Cancellation charges

catman0210

Is this just another way for the utility companies to screw the customer? i have just seen my cancellation charges from Scottish Power, £25 for electricity and £20 for gas. Is this a new thing because i have never noticed it before. They don't tell you about this when they sign you up do they?:mad:
I have just gone to Npower and i read their small print and they are doing similar that's £20 for each utility. They didn't tell me that either.
I am really pleased the "powers that be" are doing their level best to protect us from these extortionate bills. But still they have great pensions to look forward to, why bother about the rest of us. Why do we bother to vote?:cool:

rockin_plumber

Admittedley it isn't in big writing but it is in the terms & conditions or they wouldn't be able to charge you them.

They dont tell you but this is why you should read the small print.

I signed up to EDF in December and I am well aware that it will cost me £60 if I choose to leave before the end of the year.

Its just something you have to accept

chanz4

its in the small print and fixed tariffs also tell you when you compare.

intermynan

As others have said, read your terms and conditions....that is what they are there for. I can't see how you can complain if it's been put in the t&c's to be honest - the argument that 'no-one reads the small print' holds no water.

grizzle_veteran

Competition alone isn't the reason for the exsistence of these tariffs - the company can sometimes approach a loss on some of the combination of low prices, fixed prices and bonuses. The termination fees can offer the company a form of insurance against people taking the signup bonuses and leaving 28 days later. Also, always read the small print! The termination fees should always be hilighted at the point of sale, though. I know that EDF Energy have a company-wide policy of not processing any face to face contract without confirming with the customer on a recorded line that they are aware of the termination fee.

macman

The majority of the discounted tariffs now have ETC's attached. As grizzle says, it's an attempt to stop serial switchers.

cing0

Cancelation charges have become a trend recently across suppliers however when using switching sites, they do appear in the summary boxes with the tariff. If not, a quick ctrl+F to search for "cancel" or "fee" or "terminate" or "contract" in the T&Cs works for me.

kris989

I understand that you have to pay if you leave a contract early but:
I am with EDF, due to finish Internet saver 6 on 30th June.
After looking around I find the following, when you change supply they say it can take 4-8 weeks to change, i asked one supplier can they start my new contract on or after 1st July to help me avoid charge for early leaving, the answer was no, to make sure I do not incurr charge apply when the contract is nearly done, this could leave me with 4-8 weeks of a standard tariff. So trying to work ahead I contacted EDF to go onto there fixed price deal from 1st July, the answer NO or maybe? I can switch now but as my terms will say I have to pay early leaving payment even though I am staying with the same company, or wait until the 30 June then phone back, IF THE DEAL IS STILL AVAILABLE they will switch me.
Talk about looking after your existing customers, they do not care, in most business they would be only to happy to keep you except utilities and of course Banks, but thats a differant thread!

macman

Of course they won't reserve offers months ahead, nobody knows (including the agent you spoke to) whether that tariff will still be available in 4 weeks time.
The minimum is 4-5 weeks, so if you switch today you should not be on contract until after 1/7.

kris989

I take it you you are on the utility side?
I was asking as an existing customer to go on a new tariff in approx 5 weeks time, this is not months ahead!
You say if I apply now "I should be alright " meaning I will not have to pay leaving charges, so in this day and age the multi million pound utility companies cannot put a FROM date to join there scheme, thought they used computers ets and are very high tec. If you are wrong do I send the bill to you?
The point is we are told and urged to switch, the companies make switching as hard as possible by all pricing in differant ways, I am not thick but still struggle to find the best tariff, when I think I have I then have to try and work it to fit a date that will cost me for leaving early or make me pay a higher rate for (in your terms) months on a standard rate until new supply takes effect.

macman

I'm not on anyone's 'side'. But if you see an item you want to buy in Tesco today, do you expect them to reserve it for you for 5 weeks? It's no different with utility companies.
Your ETC period ends 4 weeks from today, so if you switch now you should have no penalty-if in doubt wait another 5 days or so and hope the tarif is still available.
Finding the best tariff using a comp site is a 5 minute job, why is that a struggle?