How to Pick the Best Oil Delivery Company with Great Oil Prices

winter oil seasonIf you're living in the Northeast region of the U.S., you're probably one of the millions of people who rely on heating oil to combat the cold winter season. And because the cold season never fails to come every single year, you've got no choice but to prepare for it. Doing the prep as soon as possible makes a lot of sense especially when it comes to your heating equipment and the oil that fuels it. As for your system, you already know how important it is to maintain it in top condition. But how about heating oil? How do you prepare for it?

When it comes to oil, there's no denying it's a hot commodity. Millions of people are using it and there will be times when the supply is overcome by the demand. If you have been tapping the services of the same oil delivery company for years, then that's good news. It means you are satisfied with the service they provide. It means you haven't experienced running out of oil supply and delivery.

But what if you just moved in to your new home and you have no clue when it comes to finding the ideal heating oil delivery company? You must know that not all heating oil suppliers are reliable. As a matter of fact, many of them carry the reputation of ripping customers off. For your part, it is imperative you know what you should be looking out for.

It's Not Just About the Price

The first thing every homeowner will consider in finding the best oil delivery company is the price. That's why it is no surprise the company that offers the cheapest price will likely be picked. However, that doesn't always translate to a good result. The price may be a huge factor but it is only one of the many to weigh on. Those that offer the lowest prices don't automatically become the best because they might not be able to give you the services you paid for. What you need to do instead is take a look at the different types of fuel plans the company is offering and determine which plan suits your specific needs.

Different Payment Plans

  1. Locked-in Pricing - The first option likely to be offered to you is locked in pricing, where a specific price per gallon will either be fixed or capped for a year. A fixed rate means that the price will not go up or down. A cap on the price on the other means that the price will be set the highest, but when the market price of oil goes down, you will be paying the lower price. As a customer, you may benefit from locked-in pricing because the market price of oil will most likely go up as winter comes.
  2. Market Pricing - As the term suggests, you'd be paying for the market price for heating oil offered by the oil delivery company. The main benefit or advantage of this option when you select your delivery company is that there will be no yearly contracts involved. You simply have to pay based on the existing or current market rate of the actual day you want your oil delivered. But when the prices go up, you also have to deal with it.
  3. Pre-Buying - If you pick your oil delivery company to provide you with the pre-buying option, you will be required to pay offseason for the estimated oil you'll be using for the entirety of the winter season. The price you're going to pay is certainly competitive with the current market pricing. The advantage here is that when the winter season comes, the prices usually go up and you end up smiling because you no longer have to pay for the increased or higher price. But if the prices go down, you get disappointed because you paid more for the oil during the preseason. Anyway, it is less likely that prices will go down during the winter because the demand is higher.

In the end, you just have to understand what your options are. Remember that in choosing the best oil delivery company, it's not just about the price and the delivery. You will want your choice to give you additional services when you need them.

Heating Oil Prices

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