FairPoint Energy

Revdex.com:
I have reviewed the response made by the business in reference to complaint ID [redacted], and find that this resolution is satisfactory to me IF they follow through on it and reparations are made. 
My satisfaction will be based upon the outcome of their investigation.  I DO NOT consider the case closed at this time, but I will await the outcome of their investigation before rendering a final assessment.  Thank you very much for understanding my inability to make a final decision based on an incomplete resolution at this time.
Sincerely,
[redacted]

Re:           [redacted], Complaint ID [redacted]
 
Dear Ms. [redacted]:
 
This letter is in response to the complaint that [redacted] (“Customer”) filed with the Revdex.com on...

February 2, 2014.  The Customer’s complaint states that: 1) Customer’s Variable Rate increased; 2) Customer does not understand why FairPoint Energy is advertising a much lower Fixed Rate on its website; and 3) Customer has difficulty contacting FairPoint Energy.
 
First Customer’s complaint states that his Variable Rate increased.  FairPoint Energy’s records indicate that on July 6, 2012 Customer enrolled with FairPoint Energy and selected Variable Rate plan.  FairPoint Energy offers both Variable Rates and Fixed Rates.  Variable Rates may fluctuate from month-to-month based on market conditions and company operating factors, and are best for consumers seeking the flexibility to cancel at any time and the ability to take advantage of short-term price fluctuations.  Fixed Rates remain set for the agreed-upon term and are best for consumers seeking price-certainty.  This winter’s unprecedented cold temperatures coupled with record high wholesale energy prices resulted in both increased usage and increased rates for Variable Rate customers.  Just as an example, the average cost of wholesale electricity increased by 126% during December 2013 over its December 2012 level.  FairPoint Energy encourages customers seeking price-certainty and protection from market volatility to select a Fixed Rate product.  
 
Next, Customer’s complaint states that he does not understand why FairPoint Energy is offering a Fixed Rate on its website much lower than the Variable Rate that it is offering.  Variable Rates are more closely tied to the market price of electricity.  When a customer makes a commitment to remain with FairPoint Energy over a longer period of time, FairPoint Energy purchases electricity for that customer in advance.  Depending on market conditions, this may make a Fixed Rate more or less than a Variable Rate. Customer has been appropriately charged for the Variable Rate plan that he enrolled in.  FairPoint Energy would be happy to work with the Customer to select a rate plan that works for his and offer a courtesy credit for enrolling in a Fixed Rate product.  Please contact FairPoint Energy’s Customer Care department at ###-###-#### to enroll in a Fixed Rate product.
 
Finally, Customer’s complaint states that he had difficulty contacting FairPoint Energy.  FairPoint Energy had been experiencing four times its normal call volume resulting in long wait times, however call volumes have now stabilized.
 
I sincerely hope this meaningfully responses to the above complaints.
 
Warmest Regards,
 
[redacted]
Counsel

September 2, 2014
[redacted]
Manager, Marketplace Operations
Revdex.com
[redacted]
[redacted]
Re: [redacted], Complaint ID [redacted]
Dear [redacted]
On August 16, 2014 [redacted] (“Customer”) filed a complaint with the Revdex.com.  On August 20, 2014, FairPoint Energy provided a response to Customer’s complaint and on August 18, 2014, Customer provided a rebuttal.  Customer’s rebuttal states that: 1) Her bill was paid in full in May 2014; 2) FairPoint Energy waited until August 2014 to collect Customer’s past due balance; 3) Customer did not receive any written notification of a past due balance, until she received two phone calls; 4) FairPoint Energy’s August 20, 2014 response stated that Customer owed $169.86 but Customer was verbally told by a FairPoint Energy representative that her past due balance was $31.13; and 5) Customer sent FairPoint Energy a check for $31.13.
Customer’s rebuttal states that her bill was paid in full in May 2014.  This is not entirely correct.  Customer paid for the electricity supply service for her last full bill cycle with FairPoint Energy (3/3/14 to 4/1/14) but did not remit payment for the seven days of usage between her last full bill cycle and her return to her supplier of choice (4/2/14 to 4/8/14).  Customer’s last full bill cycle with FairPoint Energy was March 4, 2014 to April 1, 2014.  Customer’s electricity supply charges from FairPoint Energy for this billing cycle were $139.14 and FairPoint Energy received payment for this billing period on May 13, 2014.  On April 4, 2014, Customer requested cancellation of her electricity supply service with FairPoint Energy, however, before transitioning to her supplier of choice Customer received service from FairPoint Energy from April 2, 2014 to April 8, 2014 (“April Usage”).  The charges for Customer’s April Usage were $30.13.  Customer did not pay FairPoint Energy for her April Usage.  
Next, Customer’s rebuttal states that FairPoint Energy waited until August 2014 to collect Customer’s past due balance for her April Usage.  The delay in collecting the past due amount is due to [redacted] Power’s consolidated billing policies. FairPoint Energy uses consolidated billing with Customer’s utility, [redacted] Power.  This means that Customer’s receives both her electricity supply costs from FairPoint Energy and her delivery costs from [redacted] Power on her [redacted] Power bill.  Customer remits all payments to [redacted] Power, and [redacted] Power then forwards Customer’s payments to FairPoint Energy.  [redacted] Power lists all past due balances on Customer’s bill for two months.  If during those two months, Customer does not pay any past due amounts directly to [redacted] Power, [redacted] Power will allow FairPoint Energy to collect the past due balance.  
Customer was billed for her April Usage on May 5, 2014.  Customer did not remit the payment for her April Usage.  After waiting two billing cycles for Customer to remit payment for the April Usage to [redacted] Power, in July 2014 FairPoint Energy was permitted to begin collecting in Customer’s past due amount for the April Usage.  Consequently, when FairPoint Energy contacted Customer in early August 2014 to collect the past due balance for her April Usage, there had not been a substantial delay from when FairPoint Energy was permitted to begin contacting Customer directly to collect this debt.
Customer’s rebuttal states that she did not receive any written notification of a past due balance.  This is incorrect.  FairPoint Energy’s past due balance was listed on Customer’s consolidated bill for two billing cycles.
Next, Customer’s rebuttal states that FairPoint Energy’s August 20, 2014 response stated that Customer owed $169.86 however, Customer was verbally told by a FairPoint Energy representative that her past due balance was $31.13.  I apologize for this miscommunication.  I am in the Compliance and Legal Department, not the Collections Department.  I erred in reporting the incorrect tab on Customer’s account.  Customer does not owe $169.86.  The Collections Department confirmed that it received Customer’s check for $31.13 on August 25, 2014. 
I sincerely hope this meaningfully responses to the above complaints.  If you have any questions, please do not hesitate to contact me at ###-###-#### or by email at [redacted].
Warmest Regards,
[redacted]
Counsel

September 19, 2014
[redacted]
Re: [redacted] [redacted]
Dear Ms. [redacted]
This letter is in response to the complaint that [redacted] (“Customer”) filed with the Revdex.com on September 15, 2014 and the rebuttal filed on September 18, 2014.  Customer’s complaint states that Customer has not received a refund check of $135.08, which had been promised in June 2014 with a delivery date of 6-8 weeks.  Customer’s rebuttal states: 1) That she does not believe the FairPoint Energy will send Customer’s check out this week; 2) Customer has still not received an explanation why it takes so long to cut a check, because she works in billing and can send a check out the next day; and 3) Six months is not an acceptable period of time to wait for a refund check.
As I stated previously, I sincerely apologize for the delay in sending Customer’s refund check.  Customer’s rebuttal states that she does not believe that FairPoint Energy will send Customer’s check out this week.  I am please to report that Customer’s check was sent out today, September 19, 2014, by [redacted]  The Customer’s tracking number is [redacted]  Customer’s check is expected to arrive on Wednesday September 24th.  Customer was sent an email indicating such.
Next, Customer’s rebuttal states that she has still not received an explanation why it takes so long to cut a check, because she works in billing and can send a check out the next day.  Customer’s check was originally delivered in a timely manner, but was mistakenly issued in the wrong name.  When Customer alerted FairPoint Energy to this issue in June 2014, she was given a delivery time of 6-8 weeks.  Regrettably it has taken longer than this to issue Customer’s check.  FairPoint Energy rolls up to a public company listed on the [redacted] Stock Exchange.  Due to the fact that we are a public company, we have several controls in place and must pass financial and governance audits.  Our corporate controls do not allow for an employee to simply cut a check and send it out the next day.
Finally, Customer’s rebuttal states that six months is not an acceptable period of time to wait for a refund check.  Customer’s refund check was initially processed in a timely manner, but was issued in an incorrect name.  
Again, I sincerely apologize for Customer’s inconvenience and hope this meaningfully responses to the above complaints.  If you have any questions, please do not hesitate to contact me at [redacted] or by email at [redacted]
Warmest Regards
[redacted]
Counsel

Re:           [redacted]
 
Dear Ms. [redacted]:
 
This letter is in response to the complaint that [redacted] (“Customer”) filed with the Revdex.com on March...

19, 2014.  The Customer’s complaint states that: 1) he enrolled in the FairPoint Energy 10% Savings Rate, which guarantees that Customer will pay 10% less with FairPoint Energy over a 12-month period than he would have paid with his utility; 2) Customer believes that FairPoint Energy has inflated its Variable Rate so that customers will switch to a Fixed Rate and forego their 10% Savings; and 3) Customer would like FairPoint Energy’s Variable Rate to reflect the utility’s standard offer rate.
 
Customer’s complaint states that he enrolled in FairPoint Energy’s 10% Savings Product.  Customer did enroll in the 10% Savings Product.  This product guaranteed 10% Savings to the utility over a 12-month period.  Specifically, the Terms & Conditions that Customer received stated: “The savings identified at the time of enrollment will be recognized only after aggregation your first 12 billing cycles and comparing the total you paid for electricity supply service to your EDC’s price to compare.  After the first 12 billing cycles no further savings are guaranteed.  Your monthly price may be higher or lower than your EDC’s price in any given month.”  Customer’s 12-month 10% Savings Guarantee period began on June 3, 2013 and will end on June 3, 2014.  If Customer has not saved 10% below the utility during the 12-month period, Customer will be sent a check for the difference.  
 
Next, Customer’s complaint states that he believes that FairPoint Energy has inflated its Variable Rate so that customers will switch to a Fixed Rate and forego their 10% Savings.  FairPoint Energy offers both Variable Rates and Fixed Rates.  Variable Rates may fluctuate from month-to-month based on market conditions and company operating factors, and are best for consumers seeking the flexibility to cancel at any time and the ability to take advantage of short-term price fluctuations.  Fixed Rates remain set for the agreed-upon term and are best for consumers seeking price-certainty.  This winter’s unprecedented cold temperatures coupled with record high wholesale energy prices resulted in both increased usage and increased rates for Variable Rate customers.  Just as an example, the average cost of wholesale electricity increased by 126% during December 2013 over its December 2012 level.  FairPoint Energy encourages customers seeking price-certainty and protection from market volatility to select a Fixed Rate product.  FairPoint Energy’s Variable Rate increased due to the market conditions experienced over this past winter.  The Variable Rate increased for all FairPoint Energy customers, not just those on the 10% Savings Plan. Recent volatile market conditions have made Variable Rates, which are more closely tied to the market price of electricity, higher than Fixed Rates.
 
Finally, Customer’s complaint states that he would like FairPoint Energy’s Variable Rate to reflect the utility’s standard offer rate.  Unlike the utility, FairPoint Energy’s rates are not regulated.  FairPoint Energy’s Variable Rate is more closely tied to the market price of electricity than the utility’s standard offer rate.  As a result, FairPoint Energy’s Variable Rate may or may not be similar to the utility’s standard offer rate at any given time.
 
I sincerely hope this meaningfully responses to the above complaints.  If you have any questions, please do not hesitate to contact me at ###-###-#### or by email at [redacted].
 
Warmest Regards,
 
 
[redacted]

Complaint: [redacted]
I am rejecting this response because: I do not believe a word anyone at Fair Point tells me anymore. I called on 9/11 and was told 2-3 more weeks. I called on 9/15 and was then told it had been processed and I would get it in 6-8 weeks. I still have not received an explanation of why on earth it takes so long to cut a refund check. I work in billing and I can disburse a check in about one second and it is automatically mailed to our customer the next day. Six months to get a refund is not acceptable ever. I also do not appreciate asking for a supervisor twice and being told there is non available. The customer service of Fair Point is horrible. Their "procedures" need some serious revising if it takes half a year to give a refund.  If I had not called so many times I doubt I would ever get it.
Sincerely,
[redacted]