How much termination fee do I need to pay for switching my electricity contract before its expiration?
The termination fee is applicable to all the residents who cancel their energy contract before the term of the plan is up, unless you are switching your contract because of moving out of the city.
The total termination fee you pay for canceling the contract before maturity will be outlined in the electricity facts label. If you want to avoid the termination fee, you must switch your energy contract within 14 days of its termination. Check the expiry date of the contract in the EFL to know when your contract ends.
What are pre-paid energy plans?
As the name implies, the pre-paid electricity plan allows the residents to pay for the electricity before using it. The plans are quite expensive, but they make a great option for those with poor credit scores. In the pre-paid energy plans, the electricity bill will be deducted from your account automatically.
The major benefit of such plans is that you do not have any restrictions when it comes to switching your energy provider. The pre-paid plan does not come with any electricity fee, which means you can switch the plan whenever you want without having to pay the early cancellation fee.
Where can I find my energy usage levels?
Gather your previous year’s electricity bills online or request the electricity supplier to send you a copy of your previous electricity bills. The energy bills will help you determine your current electricity usage level. It will also help you identify your energy usage pattern, based on which, you can establish the energy price points. If you are living in a rental apartment, you could ask your landlord to send your energy bills.
Do I need to install a smart meter in my house?
No, you don’t necessarily have to have a smart meter, but it is highly recommended. A smart meter makes it easier for the homeowner to not only record their electricity usage levels but forward the readings to the transmission and distribution utility company in the area. The smart meter will also help you establish the energy price point for your house. Based on your past electricity bills, you can determine your future energy usage. Consider replacing your analog meter with the smart meter if you have not replaced it yet.
What does the TDU in the electricity facts label mean?
The TDU in your EFL refers to the Transmission and Distribution Utility company that is responsible for handling the utility delivery services to all the homes and businesses located in a specific region. Not only do they maintain the wires and meters, but the TDU also corrects the power outage and other electricity-related issues.
They charge a separate fee for offering these services. Make sure that this charge is fixed and the electricity provider cannot change the fees charged by the TDU. You can collect more information about the TDU charges in the electricity facts label.
When you begin looking for an energy plan, you'll find that there are two basic plan options to choose from. These options are called fixed-rate plans and variable rate plans. Both of these plan types are vastly different and they both have something unique to offer. Before you can decide on a specific plan type, you must decide between these two options. Once you decide which of these two is the best option for your home and your specific needs, you can begin to look for an energy provider for your home. After deciding on an energy provider, you can choose a specific plan offered by this provider.
One plan option available to you when you were looking at electricity plans is a fixed-rate plan. With this option, you'll benefit from plenty of stability, predictability, and security. With this plan type, you'll be able to choose a set rate before beginning your term. You can count on this rate remaining the same throughout the duration of your contract. This type of plan also runs on its own contract term. You'll be able to choose the contract length that works well for your needs. Often times, the contract options range from about three months to three years, but there are some exceptions.
The other electricity plan option is a variable-rate plan. With this type of plan, you will not have a set rate or a set contract. Your rates will, instead fluctuate each month with the energy market. Since this plan runs on a month-to-month basis, you will have the freedom to change your plan at any time if you decide to do so. Unlike with a fixed-rate plan, canceling your variable-rate plan will not result in any early cancellation fees. This is a great option if you are looking to take a risk with your electricity or if you are looking for a great short-term option.
Frequently Asked Questions
Are prepaid plans better than fixed-term plans?
Pre-paid plans are designed for those who need affordable electricity immediately. However, these plans can prove to be costly in the long run. They may work for those who are moving to Merkel temporarily, but if you plan on staying in the city for a long time, then consider switching to a fixed-term plan.
The pre-paid plans are not expensive, but the electricity providers can change the rate anytime they want. That’s because these plans do not include any fixed-term contract that could guarantee the same electricity rate throughout the contract. Still, if you would like to use pre-paid plans, you must consider the popular energy providers in Merkel, such as Reliant and Cirro Energy.
What is Power to Choose?
Power to Choose is an online platform that allows Texas residents to compare energy rates and providers in order to find the plan solution with the lowest cost. The site works similarly to Energy Outlet with similar benefits such as allowing users multiple price quotes for different types of homes or plans so they can make a better decision about what their home needs are before signing up.
Should I choose an electricity plan based on my energy usage?
Yes, it’s important that you select an energy plan based on your monthly electricity usage. Each energy plan is designed for families that use a specific amount of energy annually. So, even if you select the cheapest plan, you are going to pay a high price if your energy consumption exceeds the limit. That being said, you must pay close attention to your energy usage before you select a plan.
Do I get cash rewards for long-term energy plans?
Yes, some electricity companies in Merkel offer hundreds of dollars as rewards for those who sign-up for a long-term energy plan. However, these rewards and discounts are for long-term contracts only. These energy plans bind you to a particular energy company for several years. It is important to check the Electricity Facts Label before signing up for a plan.
What are month-to-month energy plans?
As the name suggests, these plans have no fixed duration or energy rates. You are supposed to make payments every month. The only downside to these energy plans is that the electricity company could spike the energy rate during winter and summer. If you don’t want billing surprises, then avoid month-to-month energy contracts. Usually, companies increase the energy rates in a few months after you have signed up for the plan. That’s because people do not monitor the energy rates frequently and they don’t even notice it until they receive surprising bills.
Which electricity plan is available for residents with a poor credit score in Merkel?
The electricity companies in Merkel have limited plans for those with poor credit scores. Most people with bad credit history select a pre-paid plan, as it is their only option to power their homes. They are supposed to make the deposits into their electricity account before using the electricity. Cirro Energy, Frontier Utilities, TXU, Reliant, and Gexa Energy are the best electricity providers that offer many customized energy plans for residents with poor credit history.
How do I find the cheapest electricity provider in Merkel?
You could visit Energy Outlet and other power comparison websites to find the cheapest energy providers in your area. Just type your zip code and filter the energy plans by your location.