Most homeowners don’t think about heating oil when the summer season is just ending. However, now is the right time to decide what service contract to choose for oil delivery. Most local oil companies offer different pricing options, which can be based on spot price or fixed price. Below are a few reasons to opt for the latter.

Why You Should Pre-Buy Heating Oil

1. Guaranteed Volume for the Season

Under the pre-buy contract, you purchase your total estimated heating oil usage for the season at a specific price, with a delivery schedule depending on your needs. This guarantees that you won't have to switch suppliers in the middle of the season. Some local delivery companies run out of heating oil because of high demand, which can be a hassle during inopportune times.

2. Fixed Prices

Oil prices are volatile in the market, and it's difficult to predict how they'll move during a specific period. Many factors affect the oil's supply and demand, which have a significant impact on its pricing. This can make it difficult for a household to estimate their heating costs for the season. However, when you're paying a fixed rate, you don't have to worry if the prices go up on the next delivery because it's already paid for.

3. Cost Savings

In some budget plans, buyers have to pay a price protection fee in exchange for the capped or ceiling rate. However, this doesn't apply with a pre-buy contract. The price protection fee is a way for local oil delivery companies to cover their losses when market prices become higher than the capped rate, so if you pre-buy your heating oil, you'll save on these fees.

If you decide to pre-buy your home’s heating oil, look no further than Thomaston Oil in Litchfield County, CT. Since 1986, they’ve provided premium-quality fuel oil and services to communities throughout western Connecticut, including emergency repair services in case of breakdowns. Call (860) 283-4878 to schedule an oil delivery, or place an order online today.