Choosing my best option

biged670

Ok guys I've been looking into my electricity payments and I'm starting to wonder If I'm on the right path. Currently we have an electric meter and I believe we are on the 'prepayment' tariff from Swalec (South Wales area)

We put about £20-25 in every week and roughly this totals up to about £90 a month. After looking on a price comparison site we were able to work out our usage and it seems we are being charged 20.24p per day for a standing charge, we are being charged 9.100p per KW and our annual usage is 11056KW per year, totals up to £1080 a year

When the results come back there was only one company that worked out cheaper (Utility warehouse- standard user) and the price was £1013.

I was just wondering, If I switched to a direct debit payment, would my rates be cheaper? Or is this really as cheap as I am going to get? Any info welcome guys, cheers, Steve

biged670

Anybody???

tripled

Sorry Steve, I'll get up earlier tomorrow just for you :P

Most companies do charge more for prepay meters so switching to a standard meter should save some pennies. You can then get a further discount by paying by direct debit. So yes, you would save by having the meter taken out.

Other thing, have you tried ebico? Lot of people on this forum seem to rate them, and apaprently they charge the same rate regardless of how you pay or what type of meter you have, and don't have a service charge either.

biged670

I seen them and when I did the comparison I think my current rate was cheaper. My current rate is 9.100p per KW and 20.24p per day standing charge, and they were charging 11p odd per KW. When i checked the tariffs and looked at a direct debit payment, npower looked good saving off £150 odd a year. Can you recommend these? Is the direct debit payment the same every month with every supplier, i.e a set payment every month?

tripled

Most companies direct debit schemes allow you to pay a fixed amount every month with a reassessment once a year. Be aware though most companies carry forward any balances to the following year for you, I think Npower request a settlement but I'm not sure, best check.

Cardew

I believe SWALEC prices go up on 01 Jan 2007. So make sure you are comparing like with like.

Also they offer 6% for payment by Direct Debit.

biged670

tripled wrote:

I think Npower request a settlement but I'm not sure, best check.

What do you mean by settlement?

Cardew wrote:

I believe SWALEC prices go up on 01 Jan 2007. So make sure you are comparing like with like. Also they offer 6% for payment by Direct Debit.

Does this mean my payments will be 6% cheaper, if I switch to direct debit payment???

Cardew

biged670 wrote:

1. What do you mean by settlement?



2. Does this mean my payments will be 6% cheaper, if I switch to direct debit payment???

1. If you pay by Direct Debit they estimate the monthly payment you should pay to cover your expected consumption. e.g. they think you will use £1,200pa so you will pay £100 per month. However if you use electricity costing£1,400 in the year you will owe them £200. Some companies will add that on to next years estimate - so will calculate your monthly payments on an annual total of £1,600 so will get you to pay £133 a month. Other companies will demand you pay the £200 straight away - this is the settlement.




2. Yes it does.

biged670

Ok cheers for that info. I'm definatly going to look into it, I think we'll use enough electric not to fall short of their estimate. Cheers again

tripled

Someone posted before they were annoyed because at the end of the dd year was a 'settlement quarter' and they were annoyed because they were expected to pay off their bill when the next month they would be getting their £60 annual discount credited.