During the relocation process many young military personnel are getting their very first apartment or rental agreement.
Your credit may not be established yet and beyond having to pay a deposit for your lease you may very well be asked for a deposit for electricity service.
The electric service deposit amounts can be quite high considering a standard amount is $400 for someone with little or no established credit.
The current work around available for people with bad credit are prepaid electricity companies.
You may see ads on TV, radio, and newspaper for prepaid electric service. Usually the hook is a low start up fee of $69 – $99.
This low fee is not a deposit but is prepayment. This means the money is applied to your first months electric bill and they call you to keep those prepayments coming in.
Unfortunately these Killeen TX prepaid electricity companies do not go out of their way to tell you what the per kWh rate is.
You may easily go through that initial $69 and then they may ask you for a larger amount to keep service on.
In just a couple weeks they could be calling you back asking for $200 – $300 to keep service on.
Now you can see how the $99 start up fee worked to get you into their service but the hit up for an additional $200 – $300 may be more then you were planning on.
Rather then fall for this prepaid strategy to avoid a deposit I recommend choosing a traditional electric company in Killeen.
You may have to come up with $400 as a deposit but the rate will be competitive which means your electricity usage charges will be considerably lower than with a prepaid electric company.
How are deposit amounts determined by Killeen TX electricity companies?
You may have an additional question of, “Well how do they determine I should pay a deposit?”
All electricity companies base their deposit amounts on credit scoring numbers. These number thresholds are the same across the board with all the electric companies.
If TXU Energy asks you for a $400 deposit amount chances are likely that Green Mountain and Reliant Energy will also be asking you for somewhere around the same amount.
Many prepaid electricity companies will jack up the kWh rate because they have a little more power over you because they did not ask you for a deposit.
There is one other known solution for avoiding a deposit. There are new prepaid electricity companies that use the new smart meter technology.
If your apartment, home, or duplex has been outfitted with the new smart meter you can sign up with a prepaid electricity company that allows you to prepay for actual electric usage rather than estimated.
The smart meter prepaid electricity companies have lower per kWh rates than those scam no deposit companies.
To begin checking on no or low deposit options just enter your zip code in the box at the top right and click on”Compare”.
You will need to go to the “no deposit” tab to see your option in Killeen Texas.