Oil question....Is this a good rate???

We called the oil company the previous owners had...Quoted at 3.14 a gallon to lock in if we get service contract...is that good???

Re: Oil question....Is this a good rate???

We paid $2.99 the day before Thanksgiving. It depends, the amount may go up or drop again. Nobody knows.

Re: Oil question....Is this a good rate???

It depends K, we locked in at $2.90 right before Thanksgiving.

Re: Oil question....Is this a good rate???

I was getting prices 20 cents higher than that when I called about a month ago.

Just be aware, prices go down after heating season is over. So if you wanted to go for a lower rate then, and cancelled your contract, they probably have a fee.

I know Petro charges $300 to cancel mid-contract. So if you can get 6 months, that's great but a lot of companies don't offer that.

For right now, it sounds pretty good. But I would shop around. I called 6 companies for rates and they varied by a lot for service contracts and oil price.

Good luck!

Re: Oil question....Is this a good rate???

We don't have a service contract (just put a new burner in) but I deal with a C.O.D company that delivers to my office. We just paid $2.90 yesterday.

Re: Oil question....Is this a good rate???

For around this time, it's not bad. It really depends on when you lock in and prices go up and down every day.

I locked in at $2.89 in Oct.

Re: Oil question....Is this a good rate???

We are set up with a variable rate with a cap of $3.20 until May and then we can lock in at that point since by then the rates should be lower. We set this up mid-November.

Re: Oil question....Is this a good rate???

Since this is your first time getting oil, Kathleen, call around to a few oil companies and get their rates for both oil delivery and furnace inspection/upkeep contracts so they can let you know better how your oil furnace is working, etc and you're protected against any future issues with it over the next year. We went this route and thank goodness we did, cause we had an issue when the heat had to be turned back on and it was covered under contract, so it didn't cost us anything.

Re: Oil question....Is this a good rate???

we locked in at 2.69 in June

Re: Oil question....Is this a good rate???

Re: Oil question....Is this a good rate???

We opted for a contract too because although the prev owners denied it, my inspector thinks the burner is original to the house. (1950)

When I considered 50+ years of service or non-service, I worried about it. Turns out, it got a clean bill of health. Go figure.

They're pretty expensive to replace too. You may want to ask, if the whole unit has to be replaced, what is covered under the contract too.