EDF or Eon? Help

Gerrard_8_lfc

backfoot wrote: »

EDF have also confirmed that the Price Freeze Guarantee covers Online Saver 7.

https://forums.moneysavingexpert.com/discussion/2880240

Even better :beer:

mike_orme

Had a call from a nice lady at EON this morning about my switch from them to EDF online saver 7

She told me that even though I'm locked in for a year with EDF, they can change their prices in March. I assumed the rates you sign up to will be fixed :mad:

So this means comparison sites are a bit of a nonsense because the assumption is that the unit prices are the same for the year?

t0rt0ise

mike_orme wrote: »

Had a call from a nice lady at EON this morning about my switch from them to EDF online saver 7

She told me that even though I'm locked in for a year with EDF, they can change their prices in March. I assumed the rates you sign up to will be fixed :mad:

Of course. Most companies are putting their prices up now but EDF are holding off until after the winter. I know which I would prefer.

Only the fixed rate tariffs stay the same over the course of the contract but they start off a fair bit higher so unless the variable rate goes up a lot, they save nothing.

The comparison sites show who is the cheapest *now*. They can't foretell the future.

mike_orme

Yeah sorry tortoise I'm so dumb, must be annoying for you, but it's something I've never really had to bother with before.

So in March they could hike it ridiculously so by the end of the lock in I could be hundreds worse off than if I'd stayed with EON. Still seems a weird set up.

competitionscafe

mike_orme wrote: »

So in March they could hike it ridiculously so by the end of the lock in I could be hundreds worse off than if I'd stayed with EON. Still seems a weird set up.

They are unlikely to do that and lose most of the customers they spent their marketing money acquiring. If they increased prices in March by a similar amount to the other suppliers who have already increased prices then an average bill will be about £1 a week higher.

So you won't be "hundreds worse off" and you will have had the benefit of lower prices over the most expensive period of the year plus the £100 welcome bonus and £80 cashback.

If they do hike prices to an unreasonable amount in March, simply switch again to whoever has the best deal at that time. Yes, there will be a £60 exit penalty but you can offset that against possible cashback from whoever you switch to as well as the lower winter bills, welcome bonus and EDF cashback you would already have benefited from.

t0rt0ise

They aren't going to put the price up uncompetitively as they still have to encourage new custom, but they could put it up higher than others. If it's worth me doing so I will then pay the get out fee and move on again. With the extra £180 for moving to EDF I think it's worth the risk. But I may be wrong. Everyone has to make their own judgement.

mike_orme

OK thanks guys I understand now and that's reassured me.

Cheers

jonboy898

Thanks everyone, like Mike I think I understand now, and think it's worth the risk to go with EDF.