Thinking about switching your electricity provider in Texas? Good news: it is easy, it is free, and you will not lose power during the switch. Here is everything you need to know.
The myth: "I'll lose power when I switch"
False. This is the number-one question we get, and the answer is always no. Here is why:
- Your local utility (TDU) — Oncor, CenterPoint, or AEP — owns the poles and wires.
- That utility keeps delivering electricity 24/7 no matter who you buy it from.
- Your new provider coordinates the switch, so there is zero downtime.
It is like changing banks: your money does not disappear during the transfer, and you never lose access.
How the switching process works
Step 1 — Compare plans (about 5 minutes)
Enter your service address and see every plan available there. Look for the lowest rate at your typical usage level.
Step 2 — Enroll (about 2 minutes)
Choose a plan and provide basic info. Most providers let you enroll online in under five minutes.
Step 3 — Confirmation (24 to 48 hours)
Your new provider submits the switch request to your utility. You receive a confirmation email with your start date.
Step 4 — Automatic switch (15 to 30 days)
Your utility coordinates with your old and new providers. The switch happens automatically on your start date. No outage. No manual cancellation needed.
Step 5 — New bills
Your new provider sends the next bill. You may get one final bill from your old provider for any remaining usage.
Total time, start to switch: 15 to 30 days
The entire process is automatic. Your new provider handles coordination with your utility, so you do not have to call anyone or cancel anything manually.
Before you switch: check your current contract
If you are locked into a contract, there may be an early-termination fee. Here is what to look for:
- Contract length — 6 months? 12 months? 36 months?
- Months remaining — how many are left?
- Early-termination fee — typically $150 to $300.
- Is the fee worth it? If switching saves you $30 a month and the fee is $150, you break even in five months.
Common switching questions
Will my credit be affected?
No. Switching electricity providers is not a credit inquiry and will not affect your credit score.
Do I need to cancel my old provider?
No. Your old provider is automatically notified by the utility. The switch is handled on the back end.
Will I lose service during the switch?
Absolutely not. Your utility keeps service continuous. There is zero downtime.
Can I switch back if I don't like the new plan?
Yes, but check the new contract's early-termination fee first. You can always switch again once your contract ends, typically after 12 months.
Are there any hidden fees?
No. Switching providers in Texas is completely free. The only potential fee is an early-termination fee from your current provider if you are still under contract.
Red flags to avoid
- Rates that seem too good to be true. Always compare the Electricity Facts Label (EFL), not just the headline rate.
- Promotions with hidden conditions. Check the fine print for minimum-usage requirements or contract terms.
- Companies that won't give you the EFL. Legitimate providers always provide the standardized EFL.
- Pressure to switch immediately. Take your time and compare.
Bottom line
Switching electricity providers in Texas is free, easy, and risk-free. You will not lose power, there is no downtime, and the process is automatic. The biggest hurdle is simply comparing plans and picking the best one for your home.
Questions? Call or text us at (361) 582-9724. We will help you understand your current contract and find the best plan to switch to.