Yeah, I got it, too, and signed up. From what I've read online, they're basically a scam, you get lower rates for about 3 months, then they slowly start raising the rates each month (hoping you don't notice and enjoy earning rewards points).
There's no contract involved, so it seems safe to sign up and then cancel a few months later if they start playing the rate game. (Compare your bill with a neighbor or friend to see what the "normal" rates are from the regular electric company each month,)
Yeah, I got it, too, and signed up. From what I've read online, they're basically a scam, you get lower rates for about 3 months, then they slowly start raising the rates each month (hoping you don't notice and enjoy earning rewards points).
There's no contract involved, so it seems safe to sign up and then cancel a few months later if they start playing the rate game. (Compare your bill with a neighbor or friend to see what the "normal" rates are from the regular electric company each month,)
Thanks for that info. I may try it out as I see you get the reward points if you stay with them 2 months.
**Update - got a letter from Nicor electric stating they guarantee 6.79 per kWh through May 2013. Will be interesting to compare that to what Energy Plaus comes up with.
Here http://ctenergysavings.com/epp/?gcli...FdZ25QodtVn1PA is a good site to compare rates in CT. I switched to EnergyPlus and they raised the rate over time. I ended up paying over 50% too much and switched after learning about it.
I don't think there is any penalty to change, so the wise thing to do is take the miles and run.
Electric supplier churning! What's next?
Has anyone use Energy Plus in Maryland? I recently signed up thinking the worst that could happen would be a slight increase over what I'm paying now but I've seen some stories of ridiculous rates. Most of those seem to be in CT or NY. Anyone have experience with them in Maryland? I haven't received a bill yet.
First, I have no specific experience with energy plus (and I am not suggesting its a bad deal).
But these companies work based on spot prices + a fee. So if you are currently paying (and I am pulling round numbers out of my rear for an example):
From current state regulated energy monopoly: 5.00 per unit of gas
Energy plus might charge the spot price of 3.20 + 1.50 per unit.
Sure its a great deal (5 bucks is less then 4.70) as long as the spot price is low, but if there is a pipe that breaks in MSY/IAH/AUS/DFW, the price might shoot up to 12.00 +1.50 per unit.
Usually the state regulated monopoly needs to have an approval for a price increase. The wholesaler (energy plus, in this case) does not require the same approval.
Furthermore in many states the energy monopoly answers to a commission (who can work as an ombudsman if there are any issues/complaints). Wholesalers are sometimes not subject to the same scrutiny.
Again, I am NOT suggesting this is a bad deal, but compare this to how many of the airlines (including WN) deal with fuel. Sometimes they look like they are a genius, other times they look like a morons, it just depends on the current market.
IME, You will notice that their marketing gets heavier during the times the prices are historically low.
__________________
Cpt O'Hagen: "I swear to God I'm going to pistol whip the next guy who says, Shenanigans." -Super Troopers
Is what I was paying for electricity in CT with Energy Plus. I signed up a couple of years ago for a CO promo. They edged up price slowly and I didn't even realize I was paying so much. Needless, to say, I changed suppliers and now am paying $.08--a huge savings.
An expensive lesson, don't do it.
Is what I was paying for electricity in CT with Energy Plus. I signed up a couple of years ago for a CO promo. They edged up price slowly and I didn't even realize I was paying so much. Needless, to say, I changed suppliers and now am paying $.08--a huge savings.
An expensive lesson, don't do it.
from what I've read Energyplus takes the 'boiling frog' approach (raising rates slowly over time, which causes less customers to noice).
This may be a good time of year to initiate a switch, get the points, and switch back in my case to Penelec/GPU energy. AC usage is done for the year, and heavy furnace usage (gas heat but electric blower motor) doesn't get heavily used until mid winter.
I think the most I'll use is 2000 kw hours in a 4 month period with Energyplus.
Yeah... you only have to stay with them for 2 months. My plan is to switch back after I've met their requirements and the points have posted. There's no fee for switching.
Yeah... you only have to stay with them for 2 months. My plan is to switch back after I've met their requirements and the points have posted. There's no fee for switching.
Yes, just be aware it takes a couple of months to switch. In other words, start the process as soon as you can, or your price increase will continue.
