Heating Oil Contracts?!?!?
 

Since we moved here in 2010, we've always paid cash any time we needed a fuel delivery. Now that we've got a credit rating, I'm looking in to all these different kinds of heating delivery contracts that are available with capped rates/fixed rates/flexible rates :confused: So I was just wondering what everyone else does. Do you guys just pay as you require it, or have you got a contract with a company who do automatic delivery, and do you think that seems to work out more economical? The company we have been using are still the cheapest by around 15 cents a gallon, but they don't do a yearly contract or servicing so not sure at this point whether to stick with them or try and tie in a price. All very confusing, which is nothing new for me :D

Re: Heating Oil Contracts?!?!?
 

We got automatic refills and then sent a cheque every time a bill arrived for whatever the amount and the price per gallon oil was that day. Eventually we converted to gas heating so that's all behind us.

Re: Heating Oil Contracts?!?!?
 

Thanks Tonrob, that's another option......... so confusing :blink:

Re: Heating Oil Contracts?!?!?
 

We've always had a contract...but as you say, there's then a decision on whether to prebuy, or use a fixed rate, or have a ceiling. Unfortunately there's no easy decision.

With prebuy, you hope you don't overbuy.

With fixed rate, you hope price doesn't go down.

With ceiling, you hope the cost of the ceiling (which is the insurance) isn't more than the savings.

With flexible, you hope oil prices don't go through the roof...

It's really what you feel comfortable with.

BTW - as we're in same area, can say Sippin and Mitchell have been fine. You end up playing the suppliers off of each other...the danger is that there have been some crooks involved in selling heating oil contracts, so it's safest to go with someone reputable.

Re: Heating Oil Contracts?!?!?
 

Thanks Dinosaur. I've been getting quotes from Standard Oil, Hoffman, Sippin and VFuel. We use ABC which are the cheapest but they don't do a yearly plan. I'll look up Mitchell as well, I see their vehicles around all the time. Thanks for that. :)

Re: Heating Oil Contracts?!?!?
 

We just dumped Standard Oil after many years of aggravation! Have gone with a local independent with a long good record and a neighbor's recommendation. I understand he will either bill or take credit card on the spot when he delivers. He will also do it automatically, as Standard did, with the temperature calculation or whatever it is they use. That means that we took out a service contract with an independent company -- but we had to pay for the service with Standard anyway, so it doesn't make much difference. By yearly plan do you mean locking into a price for a year? We used to do that when things were more settled, but haven't done so for many years now, and it has been a wise choice.

Re: Heating Oil Contracts?!?!?
 

Thanks Nutmegger, I've heard good and bad reports about Standard Oil so I'll have a look at the local guy, and yeah, I think you're right about locking in, it's a bit of a gamble whichever way you do it so maybe for the first year, I'll just carry on as we've been doing. Thanks.

Re: Heating Oil Contracts?!?!?
 

We get it from a local supplier, the driver lives fairly close to us so we get good service. They supposedly have us on an automatic delivery schedule, but invariably at least once each winter the tank gets very low and I call for an immediate delivery, he'll usually come the same day. We just pay whatever the prevailing price is, except that if I pay within a few days I can take a discount. Our house is about 5000 sq ft and no-ones upgraded the insulation since 1865 so we pay a horrendous amount for fuel oil, every year I plan to do something about it but I'm a terrible procrastinator..!

Re: Heating Oil Contracts?!?!?
 

We used to have oil, would automatically get a top up every month during winter and we'd send a cheque for the bill.

Only because we missed the cut off for a contract, which was in June or July.

Getting a contract and fixing in a rate can be great if oil goes way up, bit shit if it goes down, but at least you know exactly how much you're paying every month with a bit more certainty...especially if they average out the bill for the year, so any overage gets credited the next year and if it's under, you pay the difference end of year.

Best thing is to ditch oil all together and get gas if you can...oil is shit.

Re: Heating Oil Contracts?!?!?
 

How big a job is that Bob, I haven't a clue when it comes to all this stuff???

Re: Heating Oil Contracts?!?!?
 

Depends how far away the nearest gas supply pipe is. If it's only a few yards away from your house it may be cost effective...if there are no gas pipes in your road it will probably be a no go.

Re: Heating Oil Contracts?!?!?
 

Is that gas as in propane? Round here that comes in tankers, like the oil. We don't have much of anything on the mains.

Re: Heating Oil Contracts?!?!?
 

Depends if you already have a gas mains line in, then it's not that much hassle and cost, which would be worth it.

If you have to have a propane tank put in as there isn't a mains line, then it probably isn't worth doing unless the oil furnace and tank are knackered.

Also tends to be less in savings if having to get the tank filled v mains line.

Not everywhere will have a mains line. Where we currently live, there is a mains line through town. Where we used to live, there wasn't.

Gas is the cheapest though for winter heating, probably followed by electric and then oil for most expensive. Pellet stoves/wood would fall somewhere in the middle and depends if you're able to pick your own wood and split it or having to buy it in by the chord, in which case it can be expensive.

Re: Heating Oil Contracts?!?!?
 

In my town, it's via the mains, our old town didn't have mains gas, so it'd be a tank, and not worth it.

Thing is, a lot of houses here in my area have gas cookers and/or gas washing machine/dryers. So there's often already a gas line in to the house, so getting the heat via gas isn't much work.

It'd be a no go other wise unless your whole heating system died.

Amusingly enough, we looked at renting a house which was lovely. Had gas for the cooker and the dryer and was on the mains, but the owner had put in a new oil furnace a year or so ago because that's what had died before. Didn't even consider gas, despite the oil bill being around $500 a month during the winter....daft mare.

Re: Heating Oil Contracts?!?!?
 

Thanks guys, informative as usual :)