How do you determine which utility provider is the correct choice? Unless you are familiar with utilities, comparing options can seem impossible.
By simply asking a few questions, it is easy to narrow down the options.
As long as you ask them, you should be able to tell who will accommodate your lifestyle the best.
1. What to Know Before Choosing a New Utility Provider
There are regulated and deregulated energy markets. If you live in a regulated area there is only one energy provider for your area but if you live in a deregulated area there are various energy providers to choose from. While choices are a good thing sometimes it can become overwhelming. In order to make the right decision it is wise to do a apples to apples comparison between the providers to compare their rates and plans. By shopping and comparing you can find the most competitive rate and the plan that best fits your families needs.
Which Companies Service the Community:
The most important question is finding out how many providers offer coverage to the community. More providers offer you more choices. The more of them in an area, the fiercer the competition.
Do You Need to Sign a Contract:
Not all utility companies require customers to sign contracts. If you have a unique leasing situation, consider looking for a non-contract option. That way, if you need to move, you can do so without paying any penalties.
What Is the Policy on Late Payments:
Most companies charge a small fee if you make your monthly payment late. As long as you make your payments on time, this shouldn’t matter.
However, life is unpredictable.
On the off chance that something does happen, you should ensure that you at least understand what they are late payment policy is.
How Do Their Rates Compare to Local Competition:
Who is offering you the most affordable service? Normally, that’s going to be your best option. At the end of the day, you want affordable electricity.
What Credit Score Do You Need to Setup an Account:
Unfortunately, the best rates often come with a hidden price. You might need to have a minimum credit score for them to offer you service. Check with each company to see if they have minimum requirements.
Do You Need a Cosigner:
People who have low credit scores can still get utilities set up. However, you may need to put down a deposit. Otherwise, you must get someone to cosign the agreement with you before you can start services.
How Long Does it Take Before Utilities Turn On:
Most of the time, utility companies can turn on power relatively quickly. It would be better if you found out beforehand. Otherwise, you may end up at your new place without any power for a while. When you are getting ready to move, call your future utility company a month ahead of time. Ask them how long they need to get everything started at your new place.
Are They Publicly or Privately Owned:
In the utility industry, companies are either public or private. Publicly owned utilities are funded by taxpayers. The taxpayer also holds ownership over the entity. Privately owned utility companies operate much like any other corporation. Depending on the type of organization you are working with, your experience may vary.
Comparing Utility Companies When You Move to a New Neighborhood
Do you know how important it is to select the right utility company? Besides the impact it has on your monthly expenses, you are going to be stuck with them until you move. Luckily, the Internet makes comparing your options much easier than it was for our parents. Today, you can compare every utility company in the area within a few minutes.
