No Credit Check Power Companies In New Zealand

No credit check power companies are growing more popular in New Zealand. While good credit scores can be important for providers, this can limit a lot of people's options on important utilities such as electricity, as most electric companies sell their plans on contracts.

Fortunately, the list of providers who don't do credit checks on their customers is growing. Only big retailers used to offer them, but smaller companies are starting to sell them at cheaper rates, too.

Read on to see the best no credit check power companies in New Zealand.

What is a credit check?

A credit check is done by different companies to ensure that you can pay your financial obligations with them. For power companies, this obligation is the monthly power bill under your contract. Having bad credit history or a subprime one can get your application rejected.

This process goes through your credit history. This is determined by your repayments, debts including loans, credit cards, phone and internet bills, among others. You can check your credit rating yourself through credit reference agencies such as Credit Simple, Centrix, illion, and Equifax.

Why get a no credit check power plan?

Most power plans are prepaid or pay-as-you-go, meaning that you pay for what you’re going to spend beforehand. Upfront payment may fit the lifestyle of some on-the-go New Zealanders, as they don’t have contracts or commitments.

• No bill shock or hidden charges at the end of the month
• Help you save on your electricity bill as you pay only what you need to use
• Flexibility to top-up anytime, in case you run out of power in the middle of the month
• Lower your power usage, helpful for a more sustainable living
   

Read: What Is The Average Power Bill In New Zealand?

Best no credit check power companies

The list of power retailers may vary depending on your area. Use glimp's comparison tool to easily compare plans, and see the best options for you.

Contact Energy

Contact Energy is one of NZ’s biggest power retailers offering prepay no credit check plans. Their PrePay service is available only for residential customers on electricity supply. The best part is, the rates are similar to their normal plan rates! You can also take advantage of any of their discount codes and promos, just like with any of their plans.

Customers can track their electricity consumption through the Contact Energy website or mobile app. They can also top up any amount as needed, or build up credit to use over winter. At the same time, they notify you via text when your balance is low or you need to top up sooner.

Read: How To Read Your NZ Power Bill

Globug

Globug makes it easy for consumers to buy prepay plans. Through their website or mobile app, you can top up for as low as $10 using your debit, credit, or mobile banking app.

If you don't have the app, you can always top-up your plan in dairies and convenience stores across the country.

Globug’s comprehensive mobile app lets you check your current balance, top-up your account, and get a rough estimate of how much you’re spending daily, weekly, or monthly. This lets you manage your power more efficiently.

Pulse Energy

Pulse Energy is a community-owned energy company that supplies electricity, gas, and solar power. Their Lifestyle Plan offers a flexible electricity plan with no contracts or checking your credit score, and you can pay as you go. The plan is available in most homes and businesses across New Zealand.

To subscribe to their plan, simply go to their website and follow the joining process. No IDs or credit checks are required. The smart communicating meter from residential properties calculates accurately how much electricity you’re spending. Note though, that Holiday Homes can’t take advantage of this plan.

Read: How To Avoid Getting Overcharged On Your NZ Power Bill

Wise Prepay Energy

If you’re from Auckland, Waikato, Rotorua, Taupo, or Hawke’s Bay and are looking for an excellent prepay power provider, Wise Prepay Energy is an excellent choice. Like any of their bigger competitors, they charge no deposit fee, don't check your credit history, and have no fixed contracts. They also have plenty of different tools, where you can check your usage and view your balance.

What’s great about their plan is they have a newer smart meter! This results in a more accurate reading of your electricity consumption, as long as you’re in the coverage area. You also don’t need to pay or have a special prepay-only meter. It comes default with your plan.

How can I improve my credit score?

As great as no credit check power plans are, you should still improve your credit score. This can help you with a variety of things, including getting a better deal with your utilities, increasing your credit limit, and getting more of your applications approved.

Improving your credit score may be a daunting process, but it can be quick and simple. Here are some ways to improve your credit score.

Read: The Best Power Deals In NZ For Long-Term Savings

Consolidate your unpaid debts

Consolidating your unpaid debts can prevent you from ballooning interest rates. You can take out a loan with a lower interest, then use them to pay off your other unpaid debts. Paying off your debt with another debt may seem like a bad option, but it can actually work great to minimise the interest rates.

Just make sure you read the fine print, and read and ask around for reviews of people whose debts have been minimised by such a loan.

Manage your credit cards wisely

It’s not always wise to drop credit cards if you can’t pay or manage them. Sometimes, this may hurt your credit score, especially if you’ve been holding onto your credit card for too long. Consult with your bank or financial adviser on which credit cards to drop or keep to ensure that it improves your credit score.

Take only necessary debts

Debts aren’t bad at all. It only becomes bad when you don’t pay them on time and it accumulates interest. As much as possible, make sure that the debt you incur works for you, e.g. to start a business, acquire an asset, or pay off your debts.

This can also mean only using your credit cards for necessary purchases like groceries, utilities, and rent, among other things. It's important to pay them on time and in the full amount so you don't incur fees and interest.

Get the best power plan for you

No credit check power plans are an excellent option, but there may be other plans that fit your needs and lifestyle. Use our free comparison tool right here at glimp.