There are many types of home heating oil plans, and numerous ways to get billed from oil companies. We will help you find the pros and cons to each type of plan, and the plan will help determine home heating oil prices.
Also, find how to get free and discounted heating oil. More.
Automatic Delivery Plan
The home heating oil company will automatically schedule oil deliveries to top off the homeowners oil tank. Oil companies like this plan since they are assured of a solid, ongoing relationship with a customer. Oil company's schedule these deliveries based upon what they call degree days. Computers will calculate and determine your typical usage and they will anticipate when you will need a fill up. This allows them to better coordinate and schedule their delivery times. But be are that this is not an exact science, and if the oil company is not on top of their systems or schedule, it they can cause you to run out of fuel.
Positives : If the oil is delivered on time, you will have a constant stream of a fresh replacement of oil delivered to your fuel tank. Fresh, warm oil is better then old cold oil, and oil will go bad over time.
Negatives : If the home heating oil company is not detailed, or well organized, they could potentially miss your tank fill up time and you could run out of heating oil.
This plan includes scheduled payments by the consumer to the heating oil company. The payments are calculated based upon a calculated average of the volume of oil used based on the consumers history. Normally this heating oil plan runs over an 11 month period. however, some more progressive heating oil companies will offer this plan, as well as the heating oil prices, over a full 12 months. This plan tends to be looked upon favorable by the oil company since it spreads out their cash flow.
Positives : It is a good plan for the home owner since it will also spread out the heating bills they need to pay so they are not hit with big bills 2 or 3 times a year.
Negatives : If the oil company isn't a strong company in good financial health, the oil company can spend that money that you paid in installments, and when the home heating season comes around, the oil company no longer has the money so they can't buy the heating oil to meet your needs. So, what happens is the home owner is now out the cash and also out the heating oil.
Full Service Home Heating Oil Companies
These companies deliver the heating oil, and do much more. They keep a full time staff on hand who are well trained and that are on call 24-7, all in order to service their customers needs. If something goes wrong with your heating system, tank, or service, the good companies are at your door within 2 hours or less.
Positives : Your will be communicating and dealing with a professionally run, customer service focused company that has the consumers best interest at heart. Full service suppliers focus on customer service and the good ones will move both heaven and earth to meet your needs. The more progressive companies will also use an additive in their heating fuel that will help your system run more efficiently and which will also reduce the chance of system failure. These additives can reduce heating system issues by 30% and more.
Negatives : The top notch customer service and the quality of fuel that your getting from a full service company increases comes with a price, that being higher home heating prices and bills. But you get what you pay for..the old cliché of you get what you pay for is true.