Switch to a pay as you go electricity plan if you keep wondering how to reduce your electric bills.
As someone who gets tired of seeing inflated bills every time you open the mailbox – it’s time to control your energy usage.
Pay as you go electricity plans allow you to pay your bill in advance.
These plans are like prepaid mobile plans that offer you the freedom to consume electricity as per your needs.
How does it work?
You can add funds to your prepaid card and get an uninterrupted power supply until the balance is up. Once there is no credit left in your account, your service gets disconnected. However, you can add balance anytime and get reliable electricity on the go.
Pay as you go plans can be fixed or variable-rates and offer similar charges as a postpaid plan. By monitoring your account, you can assess and decrease your electricity usage. This method of paying also removes the hassle of receiving monthly bills.
While pay as you go energy plans are prepaid, a contract plan is postpaid.
In a contract plan, you sign a contract with the electric supplier that details the terms and conditions. You agree upon a pre-specified period, for which you will receive a bill.
Depending on service terms, there may be a penalty if you cancel it before the agreement period ends. You may also need to pass a hard credit check to get a contract plan initiated.
Most electric companies in Texas require an initial deposit, too. Every month, you have to make the electricity bill payment on time. Otherwise, you may incur a late fee.
Someone with a low credit score can also get a pay as you go electricity plan. It is a no deposit electricity plan. The electricity provider sends you a notification about your impending disconnection in case there is an unpaid bill.
Pay as you go electricity prepayment meters allow you to track your usage with mobile or online access.
When you get the connection, your meter may have preloaded units, which is the least balance required to start the service. It will get deducted after you buy credits.
Types of Prepayment Meters:
Keypad Based Prepaid Meters: This type of meter has a keypad attached, into which you input your electricity token number. The top-up process is offline, and you should visit the agent or make a bank payment.
Key Meters: You can input an electronic key that has your tariff information and credit.
One-Way Card System Meters: You purchase a reloadable debit card. When funds get added to your account, the meter reads the latest information on the loaded card.
Two-Way Card System Meters: These meters have circuit breakers that establish a two-wire communication link. Although this system uses smart cards, its implementation is complicated and expensive.
Smart Meters: Smart meters are easy to top-up, with various payment modes. You can monitor your consumption in real-time by sending a balance query SMS to the monitoring system.
Prepaid plans are suitable for on-the-go families. Texas residents who have trouble making their bill payments on time can use a prepaid plan.
Homeowners that need more convenient bill payment options can use pay as you go electricity plans. You can vary your usage by monitoring it weekly or monthly and avoid hefty bills.
If you are a landlord, you can reduce the risk of disconnection as the renters pay their power bills in advance. Your tenants also cannot leave behind a large bill for you to pay when they move.
Here are some benefits you have when you prepay for your electricity:
Stay within your budget. Since you add a pre-specified amount to your account, it helps you to monitor your usage. You can check your smart meter and avoid exceeding the allotted budget.
Avoid nasty billing shocks. You pay the owed amount to the electric company in advance. So, you can remove the risk of experiencing shock due to unusual monthly bills.
You don’t pay any penalties. Paying your bill in advance ensures that you have power while the units remain. Add more credit for automatic reconnection without a late fee. Some electric companies may provide emergency credit based on your plan.
Protect your account from disconnection. By activating text or email alerts, you can receive timely notifications that inform you when your balance is dwindling. Based on your expected usage, you can add more funds or reduce energy consumption.
Pay only for what you use. With a fixed rate, pay as you go electricity plan, you can set the same charges for each month. You can avoid spikes in your bill during the holiday season or in the colder months.
Save money on your energy costs. Maximize your energy efficiency by using finite credits and get significant savings. Once you have enough credits saved during the month, you can carry them forward and have extra units.
Credit Your Meter If You Go Away for a While
Do not forget to load your card or input the key and credit your meter before you go away. Otherwise, power will be disconnected, and appliances get turned off. For instance, your fridge can cause losses worth hundreds of dollars.
Monitor Your Balance Periodically
Keep an eye on the units you are using, and the funds left in your account. Keep replenishing the prepayment meter to prevent running out of credit.
Beware of Fraudsters Trying to Rip You off. Don’t fall for fake representatives or door-to-door promotional scams done in the name of your utility. Always buy credit from authorized agents after checking their identification.
Get ultimate flexibility in choosing prepaid electric plans like free weekends and free nights.
Acacia Energy offers payment assistance and deferred payment plans for qualifying residential customers. Find a plan that suits your budget by calling us at 866-302-3233 now.