Home & Garden

The Great Water Heater Rental Scam

  • Last Updated:
  • Sep 21st, 2017 11:18 am
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Oct 6, 2010
7589 posts
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Toronto
reyoasian wrote:
Aug 15th, 2017 11:07 am
What are some good gas+tank water heaters to buy?
I saw the GSW one from Lowe's (my parents have a GSW rental through Direct Energy, so I'm assuming it would be a good product?)

Also, to contribute to this post - if you purchased a pre-construction home from the builder and they put in a Reliance tank (not sure about other companies), you are not obligated by any contract as long as you DO NOT pay the first bill (once you pay their first bill, you've sold your soul to the devil for the next gazillion years). You will still need to get the tank back to them by either dropoff or pickup, and I'm sure there is a fee if you request them to pick it up. But there's no contract termination penalty.

I'm closing a brand new house in less than a month, and will be replacing the tank as soon as I get the keys.
reyoasian wrote:
Aug 23rd, 2017 9:39 am
If it is a pre-construction home from the builder, you are not locked-in whatsoever (as long as you do NOT pay the first bill).
You can have a new waterheater purchased from HD or something and have it installed, then return the Reliance tank (either yourself, or pay them maybe $200 to pick it up).
Yes, I heard about this. Can you actually post the fine print from your contact that says failure to pay bill is refusal of the hot water tank?

Direct Energy on the other hand, you're apparently stuck for at least 1 year, or in your contact, more.
t3359 wrote:
May 13th, 2016 9:56 am
...The magic eight ball would randomly say things and logic would never work. The eight ball is just a gimmick and a waste of time and effort. So equivalently, there is no possibility to "debate" you.
Deal Addict
Feb 7, 2010
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I just did PDI on a new home I'm taking delivery next month.
The tank is from Cricket Home Comfort (not Reliance), and billed through Enbridge.
According to information on the tank, homeowner is not on any rental program until they call in to opt into one.
According to others, their rental rate for their typical tank one is $40/month, but they can reduce it to $30/month.

I will most likely pull it out though, looking at this one: https://www.lowes.ca/water-heaters/gsw- ... 73595.html
Anything else I should be looking at?
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Feb 7, 2010
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koffey wrote:
Aug 23rd, 2017 11:13 am
Yes, I heard about this. Can you actually post the fine print from your contact that says failure to pay bill is refusal of the hot water tank?

Direct Energy on the other hand, you're apparently stuck for at least 1 year, or in your contact, more.
I don't have any fine print or whatever but I have other sources.
I only know this for Reliance, unsure about other companies.
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Aug 2, 2004
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East Gwillimbury
reyoasian wrote:
Aug 31st, 2017 12:21 pm
I don't have any fine print or whatever but I have other sources.
I only know this for Reliance, unsure about other companies.
The Circket tank, is it one of those EnviroSense tanks? Do you have one of those green homes?

If so, you're better off buying the tank from them instead of replacing it.
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Gee wrote:
Aug 31st, 2017 3:48 pm
The Circket tank, is it one of those EnviroSense tanks? Do you have one of those green homes?

If so, you're better off buying the tank from them instead of replacing it.
Yea it had a EnviroSense sticker on it.
What's so special about it?
Deal Expert
Aug 2, 2004
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East Gwillimbury
reyoasian wrote:
Aug 31st, 2017 7:11 pm
Yea it had a EnviroSense sticker on it.
What's so special about it?
You have a green home, that tank has a 90+% efficiency rating and a high recovery. You can go with the cheaper big box store tank, but they're not efficient

Look at your schedule A for the buy out cost and negotiate with Cricket
Sr. Member
Aug 5, 2008
639 posts
157 upvotes
Finally kicked the Enercare tank to the curb. It was 25 years old. 7 in my possession. 40 Gal. Probably sucking up natural gas like no tomorrow. At the highest setting, it was somewhat hot, but far from what I'd expect.

Got a new 50 Gal Rheem from HD for around $850 and paid install $300.

ROI - around 5 years. Assuming no breakdowns and not accounting for much better efficiency. At the lowest setting, it's about as hot as the old one was at the highest.
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Aug 2, 2004
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East Gwillimbury
junkmail2002 wrote:
Sep 1st, 2017 11:40 pm
ROI - around 5 years. Assuming no breakdowns and not accounting for much better efficiency. At the lowest setting, it's about as hot as the old one was at the highest.
Set your tank to a minimum of 60 degrees to prevent legionella. Anything lower and you're at risk

I set mine to 65 and use the mixing valve to cool it down.
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Apr 20, 2011
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ON
Gee wrote:
Sep 3rd, 2017 12:05 am
Set your tank to a minimum of 60 degrees to prevent legionella. Anything lower and you're at risk

I set mine to 65 and use the mixing valve to cool it down.
I have it at 140F (60) and use it straight up.

But if you have a mixing valve, this is a good strategy to get more hot water if you're running out often. If you make the water 10% hotter you are effectively getting 10% more volume out of it as your mixing valve will be maintaining the same temp by mixing in more cold, less hot at the source.
Sr. Member
Aug 5, 2008
639 posts
157 upvotes
Gee wrote:
Sep 3rd, 2017 12:05 am
Set your tank to a minimum of 60 degrees to prevent legionella. Anything lower and you're at risk

I set mine to 65 and use the mixing valve to cool it down.
Good point. Didn't think of legionella. Just turned it up a nothch, even though I measured 130F at faucet (after travelling through pipes), so it should be OK.

I always try to keep it low-ish because of two little kids in the house, as well as the physics of it - exponentially less energy required for lower temperatures.
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Newbie
Mar 17, 2012
59 posts
5 upvotes
OTTAWA
I am looking to replace my rental water heater with either a buyout or purchase a new one. We are currently with EnerCare and I am paying 17.50 + HST in the rental per month. I figured I am paying about $200\year for which I can buy a brand new water heater and pay it out 4-5 years. I called Enercare with regard to this... but they told me that the buy out was the only option and it would cost be about 600 dollars. any such experiences. Our water heater is 40 Gallons and installed in 2011, brand is Rheem.

Thanks in advance.
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Dec 17, 2007
1160 posts
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Alliston, ON
Water heaters installed after Sept 2010, I believe, have the buyout as the only option of cancelling . $600 buyout isn't to bad, You could get them to do a service call on it, then buy it out after. 6yrs old isn't that old and you still come out ahead in the end
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Jan 19, 2011
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schade wrote:
Sep 3rd, 2017 6:04 pm
Water heaters installed after Sept 2010, I believe, have the buyout as the only option of cancelling . $600 buyout isn't to bad, You could get them to do a service call on it, then buy it out after. 6yrs old isn't that old and you still come out ahead in the end
What schade said, just buy it out, it will die in ten to fifteen years, maybe longer.
"The truth is incontrovertible, malice may attack it, ignorance may deride it, but in the end; there it is."
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Newbie
Mar 17, 2012
59 posts
5 upvotes
OTTAWA
When I talked to them few months back, they gave me the impression that I could replace the tank without a buy out. Is it generally a good idea to own the water heater? I am pretty sure they are reliable and last long.
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Aug 2, 2004
24417 posts
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East Gwillimbury
cybersitter wrote:
Sep 4th, 2017 10:45 am
When I talked to them few months back, they gave me the impression that I could replace the tank without a buy out. Is it generally a good idea to own the water heater? I am pretty sure they are reliable and last long.
Replacing the tank will lock you into another rental contract.

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