Scottish Power cancellation fee

st0ne5ish
st0ne5ish Posts: 31
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Forumite
Hello,

I have just switched supplier from Scottish Power and when I checked my final gas and electricity statements I noticed I have been charged a £50 cancellation fee. When I switched to Scottish Power originally I took out the Fixed Price Energy 2009 tariff which had a fee for cancellation before 31st Aug 2009.

When I called customer service I was told that I was automatically moved to a new fixed tariff and I should have been sent an email to opt out if I wanted.

I keep all my emails, I've got ones back from 2007 but nothing from Scottish Power with an opt out option, just the normal bill emails.

Surely they can't just automatically sign me up to another fixed contract without my agreement. I mean if they sent this email to 5000 customers then whats the chance of them all getting it plus my original contract said I could switch to another deal after it finished.

This must go against contract law in that I never even agreed to be put into a new fixed contract and I certainly never agreed to the new terms of having to pay a fee to leave it! I think it's disgusting that they seem to have gotten away with this and there is nothing I can do except be forced to pay the fee to leave a contract I never even entered into.

What for example if you took out a fixed rate mortgage for two years that then reverted to a standard rate and the bank sent all it's customers an email saying they were automatically putting them into another years fixed rate and they would need to pay a fee to leave if they did not respond to the email, I am sure there would be uproar. Who is supposed to be regulating these energy company bandits.... :mad:

Stevo
«134

Comments

  • markharding557
    markharding557 Posts: 3,116 Forumite
    The problem is does it say they will transfer you to another tariff in the terms and conditions?
    if so then it's above board.
    you may have a case if you were not notified of moving to a new tariff.
    It's like insurance i suppose where they renew unless you specifically tell them otherwise
  • kjsmith7
    kjsmith7 Posts: 519 Forumite
    Sadly, most Fixed Price, Capped and Online tariffs have a clause in the original terms and conditions letter/e-mail that says something along the lines of "at the end of the fix/cap/deal, we'll move you onto something else" or "...we'll move you onto standard", they wouldn't move you onto standard and THEN move you to a fixed rate. Read the original T&Cs :(
  • Scottish_Power
    Scottish_Power Posts: 1,263 Organisation Representative
    Hi st0ne5ish

    Sorry to hear about your situation and the frustration it is causing you.

    We did have a fixed tariff which when expired was placed onto a new fixed rate with similar terms and conditions (i.e. cancellation charges applied) unless we were contacted by you to opt out of the new tariff. We notified all customer's by letter or email to confirm details of the new tariff and provided them with the option to opt out if they wished. I appreciate that if no letter or email was received by you then it is unfair to be charged cancellation fees when you were not aware of these.

    We can investigate your account details to see what information was provided to you and whether we can remove these charges for you.

    If you want me to investigate your account then please send me your account information.

    Kind Regards

    Colin @ ScottishPower
    Official Company Representative
    I am the official company representative of Scottish Power. MSE has given permission for me to post in response to queries about the company, so that I can help solve issues. You can see my name on the companies with permission to post list. I am not allowed to tout for business at all. If you believe I am please report it to forumteam@moneysavingexpert.com This does NOT imply any form of approval of my company or its products by MSE"
  • Sultan3
    Sultan3 Posts: 39 Forumite
    I also was moved to a new tariff without being given the option to opt out. No email or letter ever arrived. I have contacted Scottish Power and complained. They will charge £50 for any cancellation. It certainty is unfair to the customers that Scottish Power should be doing this.
    This is reason enough to switch to another supplier.
  • Scottish_Power
    Scottish_Power Posts: 1,263 Organisation Representative
    Hi Sultan3

    Send me your details and I will investigate this for you.

    Kind Regards

    Colin @ ScottishPower
    Official Company Representative
    I am the official company representative of Scottish Power. MSE has given permission for me to post in response to queries about the company, so that I can help solve issues. You can see my name on the companies with permission to post list. I am not allowed to tout for business at all. If you believe I am please report it to forumteam@moneysavingexpert.com This does NOT imply any form of approval of my company or its products by MSE"
  • st0ne5ish
    st0ne5ish Posts: 31
    First Post First Anniversary Combo Breaker
    Forumite
    Just a quick thanks to Colin, I must say my opinion of Scottish Power has now changed. :)
  • Sultan3
    Sultan3 Posts: 39 Forumite
    My opinion of Scottish Power is still the same. Seems that If I switch now I will be charged £50.
  • Scottish_Power
    Scottish_Power Posts: 1,263 Organisation Representative
    Hi Sultan3

    Sorry for the delay in confirming the position with your account.

    The tariff you were on did not have a cancellation charge. Your Discounted Energy tariff was due to expire on 30th September 2009 however we decided to offer a better deal automatically and increase your discounted rate from 3% to 4% for a period of 6 months. There was no change to the terms and conditions from 1st October 2009 and you are free to change tariff or supplier if you wish without there being any cancellation charges.

    I hope I have been of assistance.

    Please let me know if you have any further queries.

    Kind Regards

    Colin
    Official Company Representative
    I am the official company representative of Scottish Power. MSE has given permission for me to post in response to queries about the company, so that I can help solve issues. You can see my name on the companies with permission to post list. I am not allowed to tout for business at all. If you believe I am please report it to forumteam@moneysavingexpert.com This does NOT imply any form of approval of my company or its products by MSE"
  • mikiex
    mikiex Posts: 216 Forumite
    I had the same tariff , when I was thinking of changing I looked back through my emails and found I had one that said
    "
    We've capped your prices until September 2010
    We recently sent you an email to let you know we'd be moving you to our new Capped Price Energy 2010 Offer*. This has been taken care of and your prices are now capped until 31st August 2010."


    But I never had the original "recent" email! Asking if I wanted to opt out, I really think that Scottish Power should still be informing important things like this by post. Emails don't always get to destinations , get filtered by ISP spam etc
    .
  • Hi Im in same position,had the exact same email as you say..and i hadnt opted in either..Now today ive had a rep round from Scottish Hydro and have signed up to switch to them...not being aware that there was a cancellation fee applicable. If scottish power take the £50 fee, then it will hardly have been worth my while switching. Can the SP rep email me to look into my account too, please.
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