Budgeting To Compensate For Higher Energy Bills During The Colder Season

Some may be seeing higher energy bills during the colder season which is resulting in empty wallets. Depending on where you live, you may be wishing there was some coal in your stocking rather than candy. 

The average energy bill on average around $150 monthly in the U.S. compared to the average residential electric bill of $121 in 2022. The average price of both electricity and gas has gone up this year with electricity costing 22 percent more and gas costing 32 percent more than in 2022. Some media outlets are reporting electric bills rising by hundreds of dollars this year.

Winter months can affect the cost of energy in certain areas that have a lot of colder weather, snow, and ice. For example, those in New York can expect to pay around $116 for electricity and $460 for natural gas heating a month this winter.

Families and residents must have heat over the winter so there are often compromises that must be made in other areas to pay for higher energy costs during the colder season. However, there are some things you can do with your budget to make paying for heat less painful.

Five Tips On Budgeting For Higher Energy Bills

1. List Everything. 

One budgeting technique is to list all your monthly expenses, everything from the mortgage to the coffee you bought while driving to work. Then, you can look at it and decide what can be cut or postponed to make up for paying the energy bill. 

2. Ask The Power Or Gas Company About Budget Billing. 

Many utility companies offer budget billing for customers. This is where they look at what you use for an entire year and average it out to an even monthly payment. This means you will have the same bill every month regardless of weather. It could help your budget. 

3. Ask About Prepaid Options. 

Some utilities started offering prepaid plans after the pandemic. In these plans, you can pay as you need to keep your power or gas on. You could pay a small amount daily, once a week, or once a month. This is a good option for those who owe a larger past-due bill and could be cut off. These plans allow part of your payment to go toward the past due so you don't have to come up with all the money at once. 

4. Put Your Energy Bill Automatically On A Credit Card For The Winter. 

Those who have credit cards can use them to have the utility company automatically collect payment on the card. This can save you as much as 10 percent on your bill versus those who pay manually. 

5. Keep Your Home Cooler. 

Turning up the heat to 73 or 75 can quickly escalate your energy bill. Keep it as close to 68 as you can and still be comfortable. 

What If I Get A High Bill I Can't Pay?

Getting a surprise high utility bill can be upsetting, especially if you are on a tight budget. Utility companies are adamant about getting full payment or cutting customers off. One option could be to seek alternative financing to pay higher energy bills quickly. 

Utah Title Loans, Inc. has title loans that can be used to pay for an emergency like a high-power bill. Title loans range from $300 t $15,000 while payday loans range from $100 to $500. Signature installment loans have a maximum of $1,500.

Seeking out these types of loans is a simple process. Utah residents will need their driver's licenses or state-issued identifications. For a title loan, you will need a clean title and the vehicle available for an inspection. For the other types of loans, you need your most recent pay stub and proof of an open checking account listed in your name. You may be required to have a blank check or a checking statement. 

Seeking Alternative Financing

Utah Title Loans, Inc. makes it easy to get started in the process of seeking these types of loans. It starts with filling out the online inquiry form. The form is sent to the nearest store to you and a loan representative will call you to give you more information about the specific option you are considering. 

You will need to schedule an appointment with a loan representative. Your documents will be verified and you will be guided through the simple paperwork. A decision will be made while you are meeting with the loan representative. The meeting can take as little as 30 minutes. 

Those approved can have their money either the same day or the following business day. That can assure you that your utilities won't be cut off because of a high bill. 

Submit Your Inquiry

Sending in the form gets you started quickly and you can seek funding to pay those unexpected higher energy bills that come during the colder season. There's no reason to wait. Submit the form today and see how Utah Title Loans, Inc. can help you get through the winter and stay warm and dry!

Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.