Is a guaranteed electricity discount better than a pay on time discount
Would you rather have a guaranteed discount from your energy bill? Or money off for paying on time?
Ever feel like you could be paying less for your electricity? Think you should be rewarded for being an awesome customer or just for signing up in the first place? You may be surprised to learn that most energy providers give you money off for all sorts of things. But which is the best one for you?
When you first signed up, you may have been wooed with a “guaranteed discount” – a percentage off your bill. Every. Single. Quarter. What an offer! Money off just for signing up? For every bill? “Great,” you thought; “I’ll save money on my electricity, just for using it.”
Unfortunately, a guaranteed discount is usually just the carrot, dangling enticingly in front of you to get you through the proverbial door of the energy company. Now they’ve got you, is the energy really that much cheaper? And to what part of your bill does it apply to - the supply or the usage? Or are you lucky enough that it reduces the price of both?
So, is it really a “guaranteed discount?”
Well, not really. When you signed up, they probably would have told you that they would only guarantee it for next 2-3 years. After that time your energy rates would continue at the standard prices, often making for an increase in your bill. Since we are all so busy, and reducing our bills isn’t at the top of the list, we carry on paying the higher rate without question and without a discount.
What’s the alternative then?
Well, being an awesome customer by paying your bill on time will almost always get you a discount with your energy retailer. But if this is your way of getting money off your bill, definitely don’t be late in paying. Not only won’t you get the discount, but you might even get a penalty and it’ll cost you more!
Opting to pay via direct debit rather than credit card; or receiving your bill via email are other ways of your energy provider rewarding you for your custom.
But are there other ways of reducing my bill?
Absolutely. It’s always a good idea to check the actual price of your energy. The discounts you are receiving could be on prices that are already high to begin with. So, when they give you money off, they could have probably given it to you at the lower price anyway. Consider looking for an energy company that offers you standard low prices and the cheapest energy rates.
A good place to start is an energy comparison company like Cheap Bills. They can look at what you’re already paying and compare it to other companies in the market and whether you should switch energy providers. They will be able to give you an overview, including potential discounts, allowing you to make the decision that is right for you and your family.
It couldn’t be easier to start saving money. Simply visit www.cheapbills.com.au or call our friendly staff on 1300 786 045 to start saving money.