Harrison
February 21st, 2008, 10:30 am
Important Information Regarding Universal Gas & Electric Company
On Fox 2 News last night, the Problem Solvers showcased a number of angry customers who had signed up this past summer/fall with Universal Gas & Electric complaining that their gas bills had jumped through the roof after Universal had pitched them to sign with them as their natural gas supplier in order to freeze their gas rate for five (5) years.
This same company came through my neighborhood months ago, going door to door and obtaining a lot of signed contracts. I, too, had signed up but the red flags kept going up in my head when they wanted one of my gas bills to hold while making up the formal contract. I was thinking more about identity theft at the time, but it was really nagging at me. So I decided to look them up on the internet.
Sure, they have a website all right, but I also looked them up under the Better Business Bureau and found numerous complaints had been made against them for not answering customers’ complaints, etc.
So, even though I had thirty (30) days (supposedly) to terminate the contract, I was taking no chances to wait until their names started showing up on my gas bill as my alternative gas supplier, so I sent a certified letter to them immediately with copies of my signed contract and told them that I wanted to terminate immediately and to send written confirmation of my instructions and that they would comply with my demands. I did receive the written confirmation from them, along with my gas bill returned to me. Then, to my surprise, this shyster company was showcased on last night’s Problem Solvers segment on Fox 2 News.
People across Metropolitan Detroit are now saying that they have been tricked and it is costing them plenty. They knock on your door with promises to save you lots of money on your heating bills. They put the fear into you that gas rates are going to jump sky high, just like everyone always hears on the news. But if you signed a five-year contract with Universal Gas & Electric, your gas rate would be frozen the entire five-year term.
The people who are complaining are showing a typical $175 gas bill that is now approximately $300!!! Why? Because Alternative gas providers (AGS) are not regulated by the Michigan Public Service Commission (MPSC). So the so-called fixed rate can be changed at their discretion.
Further, and this is very important because it is one of the things that alerted me in the first place was that the fixed rate they gave you in the first place was about 70 percent higher than what our regular gas company (in my case, MichCon) was charging. If you look at your gas bill, you will see the CCF charge for Gas Cost Recovery at the current regulated rate. The AGS will charge you a gas charge at an Unregulated rate.
Universal Gas & Electric has you sign a five (5) year contract. If you haven’t terminated the contract in time, it will cost you $250 to get out of it.
Meanwhile, you can file a complaint with the MPSC at 1-800-292-9555 weekdays between 8:30 a.m. and 4:30 p.m. The MPSC has since notified Universal that they will be monitoring their electric services activities; and, as a result, Universal Gas & Electric has decided to revoke their ELECTRIC license. What does that tell you??? However, they are still hawking gas service in the area.
Some things you should know:
1. If someone comes to your door marketing alternative gas services, get identification information.
2. In order to switch your account, the AGS needs your utility account number. Do not give the representative your utility account number unless you REALLY WANT TO SWITCH gas suppliers. You should NOT give this information before checking the company out. Tell the rep you need time to do that and resist their high-pressure sales tactics. My rep told me that he wouldn’t be able to come back to the area and needed the decision now.
3. Before making the decision, shop and compare prices. Familiarize yourself with the details of your bill and learn how to read it if you don’t already know how to do that. You can also check the current utility rates on the MPSC’s utility rates website.
4. Make sure you read and understand any contract before signing it. This will save a lot of time and trouble later.
5. If you sign up over the phone, a copy of the contract must be sent to you within seven (7) days.
6. All residential customers must be mailed a confirmation letter from the AGS within seven (7) days of signing up and are entitled to a 30-day cancellation period from the day they initially signed up.
Any further questions, either call 1-800-292-9555 or go to the Michigan website at www.michigan.gov/mpsc (http://www.michigan.gov/mpsc).
Harrison
On Fox 2 News last night, the Problem Solvers showcased a number of angry customers who had signed up this past summer/fall with Universal Gas & Electric complaining that their gas bills had jumped through the roof after Universal had pitched them to sign with them as their natural gas supplier in order to freeze their gas rate for five (5) years.
This same company came through my neighborhood months ago, going door to door and obtaining a lot of signed contracts. I, too, had signed up but the red flags kept going up in my head when they wanted one of my gas bills to hold while making up the formal contract. I was thinking more about identity theft at the time, but it was really nagging at me. So I decided to look them up on the internet.
Sure, they have a website all right, but I also looked them up under the Better Business Bureau and found numerous complaints had been made against them for not answering customers’ complaints, etc.
So, even though I had thirty (30) days (supposedly) to terminate the contract, I was taking no chances to wait until their names started showing up on my gas bill as my alternative gas supplier, so I sent a certified letter to them immediately with copies of my signed contract and told them that I wanted to terminate immediately and to send written confirmation of my instructions and that they would comply with my demands. I did receive the written confirmation from them, along with my gas bill returned to me. Then, to my surprise, this shyster company was showcased on last night’s Problem Solvers segment on Fox 2 News.
People across Metropolitan Detroit are now saying that they have been tricked and it is costing them plenty. They knock on your door with promises to save you lots of money on your heating bills. They put the fear into you that gas rates are going to jump sky high, just like everyone always hears on the news. But if you signed a five-year contract with Universal Gas & Electric, your gas rate would be frozen the entire five-year term.
The people who are complaining are showing a typical $175 gas bill that is now approximately $300!!! Why? Because Alternative gas providers (AGS) are not regulated by the Michigan Public Service Commission (MPSC). So the so-called fixed rate can be changed at their discretion.
Further, and this is very important because it is one of the things that alerted me in the first place was that the fixed rate they gave you in the first place was about 70 percent higher than what our regular gas company (in my case, MichCon) was charging. If you look at your gas bill, you will see the CCF charge for Gas Cost Recovery at the current regulated rate. The AGS will charge you a gas charge at an Unregulated rate.
Universal Gas & Electric has you sign a five (5) year contract. If you haven’t terminated the contract in time, it will cost you $250 to get out of it.
Meanwhile, you can file a complaint with the MPSC at 1-800-292-9555 weekdays between 8:30 a.m. and 4:30 p.m. The MPSC has since notified Universal that they will be monitoring their electric services activities; and, as a result, Universal Gas & Electric has decided to revoke their ELECTRIC license. What does that tell you??? However, they are still hawking gas service in the area.
Some things you should know:
1. If someone comes to your door marketing alternative gas services, get identification information.
2. In order to switch your account, the AGS needs your utility account number. Do not give the representative your utility account number unless you REALLY WANT TO SWITCH gas suppliers. You should NOT give this information before checking the company out. Tell the rep you need time to do that and resist their high-pressure sales tactics. My rep told me that he wouldn’t be able to come back to the area and needed the decision now.
3. Before making the decision, shop and compare prices. Familiarize yourself with the details of your bill and learn how to read it if you don’t already know how to do that. You can also check the current utility rates on the MPSC’s utility rates website.
4. Make sure you read and understand any contract before signing it. This will save a lot of time and trouble later.
5. If you sign up over the phone, a copy of the contract must be sent to you within seven (7) days.
6. All residential customers must be mailed a confirmation letter from the AGS within seven (7) days of signing up and are entitled to a 30-day cancellation period from the day they initially signed up.
Any further questions, either call 1-800-292-9555 or go to the Michigan website at www.michigan.gov/mpsc (http://www.michigan.gov/mpsc).
Harrison