MA Changes Customer Protection Rules
MA lawmakers recently took big steps for more customer protections. These changes act as a warning to MA businesses, including competitive electric suppliers, to provide price and billing transparency. Most important for MA electricity suppliers, they make it easier for consumers to avoid recurring charges and automatic renewals. But, will they affect electricity rates? And how soon will they go into effect? Let’s unwrap this to discover how new protection regs affect suppliers’ future electric plans.
New MA Customer Protection Rules
Late last month, the state AG office released a statement about new rules to protect customers. For the most part, these rules relate to transparency, including a block on ‘junk fees‘. As a result, electric plans must now explain the total price front, including any post-purchase charges. What’s more important for energy customers, however, are the new rules regarding auto renewals.
Previously, energy companies did not need to explain how your rates might change after auto-renewal. Also, they did not have to provide multiple means to cancel your plans before auto renewal charges.
But the new rules change this.
First of all, energy companies must alert their customers about auto renewals. These notices must include clear information on:
- The date when an energy plan will auto renew
- New rates and how they compare to the previous price
- Clear instructions on how to cancel renewals before any charges happen
Second, companies have to make it possible to cancel in the same way that they signed up. For example, if you signed up for a plan on line, you must be able to cancel that way. Similarly, if you signed up over the phone, a company must provide a way for you to cancel that way, too.
When Do New Rules Begin
The new rules kick in on September 2. So you may be wondering how this could affect your energy shopping.
First, this makes plans and costs far more transparent. In other words, it will be easier to avoid surprise charges and unwanted rate hikes. Second, it will be far easier for customers to cancel their plans when they need to. Finally, this makes it harder for bad actors to scam MA energy shoppers.
You can also trust https://www.maenergyratings.com to help you shop for the best deals in town. We’ll also keep you up to date on the news and tips that could affect your bills.