Budget Power Review | Rates & Deposit (2026)

Budget Power is one of those Texas light companies that shows up when you sort plans by price. The name says it all. They aim to be the budget-friendly option. And for people who can clear the credit check, they often deliver on that promise.

But “budget” pricing doesn’t mean budget-friendly enrollment. Like most traditional Texas light companies, Budget Power puts a credit check between you and their rates. Here’s what you need to know before you apply, and what to do if the credit check doesn’t work out.

Plans and Coverage Areas

Budget Power is a PUCT-licensed retail light company in the Texas deregulated market. They serve customers across most major service areas including Oncor (Dallas-Fort Worth), CenterPoint (Houston), AEP (Corpus Christi, parts of South and West Texas), and TNMP territories.

Plan types:

• Fixed-rate plans (common terms: 6, 12, 24 months)
• Variable-rate plans
• Traditional post-paid billing (monthly bill after usage)
• No prepaid or pay-as-you-go option

The pitch is straightforward: low rates, simple plan structures, no gimmicks. Budget Power doesn’t try to dress up plans with confusing bill credits or free nights promotions. You get a rate, you use your lights, you pay the bill.

How Much Does Budget Power Actually Cost?

Budget Power’s main selling point is pricing, and they typically deliver. Their rates tend to come in at or below the Texas market average, especially on longer-term fixed plans.

For a typical Texas home using about 1,000 units per month:

Plan Length	Approximate Monthly Cost
6-month fixed	$95-$135
12-month fixed	$85-$125
24-month fixed	$80-$120
Variable rate	$85-$160 (fluctuates)

Rates depend on your service area, which transmission company serves your address, and current wholesale prices. Budget Power’s sweet spot is typically the 12- and 24-month fixed plans, where they can be $5-$15 cheaper per month than bigger brands.

Over a full year, that’s $60-$180 in savings. Real money. But you have to get past enrollment first.

Deposit Requirements and Credit Checks

Here’s where things get real.

Budget Power runs a credit check on every new customer. No exceptions, no workarounds.

• Good credit (640+): Typically approved with $0 deposit
• Fair credit (550-639): Deposit may be required, usually $100-$250
• Lower credit (below 550): Higher deposit likely, $200-$400 range, or possible denial

If you do get hit with a deposit, Texas PUCT rules require them to return it with interest after 12 months of on-time payments. Our deposits explained guide walks through exactly how deposit refunds work and your rights under Texas law. Small comfort when you need $300 upfront just to get your lights on.

No deposit waiver programs. No alternative enrollment paths for credit-challenged customers. No letter-of-credit option. The credit check is the credit check.

Pros and Cons

What’s good:

• Genuinely competitive rates, especially on longer-term plans
• Simple, no-gimmick plan structures
• Serves most major Texas metro areas
• Fixed-rate plans protect against summer price spikes
• Licensed and regulated by PUCT
• No hidden fees or confusing bill credit tiers

What’s not great:

• Credit check required on every single enrollment
• No prepaid or pay-as-you-go option at all
• No deposit waiver programs
• Smaller company with fewer customer reviews than legacy brands
• Limited customer service compared to major light companies
• Early termination fees on fixed-rate plans

Cancellation Fees If You Leave Early

Budget Power’s fixed-rate plans come with early termination fees, typically ranging from $75 to $200 depending on the plan length.

If your living situation is uncertain, if you might move, if a lease could end early, this fee could eat up the savings you got from lower rates. Something to factor in.

Pay-as-you-go plans never have termination fees. No contract means no penalty for leaving. That flexibility costs more per month but can save money if your situation is unstable.

Hidden Fees to Watch For

Budget Power’s rates look clean on paper, but dig into the Electricity Facts Label (EFL) before you sign. A few things to check:

TDU delivery charges are passed through on every Texas plan, but some companies roll them into the advertised rate and others don’t. Make sure you’re comparing apples to apples. Budget Power generally includes TDU pass-through in their rates, but verify on your specific plan.

Usage tiers can catch you. Some Budget Power plans have different rates depending on how much power you use. If you use less than 500 units or more than 2,000 units in a month, your effective rate per unit could be higher than the advertised rate. Read the EFL and look at the pricing breakdown at 500, 1,000, and 2,000 units.

Late payment fees are standard across the industry, but they add up fast if you’re already tight on money. Budget Power charges a late fee if your bill isn’t paid by the due date. Know the exact amount before you sign up so it doesn’t surprise you.

Who Budget Power Works For

Budget Power makes sense for someone with solid credit who wants to save money on a simple plan. No frills, no gimmicks, just a competitive rate locked in for 6-24 months.

Budget Power does not make sense if your credit is rough, if you need same-day lights, or if you can’t commit to a contract. They don’t have a Plan B for people who can’t pass the credit check.

What to Do If Budget Power Requires a Deposit

A deposit quote from Budget Power isn’t the end. It just means Budget Power’s specific credit threshold doesn’t work for you. Other companies have different thresholds.

Option 1: Let us check multiple companies at once. Every Texas light company sets its own credit rules. Budget Power might want $300 from you while a different company says $0. We check 5-6 companies simultaneously to find which ones approve you without a deposit. Takes minutes, not hours.

This works more often than you’d think. The deposit rules vary that much between companies.

Option 2: Pay-as-you-go lights. No credit check. No deposit. No contract. Put down $40-$75 to start (that money goes toward your usage, it’s not a fee), and your lights come on. Often same-day.

The monthly cost runs about $50-$60 more than what a Budget Power fixed plan would cost. But there’s no $300 deposit blocking the door, no credit check to fail, and no termination fee if your situation changes. For the full breakdown, check our pay-as-you-go vs traditional guide.

Option 3: Start pay-as-you-go, then switch. Get your lights on today with pay-as-you-go. Give yourself 6-12 months to stabilize your credit. Then switch to a traditional plan with better rates. No penalty for leaving pay-as-you-go when you’re ready. Our path to traditional plans guide walks through it step by step.

Budget Power vs No-Deposit Alternatives

Feature	Budget Power	No-Deposit Traditional	Pay-as-you-go
Credit check	Yes	Yes (we find who approves you)	No
Deposit	$0-$400 depending on credit	$0	$0
Monthly cost (1,000 units)	$85-$125	$90-$130	$145-$180
Contract required	Yes (6-24 months)	Yes (varies)	No
Early termination fee	$75-$200	Varies	None
Same-day lights	No	1-2 business days	Often same-day

Should You Sign Up with Budget Power?

Budget Power lives up to its name on pricing. If your credit is in good shape, their rates are genuinely among the lowest you’ll find in Texas. Simple plans, no confusion, real savings.

But if credit is a question mark, Budget Power has no alternative path for you. No prepaid option, no deposit waiver, no workaround. The credit check is the only door in.

Don’t spend time applying and hoping. Start with us. We check which light companies will take you at $0 deposit, and many of them offer rates in the same ballpark as Budget Power. If nobody bites on the traditional side, pay-as-you-go gets your lights on today. No questions asked. Read more about moving from prepaid to a traditional plan when you’re ready.

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