Comments on: BG&E Rate Hike Solution Reached http://www.bargaineering.com/articles/bge-rate-hike-solution-reached.html personal finance blog with anecdotes, advice and commentary. Sun, 22 Nov 2009 04:50:49 -0500 http://wordpress.org/?v=2.8.5 hourly 1 By: risk http://www.bargaineering.com/articles/bge-rate-hike-solution-reached.html/comment-page-1#comment-10192 risk Wed, 21 Jun 2006 20:24:26 +0000 http://www.bargaineering.com/articles/bge-rate-hike-solution-reached.html#comment-10192 jim, I just called WGE, the CSR told me the 10% off is off from the market price (aka 72% hike price)... She also told me that given the new solution, WGE could let the customer switch back to BGE, aka break the one-year contract, without penalty. I probably will check with WGE late 2008 :) call WGE for further confirmation jim, I just called WGE, the CSR told me the 10% off is off from the market price (aka 72% hike price)… She also told me that given the new solution, WGE could let the customer switch back to BGE, aka break the one-year contract, without penalty. I probably will check with WGE late 2008 :)

call WGE for further confirmation

]]> By: risk http://www.bargaineering.com/articles/bge-rate-hike-solution-reached.html/comment-page-1#comment-10190 risk Wed, 21 Jun 2006 20:10:17 +0000 http://www.bargaineering.com/articles/bge-rate-hike-solution-reached.html#comment-10190 jim, look like we interpret this thing a little different. I think if you go with WGE, you get 10% off from the market price (aka 72% hike price, so you will shed out 172%*90% = 154.8%), not the new bump up rate 15% (you imply 115% *90% = 1.035%), which means, to get 10% off, you have no deferrals between now and the market rate kicks in. In any case you want to switch back to BGE after the market rate kicks in, you get stuck with repayment of the deferrals that you never enjoy. jim, look like we interpret this thing a little different.

I think if you go with WGE, you get 10% off from the market price (aka 72% hike price, so you will shed out 172%*90% = 154.8%), not the new bump up rate 15% (you imply 115% *90% = 1.035%), which means, to get 10% off, you have no deferrals between now and the market rate kicks in. In any case you want to switch back to BGE after the market rate kicks in, you get stuck with repayment of the deferrals that you never enjoy.

]]> By: jim http://www.bargaineering.com/articles/bge-rate-hike-solution-reached.html/comment-page-1#comment-10158 jim Wed, 21 Jun 2006 02:25:34 +0000 http://www.bargaineering.com/articles/bge-rate-hike-solution-reached.html#comment-10158 risk - I did sign up to the WGE plan and I assume I'm still getting 10% the new 15% bumped up rate, I wonder if I'll have to pay the finance fee. BG&E market rates won't kick in until Jan 2008, in six months it'll only be Jan 2007...as for waiting, I don't know when this offer will expire so that's a decision you'll have to make. Perhaps they will offer this same deal in six months or even a year later? Either way I'm already signed up (when I thought July 1st would mean 72% hikes) so I'm saved this decision. If I were in your shoes, I'd take 10% off the 15% now, a bird in the hand is worth two in the bush. I'd also turn up the thermostat and go easy on the AC. :) risk – I did sign up to the WGE plan and I assume I’m still getting 10% the new 15% bumped up rate, I wonder if I’ll have to pay the finance fee.

BG&E market rates won’t kick in until Jan 2008, in six months it’ll only be Jan 2007…as for waiting, I don’t know when this offer will expire so that’s a decision you’ll have to make. Perhaps they will offer this same deal in six months or even a year later? Either way I’m already signed up (when I thought July 1st would mean 72% hikes) so I’m saved this decision.

If I were in your shoes, I’d take 10% off the 15% now, a bird in the hand is worth two in the bush. I’d also turn up the thermostat and go easy on the AC. :)

]]> By: risk http://www.bargaineering.com/articles/bge-rate-hike-solution-reached.html/comment-page-1#comment-10146 risk Tue, 20 Jun 2006 22:33:35 +0000 http://www.bargaineering.com/articles/bge-rate-hike-solution-reached.html#comment-10146 jim, have you signed up for the washingtond GE service to get the 10% off discount? I planned to and was about to act since time is running out... now this final plan is very tricky in that it does not address the enter and exist problem.... say I switch to wash GE, i.e., no defer in rate increase, one year later, I want to go back to BGE and I will be stuck with the repayment charge. I will then pay for nothing. of course that's not something I want, which means, I have to stick with wash GE for almost 10 more years? or if wash GE's promotion offer does not expire for another 6 months, say I switch to wash GE when the market rate kicks in for BGE. I get the deferral (not paying market rate for the 6 months), no repay (switch out =?= move out) for the years I'm in wash GE and discount? mmmmm, that sounds too good to be true what's your take jim, have you signed up for the washingtond GE service to get the 10% off discount? I planned to and was about to act since time is running out…

now this final plan is very tricky in that it does not address the enter and exist problem….

say I switch to wash GE, i.e., no defer in rate increase, one year later, I want to go back to BGE and I will be stuck with the repayment charge. I will then pay for nothing. of course that’s not something I want, which means, I have to stick with wash GE for almost 10 more years?

or if wash GE’s promotion offer does not expire for another 6 months, say I switch to wash GE when the market rate kicks in for BGE. I get the deferral (not paying market rate for the 6 months), no repay (switch out =?= move out) for the years I’m in wash GE and discount?
mmmmm, that sounds too good to be true

what’s your take

]]> By: Kim L. http://www.bargaineering.com/articles/bge-rate-hike-solution-reached.html/comment-page-1#comment-9880 Kim L. Fri, 16 Jun 2006 14:51:59 +0000 http://www.bargaineering.com/articles/bge-rate-hike-solution-reached.html#comment-9880 They were awfully quick to raise my budget bill amount ( a few months ago) to cover te July increase ... I wonder how long it will take them now to lower it! They were awfully quick to raise my budget bill amount ( a few months ago) to cover te July increase … I wonder how long it will take them now to lower it!

]]> By: jim http://www.bargaineering.com/articles/bge-rate-hike-solution-reached.html/comment-page-1#comment-9774 jim Thu, 15 Jun 2006 17:12:49 +0000 http://www.bargaineering.com/articles/bge-rate-hike-solution-reached.html#comment-9774 January 2008 is a year and a half away. January 2008 is a year and a half away.

]]> By: Miller http://www.bargaineering.com/articles/bge-rate-hike-solution-reached.html/comment-page-1#comment-9767 Miller Thu, 15 Jun 2006 17:05:31 +0000 http://www.bargaineering.com/articles/bge-rate-hike-solution-reached.html#comment-9767 Does the full 72% rate in January? That's how I am interrupting "Maryland residents will be paying full market rates starting January 1st, 2008." Does the full 72% rate in January? That’s how I am interrupting “Maryland residents will be paying full market rates starting January 1st, 2008.”

]]> By: mapgirl http://www.bargaineering.com/articles/bge-rate-hike-solution-reached.html/comment-page-1#comment-9765 mapgirl Thu, 15 Jun 2006 16:42:50 +0000 http://www.bargaineering.com/articles/bge-rate-hike-solution-reached.html#comment-9765 Oh dear. This seems very confusing. I guess it's good that rates are deferring because it will allow people more time to save up for the rate hikes. However, with your cost analysis, it looks like in the end, taking the rate hike now ends up costing less over time. Oh dear. This seems very confusing. I guess it’s good that rates are deferring because it will allow people more time to save up for the rate hikes. However, with your cost analysis, it looks like in the end, taking the rate hike now ends up costing less over time.

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