There are many ways electricity suppliers woo new customers, from low introductory rates, to a lack of cancellation fees or even free furnace inspection and repair.  Now alternative suppliers are taking a cue from the credit card companies and offering cash back to their new consumers. But before you switch, customers need to read the fine print.

Let?s look at two cash back offers from First Energy (serving Ohio, Pennsylvania, New Jersey and Illinois) and Energy Plus (serving Connecticut, Pennsylvania, Texas, Maryland, Massachusetts, New Jersey, New York and Ohio) to see how much consumers really benefit from cash back incentives.

How much cash back will I get? First Energy offers new customers three percent cash back in the form of a Visa gift card worth the greater of $10 or three percent of your total annual payments. If you are an average residential energy consumer, that translates into about $20 a year. Energy Plus offers a two percent rebate for every $1 spent during a month or one dollar for every $50 you spend.

Is there a monetary limit? FirstEnergy limits consumers to $500 a year.

How long do I have be a customer to receive cash back? FirstEnergy customers must remain active through December or the end of their term in a given year. Energy Plus customers must have an active account for 12 billing cycles to receive cash back.

When will I receive my cash back? First Energy mails out gift cards ten to twelfth weeks after the end of your twelfth billing cycle. Energy Plus sends the rebate automatically after the close of your twelfth bill.

Which parts of my bill are included in calculating the rebate? Only the supply or generation portion of your bill is used to calculate the amount of cash back.

Are there any exclusions? These special incentives are often only available for first time customers and some service areas may be excluded.

If you?re looking for a lower electricity bill and a little extra change in your pocket once a year, these types of incentives may be a good fit. Still, it’s important to examine all aspects of each available supplier’s services and promotions. The above example is just one method by which every consumer should scrutinize retail electricity suppliers comparatively.

But don’t stop at cash back offers! Check the electricity rates, variable vs. fixed options and other perks.