Capped rates

von

I was in the process of transferring my gas & electric to EON at a capped rate, but when I got the details through it said they would guarantee that their rates would be capped by promising to be 1.25% below the British Gas rates. I stoped the transfer as this did not sound like a fair capped rate to me. Can anyone tell me what a capped rate means exactly, I realise that they have to use some kind of yardstick at which to qualify/cap their rates but I don't think 1.25% below the British Gas rates is good deal. Any help/comments etc would be greatly appreciated as I need to transfer to a capped rate soon according to Martin. Thanks.

daveonline

I am currently with EON and looked into their capped rates, they have a lot of different products with similar sounding names. The two you mention are different products.
The first you describe is called EnergyGuarantee 5 this will guarantee to be a certain rate below that of Britsh Gas.
They also have 2 capped rates named - Energy Saver 4 and Price Protection 17 for me they were the same price for gas and electric but one had a free energy monitor and the other had no tie in if you wanted to change product/company.

Hope this helps, i know its confusing and i'm still deciding myself !

greenoak

I am on Npower sign online 8 scheme paying about £800pa.

A capped rate will cost me £1200 pa

think I will stay put