcar Höldur — FAQ
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