You will usually quickly stumble upon these electric companies known as pay as you go or prepaid electricity companies in Texas.
These electricity providers in Texas usually make it seem at first that their service is cheaper than the rest as well as offering a no deposit choice.
These TX electricity companies are able to give off this impression because they will turn your electricity service for as little as an upfront prepaid amount of $100.
The issue is they aren’t clear how long this amount will kep your service on for. If you are like me you might assume $100 is good for the first month.
Unfortunately in order for these electricity providers to not perform a credit check on you to get electricity service turned on quick they must insure they get to make a profit from your business.
After only a couple of week they will call you back asking for $200 – $300 more to continue to have electric service through them. At this point you might wake up a little and ask them how much they are charging you per kWh.
A prepaid electricity companies are usually close to double in price compared to what is available in the competitive Texas electricity market.
I encourage you to compare electric rates on this site using our zip code comparison tool.
Several TX electricity companies will come up listed from cheapest to most expensive.
Simply pick the cheapest fixed rate for 6 months to 1 year as I would do.
You can sign up online and the TX electric company will let you know what the deposit amount will be if any.