• Report: #230740
Complaint Review:

Direct Energy

  • Submitted: Mon, January 15, 2007
  • Updated: Thu, March 24, 2011

  • Reported By:Corinth Texas
Direct Energy
12 Greenway Plaza, Suite #600 Houston, Texas U.S.A.


*Consumer Comment: Contracts

*REBUTTAL Owner of company: direct energy scam

*Consumer Suggestion: Direct energy rip off

*Author of original report: Update on DE Collection Company

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I signed up with the company in 10/05 and was set up on a Budget Billing Program. My average billing amount was at first $229 then it dropped to $211 per month. I paid that amount from January until May but this was a 1 year signed agreement that was in effect until September of 2006.

In May of 2006 I received a letter to sign up for another program and would have the ability to take $150 off of my bill for that month if I accepted this program. I did accept but did not realize that it was going to raise my KWP from $0.96 to $0.14 until I received my June bill. Also, since I was still under the first agreement this should not have taken effect until 9/06 but when I received my June bill it started that month.

I wrote to DE 5 times from July until October and received acknowledgments from their website stating that my email had been received and they would get back to me in 2 business days. The only thing I received from DE was a cutoff notice in September. I filed a complaint with the Public Utility Company of Texas for review but they favored for DE (big surprise). I then received a phone call from one of their complaint managers at my place of business and also an email from her as well. Regardless to say the phone call was not returned but I did respond to her email. Why would I talk to them on the phone when they can't even respond to my emails that were sent? They stated they never received any contact from me whatsoever but I have the emails that state they were received by the company. If they can't respond to emails I obviously didn't want to discuss my issues with them on the phone because there would be no documentation whatsoever.

When I first signed up with DE my contract should have been carried out until the end of the agreement and not changed regardless of what was offered afterwards. But since it was the beginning of the summer it was a way for them to get the most money they could out of their customers. Instead of my average billing amount of $211 they raised my budget amount to over $340 per month. Now they are saying I owe them over $700 of past due bills when in fact I have paid my monthly amount of $211 regardless of the dispute and despite the fact that I didn't have to pay anything while the it was going on.

I have sent them the $150 back that I received off of my June billing plus any amount over the $211 that should have been paid. I am sending a final $150 even though I probably shouldn't.

If they can't even read emails I'm wondering if they even read my meter correctly.

What gets me the most from this company is the customer service (which they obviously do not have). I have received 2 phone calls from them stating they were going to file an internal complaint because they take their customer service very seriously. What a joke. The first complaint was around the 1st of December and I was told that they would get back to me within 10 business days. Needless to say nothing. The only phone call I received was when I emailed them AGAIN and told them how sorry their customer service was and the fact that they didn't respond to the first complaint. They then told me they issued another complaint number but I didn't not hear about that one either.

I filed a complaint with the "do not call" listings so they would quit calling me with their recorded messages but they said that they were not calling me for "solicitation" but for payment of my past due bill. It clearly states on the do not call website that if a consumer asks a business not to call then they have to honor that request or be subject to a fine up to $11,000. They have called me 6 times since my request of them not calling me. I also have a recorded message of them actually saying they have received it.

I have never in my entire life encountered such a worthless company and even worse customer service.

Corinth, Texas

This report was posted on Ripoff Report on 01/15/2007 08:20 PM and is a permanent record located here: http://www.ripoffreport.com/reports/direct-energy/houston-texas-77046/direct-energy-ripoff-do-not-do-business-with-this-company-they-have-no-customer-service-an-230740. The posting time indicated is Arizona local time. Arizona does not observe daylight savings so the post time may be Mountain or Pacific depending on the time of year.

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Updates & Rebuttals

#1 Consumer Comment


AUTHOR: Anon - (United States of America)

The undelying problem doesn't seem to be with Direct Energy, but with the consumer.  You state that you don't think the new program you signed up for should have taken effect until the expiration of your current program.  You need to remember you signed a contract and in contracts what's important isn't what you think should happen, but what the contract that you signed says will happen.  I bet if you look at the contract for the new program it will say something to the effect of "This program will take effect upon your next billing cycle and supercedes any and all previous contracts."  Thus, while you think you shouldn't pay a new amount until your current contract expired, the new contract superceded the previous contract, so you were obligated to pay the new amount that you signed up for immediately.

You state yourself that you were paying every month on the old amount because you felt that's what you owed.  Of course DE would want more than what you were paying because that's what you owe, regardless of what you think you owe.  You can't be afforded the opportunity to read and understand a contract, not take that opportunity, and then complain and call it a scam when things aren't as you thought they should be but are exactly what you were told they would be. 

As for the do not call list, that applies only to unsolicited telemarketers and others of that nature; it does not apply to those seeking payment on past bills; if it did apply to those seeking payment, everyone would sign up on that list and no company would be able to collect on payments.

As for the customer service issues, it does appear that they have problems that need to be addressed, but that doesn't make this company a scam or a rip off.
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#2 REBUTTAL Owner of company

direct energy scam

AUTHOR: Master - (United States of America)

I have similar problem with same company,  only i called my main energy company "national grid"  like my attorny asked me to and ask for a activity statement from when they first started on my account until present.  what i noticed is that its been over a year since ive been with direct energy and my bill came and says i still owe direct energy over $500 but on the statements it shows there increases every month getting worse and worse and then as of about a year ago no more direct energy and i was never informed i owed then anything as i was on a agreement plan through national grid to always pay my current bill plus $10 tor-ward past due balance that was incurred before direct energy was in the pic so how could i owe them anything?  i think its class action time!
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#3 Consumer Suggestion

Direct energy rip off

AUTHOR: Christopher - (U.S.A.)

I had billing problems with them you need to contact this person she can help and will help
Ruth P. Noel
Office of the President Administrator
713-877-3615 office
713-877-3799 fax
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#4 Author of original report

Update on DE Collection Company

AUTHOR: Marsha - (U.S.A.)

Since my posting of this report, Direct Energy has now turned my account over to a collection agency - Allied Interstate in Greensboro, NC. They have a paragraph in their letting that if you want to dispute the charges then you have to contact them within 30 days. Needless to say, I did write them (no phone calls, no proof). I received a voicemail from them yesterday wanting me to call them. Again, I will not contact anyone that has anything to do with Direct Energy by phone. I stated my case against Direct Energy and WILL NOT PAY THEIR FEES. As I stated previously I have paid my bill with my original contract that I signed and will not give that company another DIME.

If there is a class action suit filed against this company I would be very happy to be included in it.
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