Buying gas futures.How did they do that?

[gizmo1979]

I caught the end of an news story on somewhere the people buy gas futures and then they pay that price at the pumps at this establishment until their futures are used up.One guy bought 3000 dollars worth at 99 cents and that is what he is paying now.I don't know where this was or who was in charge. Does anyone have the rest of the info?

[wakeme2008]

1. Southwest did it but it requires pre-payment

How much I do not know.

[CatholicEdHead]

2. It is only one station in St Cloud MN that is doing that

as far as I know. You just prepay at current prices as many gallons as you want or can afford. Then you pay that same amount as long as you have money left in that purchace.

http://www.firstfuelbank.com/history.htm

http://wcco.com/traffic/local_story_225084457.html

[gizmo1979]

4. that is pretty cool

I guess it only works if you have the extra money to buy alot of gas at one time.It seems to be working in Minn.though.

[ThomWV]

3. I prepay my fuel

I do it at a local commercial oil company. I drive a diesel pickup truck. So I stopped in one day and started an account. I paid them a couple of hundred bucks and bought my oil, in their tank. I have a plastic punch card that I use at the pump and I pump my fuel out of their tank. The stuff was already paid for earlier, when the price was lower. He made the profit (tank rental in some ways of thinking) from me at the time of initial payment. The place I use, which is a mom and pop operation in comparison to some, also has gas pumps and I could do the same thing with it if I wanted to.