Virgin-Lumo Energy 10,000 point Offer. Has Anybody used Lumo?

[Renato1]

Hi,
I just got an email offering 10,000 points for sign-up and 6 points per dollar if I switch to Lumo Energy on a 24 month contract.

I've never heard of Lumo.
Has anyone ever had dealings with them, or issues with them?
Or know why the offer may not be as good as it seems?

Thanks for any assistance you can offer.
Regards,
Renato

 

[coriander]

I've never heard of Lumo.

Heavily advertised on TV in Melbourne - the ad with the colourful talking appliances.

 

[PLC]

I used to be with Lumo.

They were OK with pretty good pricing and discounts. I had the usual call centre issues, so in the end I resorted to only communicating with the live chat feature (and saved the chats for future reference). To be honest though, I'm not sure if they are any better or worse than the others.

 

[Renato1]

Heavily advertised on TV in Melbourne - the ad with the colourful talking appliances.

Oh - I see, thanks. That's one of the problems of only watching Foxtel and Netflix, I'm nearly totally out of touch with current TV ads.
Regards,
Renato

 

[Renato1]

I used to be with Lumo.

They were OK with pretty good pricing and discounts. I had the usual call centre issues, so in the end I resorted to only communicating with the live chat feature (and saved the chats for future reference). To be honest though, I'm not sure if they are any better or worse than the others.

Thanks for your thoughts and experience.
Regards,
Renato

 

[Duffa]

I am with Lumo
Re the Velocity offer; that electricity is much more expensive than the standard Lumo rate.
In effect, by the time you have earned enough points for a J rtn to Europe you will have spent about $4500 more for electricity - only you can decide if that is worth it!
As always YMMV

 

[Renato1]

I am with Lumo
Re the Velocity offer; that electricity is much more expensive than the standard Lumo rate.
In effect, by the time you have earned enough points for a J rtn to Europe you will have spent about $4500 more for electricity - only you can decide if that is worth it!
As always YMMV

Thanks very much - you have actually warned me to keep tabs on Lumo in 24 months time. The screen I went to as a possible new customer from Victoria gave me four options, one of which was their cheapest option, two that were dearer, and the Virgin option which was actually cheaper (slightly) than their cheapest option.

So I compared the Virgin Option to what I was currently paying on the Energy Australia Flexsaver option. Lumo peak power was 0.2 cents per KWh less, off-peak power was 2cents per KWh less, but daily connection fee was 25cents a day dearer. On my summer bill (which I had handy) that equated to paying a minimum of $94.90 less for electricity annually but paying $91.25 more for connection fee. So I was saving a minimum of $3.65 plus earning the points, but losing the 3% discount I got from Energy Australia fo paying on time.

So, on the Virgin plan I get 6 points a dollar, which I value at around 1.4 to 1.5cents per point - which equates to an 8.4% to 9% bonus, versus losing the 3% discount on the Energy Australia plan.

Thus I figured that on an ongoing basis (excluding the 10,000 bonus points) I'd get a minuscule monetary saving going to Lumo, but would wind up 5.4% to 6% better off on the Virgin points versus the Energy Australia discount for paying on time. This was compelling enough, but when I saw that Energy Australia was offering new customers 35% off for paying on time, at the exact same rates that I was paying them for electricity, I decided to switch to Lumo.
Regards,
Renato

P.S. Some people value the Virgin points much higher than I do. I suspect they would find this offer fairly compelling.

 

[docjames]

Have Lumo. Nil issues. Rates when I signed were the same, with 15% elec discount and 20% gas discount.

 

[PLANT]

Hey Powershop.... Via my referral and you will Save More and get ff points from paying via credit card!
Checkout referral thread

 

[Renato1]

Have Lumo. Nil issues. Rates when I signed were the same, with 15% elec discount and 20% gas discount.

Thanks. Interesting though - I saw nothing about 15% discounts. I should earn 18,000 points per annum given my current spend, which I equated to a valuation for me of 8.4% to 9% bonus. Spread the bonus points over the two year contract, and that brings my bonus up to 10.7% to 11.5%. Maybe I'd have been better off looking for the discounts?
Cheers,
Renato

 

[Warks]

Origin Energy has been pushing a deal where they pay "half your power bill for three months" and then discount electricity by 15% and gas by 12%. Might be worth more than a few FF points if it's for real. But how long does the discount last? That's the big question.

After changing power providers like changing clothes for a few years with all the door knockers we reached a point where we just stuck with Energy Australia - back to where we started.

 

[Duffa]

Thanks very much - you have actually warned me to keep tabs on Lumo in 24 months time. The screen I went to as a possible new customer from Victoria gave me four options, one of which was their cheapest option, two that were dearer, and the Virgin option which was actually cheaper (slightly) than their cheapest option.

So I compared the Virgin Option to what I was currently paying on the Energy Australia Flexsaver option. Lumo peak power was 0.2 cents per KWh less, off-peak power was 2cents per KWh less, but daily connection fee was 25cents a day dearer. On my summer bill (which I had handy) that equated to paying a minimum of $94.90 less for electricity annually but paying $91.25 more for connection fee. So I was saving a minimum of $3.65 plus earning the points, but losing the 3% discount I got from Energy Australia fo paying on time.

So, on the Virgin plan I get 6 points a dollar, which I value at around 1.4 to 1.5cents per point - which equates to an 8.4% to 9% bonus, versus losing the 3% discount on the Energy Australia plan.

Thus I figured that on an ongoing basis (excluding the 10,000 bonus points) I'd get a minuscule monetary saving going to Lumo, but would wind up 5.4% to 6% better off on the Virgin points versus the Energy Australia discount for paying on time. This was compelling enough, but when I saw that Energy Australia was offering new customers 35% off for paying on time, at the exact same rates that I was paying them for electricity, I decided to switch to Lumo.
Regards,
Renato

P.S. Some people value the Virgin points much higher than I do. I suspect they would find this offer fairly compelling.

No, thank you! I'm going to re-do my sums!!! Maybe I will switch to Lumo Velocity

 

[Freq Flier 2013]

No, thank you! I'm going to re-do my sums!!! Maybe I will switch to Lumo Velocity

I was on the lumo velocity deal a while back. When I moved house I re did the numbers and the price for gas and electricity was a lot cheaper with lumo if I did not go on the lumo velocity deal but one of the others.
It just depends on your state / area and the prices. For me the velocity deal was more expensive.

 

[bam71]

Am with Lumo Velocity deal. No problems at all. I use the CBA Diamond to make payment for extra points, so get 7.5pts per dollar.

 

[Duffa]

Here is my spreadsheet.
It seems that things have become even worse since I last worked through this exercise in 2013.
I rang Lumo TODAY and got their prices for Victoria - when I remarked that the Velocity plan seemed very expensive he agreed - and offered the standard plan with a 30% discount for prompt payment.
These figures are based on my annual electricity usage and the Lumo prices from today (we are high users)
In summary; I will earn 24,000 points per year but the Velocity tariff will cost me and extra $956.



Just thought I'd also factor in the cost of a J turn to Europe ex tax!!!

 

[Renato1]

Here is my spreadsheet.
It seems that things have become even worse since I last worked through this exercise in 2013.
I rang Lumo TODAY and got their prices for Victoria - when I remarked that the Velocity plan seemed very expensive he agreed - and offered the standard plan with a 30% discount for prompt payment.
These figures are based on my annual electricity usage and the Lumo prices from today (we are high users)
In summary; I will earn 24,000 points per year but the Velocity tariff will cost me and extra $956.

View attachment 52647

Just thought I'd also factor in the cost of a J turn to Europe ex tax!!!

Curiouser and curiouser.

Well, strangely you were given different Lumo Velocity rates to me (Peak is 4.6 cents higher, and off-peak is 1.1 cent higher, and daily supply is 5 cents higher). I got these ones on the internet - and when she read them out to me, they were exactly the same as these ones.

Anyhow, maybe I'm suboptimizing - but I'm better off than being with Energy Australia.
Cheers,
Renato

 

[psi999]

I'm with Lumo on the velocity plan. Only a small electricity bill due to solar so works out not too badly.

last few quarters have had points issues.... Lumo are totally useless and have had to ask VFF to sort out both times.

Enjoy

 

[Pele]

Gday

The calculations also need to factor in the disconnection fee from your current provider and a potential connection fee at the new provider. These can be quite hefty ~$100 and can instantly erode the marginal savings some might get.

Pele.

 

[Duffa]

$956 for 24,000 points..................... $349 for 110,000 points.........................

Casting pearls

 

[Duffa]

Good point , Pele
Most of the time, when I have changed, I have invoked their promise to remain the cheapest (which has invariably been broken, by them).
I then threaten them with a chargeback and they usually acquiesce..