Yesterday afternoon, a man in a blue TXU shirt rang my doorbell and beckoned me out into the heat to speak to him (presumably to avoid the 100-pound dog barking behind my door). Holding his clipboard in hand, the man introduced himself as a TXU "regional manager" Chad Maddox. He stated that was visiting me because I am a good, longtime TXU customer, who had stayed with the company even when its rates were high.
Because I am such a good customer, the "regional manager" said, TXU was going to give me $75 and a special, new, lower rate. I told him that I was not interested in signing any service contract or committing to anything beyond the electrical service that we currently receive. He assured me repeatedly that there was no contract involved, no new service plan, just a thank-you rebate to a good customer. It all seemed fishy to me, but I let him continue.
He gave me a packet of papers in a little folder that said "Welcome." He jovially informed me that it was just an "introduction to the new TXU" and that I only ever needed to read those papers if I needed help sleeping at night. He said that the packet of papers had nothing to do with this special gift and rate that we were receiving.
All I needed to do to get my new rate and free money was to answer a phone call from a TXU operator, who would verify my identity as the resident TXU customer at my address. The operator would then give me a confirmation number to give to the "regional manager" waiting on my doorstep. Easy, no? Highly suspicious, yes?
I played along and went inside to wait for the call, about a minute or so. But as I went inside, the "regional manager" informed me that I should not expect the call center operator to be able to answer any questions for me, because the operator would just be a telemarketer reading from a script.
Unbelievable. I received the phone call within two minutes and was asked by the operator to confirm my identity and over-18-year-old status. I was then told that I was confirming my acceptance of the "TXU Energy SureValue 36" service plan. I told the operator that I did not want to receive a new service plan. I told him that I had been assured that no new service contract was involved. The operator informed me that yes, there was a three-year contract involved, with a $300 early-termination fee. I thanked the operator and told him that I did NOT want the plan. I then informed the "regional manager" on my doorstep of same.
No wonder he didn't want me to ask the operator any questions. Oh, and the irrelevant papers that I should only refer to if I had insomnia? A fact sheet on the contract that the "regional manager" attempted to weasel me into, a notice of cancellation that gave me three days to cancel the contract if I had been weaseled into it, and a very small print "Terms of Service Agreement."
So slimy. I hadn't been planning on making any changes to my electrical service provider, but I think I am now. Shame on you, TXU. I bid you good day.
Comments
Brett Hoerner Staff
Wow, that is freakin' slimy.
Personally, I soothe my inner hippie with http://www.greenmountainenergy.com/
1 year, 10 months ago ( Link to this comment | Suggest removal )
Pavel Lishin Verified
I concur with green mountain, especially because they DID give me an awesome rebate. Turns out that I overpaid my account - BACK IN 2003 - and they'd just gone over some old paperwork, and discovered that I'd overpaid by a few hundred bucks. They called me, informed me of this, and a few days later I had a check.
A+++++++ SERVICE would leave all apartment lights on while I'm out again.
1 year, 10 months ago ( Link to this comment | Suggest removal )
Neff Conner Verified
You should submit your story to www.consumerist.com. They love this stuff, as do the commenters there. :o]
1 year, 10 months ago ( Link to this comment | Suggest removal )
luniz Anonymous
TXU came out and shut my electricity off one day for no reason (account in good standing). It took until the next afternoon for them to turn it back on, after hours on the phone with their "customer service" people who did nothing but stall and deny.
1 year, 10 months ago ( Link to this comment | Suggest removal )
April Powell Staff
I just received a telephone call from Kelly Brcka, the Channel Manager for TXU's door-to-door operation. She apologized on behalf of TXU for the experience I had with their representative and informed me that he had been pulled from sales and might possibly be terminated.
She emphasized that their door-to-door representatives had not been trained to make such inaccurate statements as part of their sales presentation (e.g., that the service plan had no contract involved, that the papers presented to me were not relevant or important to the rebate and rate being offered).
She seemed very apologetic and concerned about the issue. I hope that means that TXU will be making any needed clarification about sales methodology to its staff and that we will not be hearing about any more experiences like mine.
What is truly amazing to me about this is, although I considered calling TXU to complain, I hadn't yet. I got this response totally on the basis of the blogpost above. Behold, the power of the Internets.
1 year, 10 months ago ( Link to this comment | Suggest removal )
jdwhitt Anonymous
If you experience what you consider unethical or errant conduct by your retail electric provider, you should consider filing a formal complain with the PUC:
http://www.puc.state.tx.us/ocp/compla...
1 year, 10 months ago ( Link to this comment | Suggest removal )
J_Mortimer Anonymous
I'm not sure what amazes me more... The TXU "regional manager" or that someone admits in public to being a TXU customer.
J
1 year, 10 months ago ( Link to this comment | Suggest removal )
April Powell Staff
I received an email today from one of TXU's competitors, suggesting that my experience with their sales force was not unsusual:
Being a regular to Pegasus News, I read this morning your posting from yesterday concerning your experience with TXU.
Unfortunately for our sector, I can particularly confirm that your experience with some of TXU's marketing methods is not unique. Due to Stream Energy's widespread growth over the past two years, we have found that our customers seem to be of particular fascination to The Downtown Gang and we weekly receive similar reports from our customer base of similar Bait & Switch tactics.
Anyway, we'd love your business. Let me know if I can help.
Rob Snyder
Chairman, Stream Energy
www.streamenergy.net
1 year, 10 months ago ( Link to this comment | Suggest removal )
Pavel Lishin Verified
So I'm wondering whether the salesman decided to make the pitch on his own, to up his quota, or whether he was told to do so by management. If it's the latter, then the phone call apology clearly falls into the "I'm sorry we got caught" and not the "I'm sorry we did this" category.
http://www.basicinstructions.net/2007...
1 year, 10 months ago ( Link to this comment | Suggest removal )
Billusa99 Anonymous
April... whatever you do, stay away from Stream Energy and their marketing arm, Ignite. Avoid them like the plague.
Stream Energy sales are distributed through a Multi Level Marketing organization (network selling), or MLM. An MLM is a system where salespeople pay to participate, offer up a percentage of sales to those higher in the pyramid, and are encouraged to recruit others to join and sell Stream so they can get bonuses based on the sales on the new people. Excel long distance is a classic example of an MLM that made Kenny Trout millions, and saddled many with lousy long distance service. Do not trust your electricity service to an MLM, even if they say they are "regulated by the state."
As you have just seen, even TXU does not have a handle on its sales force. Imagine what real control an MLM has if your neighbor Joe can join and then sign up others, all who are 1099 independants who have to PAY first in order to even get the job!
See here: http://www.scam.com/showpost.php?p=25...
And here: http://www.dallasnews.com/sharedconte...
And here: http://www.badbusinessbureau.com/repo...
Try Gexa if you really want a solid company and truly lower rates.
1 year, 10 months ago ( Link to this comment | Suggest removal )
Teresa Gubbins Staff
billusa - "try Gexa"? you sure they're not an MLM, too? (insert smiley face here)
1 year, 10 months ago ( Link to this comment | Suggest removal )
Billusa99 Anonymous
Good one... I didn't even see it coming... ;-)
Disclaimer: Been with Gexa 4 months now -- saved 25% on Reliant rates we had for the previous 2 yrs, and they were 33% cheaper than TXU when we signed our 1 yr contract.
Don't get me started on the whole retail electricity raping going on in this state... ;-)
1 year, 10 months ago ( Link to this comment | Suggest removal )
terryorze Anonymous
Hmm, I am wondering if any of these electric companies offer a simple plan with lower rates than TXU and no monthly fee, and no contract.
1 year, 10 months ago ( Link to this comment | Suggest removal )
terryorze Anonymous
Have you ever noticed all of the plans are so complicated that there is no chance of figuring out which one is best. Usually something like "We have the cheapest rates between the square root of pie and November calculated using linear board feet of electricity instead of kwh zenons. The rates are slightly higher on days that you have no idea how much power you use between one hour and the next any way so we just know it will cost you less than TXU. And there is a monthly fee that is related to nothing that has anything to do with the price of natural gas at the center of the random whatever.
1 year, 10 months ago ( Link to this comment | Suggest removal )
April Powell Staff
terryorze, I feel ya. It seems like all electric utility deregulation does is take the situation from one or two companies trying to fleece you, to seven or eight companies trying to fleece you.
I've heard about municipal power companies being able to provide affordable service, but I haven't taken the time to find out why some local governments can do it and we can't. Perhaps it's an issue I'll start looking into . . .
1 year, 10 months ago ( Link to this comment | Suggest removal )
Billusa99 Anonymous
terryorze... great points!
Not all REPs charge a monthly fee. But when they do not, their KwH rate is always higher -- TXU and Reliant , for example. So -- unfortunately -- you have to know what your monthly and yearly consumption averages are in order to see which way works best for you.
For example, when we shopped in March, Reliant was offering 13.9 cents per KwH with no monthly fee, at all consumption levels (500/1000/1500+). But that was with a 2 year lock! Gexa was 10.9 with a 4.95 monthly fee at all levels. Now, if you add that fixed 4.95 in at 500 Kwh consumption, then it's higher than Reliant per Kwh so it's not a good deal. But unless you are in a small apt, you will likely use way more than 500 and less than 1000 KwH per month, so the fixed fee part becomes less and less a part of your bill. And in the hot months, even more consumption vs. the fixed rate. Thus your "per KwH rate" drops.
That's why we went with Gexa. At our monthly (and year long) consumption, we would pay 11.1 cents per KwH -- a lot less than the 14.9 we had been paying to Reliant. And a lot less than the 13.9 they wanted to renew for 2 yrs!
Every REP's fact sheet tells you the KwH eff. rate (inc. fixed fees) at 1000 KwH consumption. Start from there to weed the high ones out and then do the math up and down.
1 year, 10 months ago ( Link to this comment | Suggest removal )
sgt329 Anonymous
TXU cut my power off after assurring me my service had not been changes to Reliant. My account had a credit of over $400.00 because they couldn't consoladate my old and new accounts. Customer service is in Palestine(middle east not Texas) and takes forever. A fax requesting a refund has gone unanswered for a month.
1 year, 9 months ago ( Link to this comment | Suggest removal )
jhasdmcier Anonymous
I have been bombarded with TXU sales people this month - 3 so far and all similar to the blog above. I am in Ft. Worth.
The 3rd one was yesterday. He was relentless. I was busy trying to get him off my doorstep so he finally pulled out one of MY neighbors phone bills and showed me their current service & payment records. This had her address, phone number, billing information...
That alone will keep me from giving them any information (or business).
Like above, the offer was a $75 gift card and lower rates for a year, but the contract (which he also tried to play down) was a TWO year contract with a $200 disconnect fee he didn't mention. I saw it when he briefly flashed open the paperwork. This is where I had a problem before - years ago I was laid off and late on my bill. Between $200 disconnects & $200 reconnect fees & extravagant rates I ended up owing them $1,700 before I switched to Reliant. I've been there ever since.
Besides the contract being suspect, the sales people themselves are annoying. The guy did not shut up for 15 minutes as he insisted on "educating" me about deregulation & billing after I told him I was busy. I said it's not about money. He said, "I know, it's about customer service," and without letting met talk again, launched into a relentless spiel about why their customer service is so much better than in 2002.
I am going to let all of my neighbors know not to give them a bill, but like the above blog, I felt everything else he said was suspicious. I have already been duped by AT&T Uverse' dirty sales tactics. $75 is not enough to cover the potential this has for causing me grief.
2 months ago ( Link to this comment | Suggest removal )
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