Direct Energy vs. Constellation

Direct Energy vs. Constellation: Which Company is Right for You?

Thinking about Direct Energy vs. Constellation for your home’s power? Don’t worry, we’ve got you covered.

These two providers are popular choices, but they’ve got some key differences that might make one a better fit for your needs.

We’re here to give you the straight talk on what each company does well.

We’ll put Direct Energy and Constellation side by side, making it easier for you to decide which one fits your lifestyle and values best.

Key Takeaways

• Direct Energy brings competitive rates to the party.
• Constellation rocks 24/7 customer service.
• All electricity is the same. Your electricity comes from your TDU–not your provider.
• Advertised rates are often misleading because they are tied to exact usage levels.
• Live Link™ helps you find the best deal by factoring in your real electricity usage.

Show Summary

Table of Contents

Side-by-Side: Direct Energy and Constellation

Let’s break down the key features of both providers:

Feature	Direct Energy	Constellation Energy
Plan Options	Fixed, Free Nights	Fixed, Variable, Renewable
Contract Lengths	12, 24 Months	12, 24 Months
Early Termination Fee	$150-$295	$150-$295
Same Day Connection	Unavailable	Unavailable
Renewable Energy Options	Partially Renewable	Partial and 100% Renewable Plans
Mobile App	Yes	Yes
Customer Service	24/7 Support	24/7 Support
Community Involvement	Bill Support for Customers	HVAC maintenance, home protection plans

Your Quick-Pick Guide

If you…	Shop
Want great rates and don’t use much electricity	Direct Energy
Need access to 24/7 customer support	Constellation

Is Direct Energy or Constellation cheaper?

Both these companies offer competitive rates, but they’ve got different approaches. Here’s a peek at some plans to give you an idea:

While you’re shopping, don’t forget:

1. Rates fluctuate: Prices can change from one day to the next – what you see today might be gone tomorrow.
2. Usage matters: Your monthly usage is the key here – a plan that’s a great deal for your neighbor might actually cost you more.
3. Discounts: Some plans offer monthly credits or discounts, but they often depend on how much power you use.

Pro tip: Don’t just chase the lowest number. Think about how you use your energy and what matters to you. Sometimes paying a bit more for peace of mind or to support renewable energy is worth it.

Ready to find a power plan that fits your needs? Shop the right way today.

Find your best plan with Live Link™ →

Direct Energy

Direct Energy has been keeping homes bright for years now. They’re known for offering plans that give you more control over your energy use, with some nifty tech to help you manage your consumption.

Direct Energy Highlights

• User-friendly app and online tools to keep tabs on your usage
• Plans for various needs, including those with lower energy consumption
• Customer service that aims to make you feel right at home
• Part of NRG Energy, one of the major players in electricity
• Provides assistance to customers who need help with their bills

Best for: Low Usage and Customer Service

Constellation

Constellation has been lighting up homes since 1998. They offer a variety of plans to fit different needs.

Constellation Highlights

• Offers a range of plans including fixed-rate, variable-rate, and renewable energy options
• Provides online account management and a mobile app
• 24/7 customer support
• Offers renewable energy plans powered by 100% wind or solar energy
• Provides additional services like HVAC maintenance and home protection plans in select locations

Customer Reviews & Ratings

Let’s see what customers are saying about these companies:

Direct Energy

Highlights:

• Customers appreciate the friendly service and clear pricing
• Many folks like their online tools and app for easy account management
• Some users rave about their helpful customer support team

Common complaints:

• A few customers ran into billing hiccups and communication issues
• Negative reviews mention unexpected fees and disconnection problems

Constellation: 4.6 stars average on Google (2,900+ reviews)

Highlights:

• Customers appreciate the user-friendly energy usage reports
• Many are impressed with their thorough customer support

Common complaints:

• Some users experienced issues with billing and contract terms
• A few reported difficulties when trying to switch providers

Remember, these ratings aren’t the whole story. It’s smart to compare plans and read recent reviews before making your choice.

Direct Energy vs. Constellation: Reddit Feedback

Based on online discussions, including Reddit, here’s what people are saying:

Direct Energy often gets positive mentions for budget-friendly options. However, some users report challenges with customer service, particularly when it comes to resolving billing issues.

Constellation receives mixed reviews. Many praise their competitive initial rates and plan variety. However, some customers warn about unexpected rate hikes after introductory periods and hidden fees on bills.

A few users mentioned challenges with customer service, including long wait times, and difficulties canceling contracts without incurring hefty fees.

The main takeaway? Do your research. Don’t just pick the cheapest plan and hope for the best. What works for one person might not be the best fit for you.

What No One’s Telling You

1. Same power, different name. No matter who you pick a plan from, your electricity is delivered by the same company—your TDU (Transmission and Distribution Utilities) .

TDUs like CenterPoint in Houston or Oncor in Dallas own and maintain the poles and wires that deliver electricity.

This means your power’s reliability is the same no matter who you sign up with. And the Public Utility Commission of Texas (PUCT) oversees and regulates all of them.

So the brand itself doesn’t impact the electricity you receive. Now why would you pay extra for a bigger name?

2. Advertised rates are a trap. You’ve probably seen ads for ultra-low rates. But those rates are usually tied to exact usage amounts—500 or 1,000 kWh.

Those rates look great on paper but are almost impossible to hit in real life.

Why?

Every month you use a different amount of electricity, so the rate you see might not be the rate you pay.

3. Beware of holdover rates. What happens when your contract expires?

If you don’t switch to a new plan, you’re now the winner of a holdover rate.

Holdover rates equal big bills, especially during Texas heatwaves or winter storms.

Don’t let your contract lapse—always switch or renew your plan before it expires.

Pro Tip: Shop for plans in a comparison marketplace to get a complete picture of the best available options based on your actual usage.

How to Choose the Right Plan

Don’t get overwhelmed by all these electricity options. Finding the best plan for your home can be quick and easy with the right approach and tools.

Sign Up and Save With Live Link™

Say goodbye to guesswork and hello to personalized savings with Live Link™. This innovative feature taps into your actual energy usage data to find the perfect electricity plan for your home. Here’s why Texans love Live Link™:

• Effortless Accuracy: No more digging through old bills or estimating your usage. Live Link™ securely pulls your real consumption data with just a click.
• Tailored Recommendations: Get plan options customized to your unique energy habits, not generic estimates.
• True Cost Clarity: See the full picture of your electricity costs, including how seasonal changes affect your bill.
• Big Savings: By matching you with plans that fit your actual usage, Live Link™ could save you hundreds each year.

Ready to find your best plan? Try Live Link™ now – it’s free, fast, and could be your ticket to lower electric bills.

Try Live Link™ Free →

Don’t settle for one-size-fits-all plans. Let Live Link™ do the heavy lifting and find you a plan that truly fits your home’s needs.

Looking for a DIY approach?

This 2-minute video explains everything you need to know ⤵️

Let’s Get Your Home Powered Up

Ready to find an electricity plan that fits your needs and preferences?

Just enter your zip code, and we’ll show you how Direct Energy, Constellation, and other top providers in your area compare.

Any product or company names, marks, or logos shown on this page are the property of their respective owners. ComparePower is an unaffiliated, independent marketplace. Get unbiased, accurate information backed by our commitment to editorial integrity.