Energy Choice
                            

Matters

MXenergy Reports Erroneous Charging of Termination Fees

October  6, 2011
Email This Story

MXenergy reported to the Connecticut PURA that it erroneously sent early termination fee collection letters to several customers, and "a small percentage" of those customers paid the fee in error as a result.

MXenergy will make refunds to all affected customers.

The error stemmed from a new product offered by MXenergy late this summer which included an early termination fee, and whose terms of service informed the customer that if they cancelled after the rescission period, they would be assessed the early termination fee as stated in their welcome letter, enrollment form, or renewal letter.

However, the welcome letter delivered to these customers did not make reference to an early termination fee, and therefore, such customers should not have been subject to an early termination fee and should not have been sent an early termination fee collection letter as occurred.

MXenergy has corrected the discrepancy going forward, and has notified all customers erroneously receiving an early termination fee notice that such notice was sent in error.

No customers were reported to credit agencies as a result of the erroneous collection letters, MXenergy said.

MXenergy self-reported the incident to PURA due to its obligation, under a prior settlement, to report high priority complaints promptly to PURA, even if a full understanding of the issue has not been achieved.

Home

Be Seen By Energy Professionals in Retail and Wholesale Marketing

Run Ads with Energy Choice Matters

Call Paul Ring

954-205-1738