Choose Energy only works with trusted energy providers. When selecting our featured partners, we hold electric companies to high standards for service reliability, rates, customer service, and plan variety. Direct Energy is consistently one of the top providers in Texas and many other states, so we’re proud to feature the company on our marketplace.
Types of rates offered by Direct Energy
Direct Energy offers various fixed-rate and variable-rate plans. Here’s an overview of how these Direct Energy electricity rates work:
- Fixed-rate plans: With a fixed-rate plan, you will pay one consistent rate for the duration of your contract, which typically lasts 12 to 36 months. This type of plan protects you from fluctuations in the energy market, but you’ll usually pay an early termination fee (ETF) if you cancel your plan before the contract expires.
- Variable-rate plans: Having a variable-rate plan means the rate you pay will change from month to month. Your rate is tied to the wholesale cost of electricity, which changes often. In months of lower demand, your Direct Energy rate will decrease, but when demand is higher, it will increase. On the plus side, you can change plans anytime.
To learn more about the types of Direct Energy electricity rates available in your area, enter your ZIP code.
No-deposit options from Direct Energy
Many electricity companies, including Direct Energy, require a deposit before you can begin service. Although the company occasionally grants exceptions, you’ll typically have to put down a deposit if your credit score isn’t high enough. Customers who may qualify for deposit exemptions must be:
- Able to acquire a letter of credit from their previous electricity provider for paying the last 12 months on time
- 65 years or older
- Victims of domestic violence
- Medically indigent
You may also be eligible for no-deposit energy plans from Direct Energy and other providers. If you want to avoid a credit check and deposit, you can find prepaid plans on the Choose Energy marketplace by entering your ZIP code and filtering by plan type.
Green energy with Direct Energy
Texas is a leader in renewable energy in the U.S., ranking first for wind power generation and second for solar energy production. As a result, every Texas energy plan contains some percentage of renewable content, which you can find by checking your plan’s Electricity Facts Label (EFL). Direct Energy even offers several plans that use 100% green energy for residential and business customers.
Moving or transferring service with Direct Energy
If you are moving to a new address, you can easily switch to a Direct Energy plan or transfer your Direct Energy service to your new location. Reach out to Direct Energy, and the company will handle the transfer. If you are moving outside the service area, you can switch to a different provider without paying an ETF.
Renting with Direct Energy
Direct Energy does not offer a plan specifically for renters. However, you can match your energy plan to your lease thanks to the different contract lengths offered by Direct Energy. If you have a month-to-month lease, you may want to choose a variable-rate plan to keep your options more flexible and avoid an ETF. For rental agreements that last a year or longer, consider a fixed rate that aligns with your contract.
Direct Energy charges an ETF for its fixed-rate plans if you decide to cancel your service before the end of your contract. These cancellation fees can vary between plans and typically range from $150 to $295, so be sure to check your EFL to know your fee before you cancel. ETFs don’t apply if you’re moving to a new address.
Direct Energy business electricity
Direct Energy also offers electricity plans for small and large businesses, and provides services to 78% of the Fortune 100 companies. The Choose Energy marketplace can help you explore commercial Direct Energy rates in Texas and other locations and find a plan tailored to your business. If you’re a business owner in a deregulated area, visit our business electricity page to learn more and build your custom commercial energy plan.
Other Direct Energy initiatives
Direct Energy provides various resources to help you lower your electric bill. The company also offers monthly pricing on home protection plans to help shield you from major repair bills. These home protection plans include repair and maintenance options for a variety of home systems and appliances.
Direct Energy also donates to and provides employee volunteering opportunities at organizations that seek to benefit children’s hospitals. The company raises funds for programs such as the Neighbor-to-Neighbor Bill Assistance Program to focus on local community support.