standing charge taffif or not?

guspoppy

Hi I am sorry if this has slready been asked, but I ve got a really boggled brain trying to figure this out.

My british gas tarrif comes to an end at the end of february and I am considering moving to npower sign online as they came up cheaper in the camparison sites.
But it has a standing charge..i thought they were more expensive...is it best to go with a tarrif with standing charges or not?

pleasse help..thanks..x

jalexa

guspoppy wrote: »

My british gas tarrif comes to an end at the end of february and I am considering moving to npower sign online as they came up cheaper in the camparison sites.
But it has a standing charge..i thought they were more expensive..

Unless you are on low consumption (less than the tariff primary unit threshold) over the year there is no cost difference. If you are on very low consumption look at Ebico.

Be aware that *probably* the NPower tariff is at the top of the comparison by virtue of "deferred discount":eek:.

Beware "deferred discount" if you do not understand the circumstances you could forfeit the "deferred discount":eek:.

guspoppy

the deferred discount , is the circumstances when you pay by direct debit and dual fuel ?
i do prefere to pay by direct debit and do have dual fuel with b/gas?

molerat

The only way you can escape paying the "standing charge" element with a no standing charge tariff is to avoid using any energy at all during a billing period. This does not work with NPower due to their "sculpting" where they load the primary expensive units onto the high usage periods. If you use over the primary units in all billing periods then there is no difference between SC and NSC tariffs. In reality there is no such thing as a NSC tariff.

prosaver

i got a fix rate for 3 years...idea?

guspoppy

thanks for your advice. ive found with npower they are offering £50 love to shop vouchers and 30 cashback through this site on moneysupermarket.
but ive noticed it says u get discount after 12 months , which means i will be paying more for 12 months. , but will get discount eventually.
ive seen b/gas energy smart..but dont really know what the diference is between online energy smart and normal online energy as the both seem the same.
im tempted to stay with b/ gas as im boggled at what to do.

jalexa

guspoppy wrote: »

but ive noticed it says u get discount after 12 months , which means i will be paying more for 12 months. , but will get discount eventually.

Not quite. You get the discount "credited" monthly, however you don't "earn" it until you have been on tariff for a full 12 months. If you switch again before then (and subsequently fail to fully complete 12 month periods) you would need to repay "unearned" deferred discount, potentially £100 a pop.

As I said, beware "deferred discount":eek: if you do not understand the circumstances you could forfeit the discount.