Pre-Paid Gas Is It Worth It

August 2, 2008

Consumers are getting hit and hit hard at the gas pumps. The price for gas is on the rise with no relief in sight. This is distressing to motorists who are on the constant lookout for new ways of saving gas.

Hybrids, car pooling, and scooters are popular methods and now pre-paid gas cards are added to the mix.

Steven Verona developed MyGallons.com which offers members a pre-paid gas card. The card is accepted at any stations that already accept credit cards which is attractive to drivers. Essentially, motorists pay an annual fee of $29.95 for the ability to lock in current gas prices. They pre-purchase an amount of gas at current levels and use that at the pumps should prices rise again.

The price of the locked in amount depends on the average cost of gas for the customer’s zip code.

While supporters are hailing MyGallons.com for providing a great service for drivers tired of paying high prices there are several experts who are sceptical.

These experts state that it is nearly impossible to accurately predict the path of gas prices. While the national average is the highest it has been in decades there were several occasions where it dipped low before sky rocketing. Consumers are taking a gamble that the current gas prices are going to remain low; a gamble that is possible to loose.

What’s more, is that MyGallons.com is a new company causing several consumers to take pause. Should the company go out of business then consumers are left holding the bag with little opportunity to get their money back. There is a possibility that consumers might have to wait several months for prices to rise making the invested cash essentially useless.

It is advised that consumers who wish to participate in the pre-paid gas program buy only a few gallons at a time as a way of testing waters before investing anything significant.

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