When to switch and why is OVO Energy so cheap?

starnamer

Hi, I'm currently on nPower's Online 23 tariff which is due to expire on 6/11/2012. They've sent a letter saying they won't change the rate until 26/11 when I'll move to their Go Save S tariff.

Looking on comparison sites, OVO Energy is head and shoulders ahead of rest. Based on my current tariff (which was fixed), my annual cost with them would go up about £80 and is fixed for a year. The next company (EON) is about £215 more than my current cost, then come the rest at £225, $230, £235, etc.

My questions are: when should I switch? I can't recall if I have an exit fee if I move before 6/11, but obviously don't want to miss OVO's offering.

Also, what are people's experiences of OVO and why are they so much cheaper in addition to giving interest on credit balances?

pooch

starnamer wrote: »

Hi, I'm currently on nPower's Online 23 tariff which is due to expire on 6/11/2012. They've sent a letter saying they won't change the rate until 26/11 when I'll move to their Go Save S tariff.

Looking on comparison sites, OVO Energy is head and shoulders ahead of rest. Based on my current tariff (which was fixed), my annual cost with them would go up about £80 and is fixed for a year. The next company (EON) is about £215 more than my current cost, then come the rest at £225, $230, £235, etc.

My questions are: when should I switch? I can't recall if I have an exit fee if I move before 6/11, but obviously don't want to miss OVO's offering.

Also, what are people's experiences of OVO and why are they so much cheaper in addition to giving interest on credit balances?

I think the smaller companies are cheaper at the moment because they are not being hit with the government imposed environmental surcharges such as CERT (Carbon Emissions Reduction Target), which forms a substantial part of why the big 6 suppliers are saying they have to raise prises.

starnamer

pooch wrote: »

I think the smaller companies are cheaper at the moment because they are not being hit with the government imposed environmental surcharges such as CERT (Carbon Emissions Reduction Target), which forms a substantial part of why the big 6 suppliers are saying they have to raise prises.

Thanks, that explains the price difference.

It also implies that they probably won't suddenly go up. But can I start the switching process now and still keep my current lower rate until as close as possible to 26th November?

Fairzo

starnamer wrote: »

Also, what are people's experiences of OVO and why are they so much cheaper in addition to giving interest on credit balances?

I've been with Ovo for most of the last couple of years, and have just signed up for a new fixed rate to start on 1st December. On a price comparison Ovo was second only to First Utility, and I wasn't going in that direction....

I've found Ovo ok to deal with. Communication is a little more difficult than when I first joined them - online chat is no longer available, and there can be a couple of days delay in email replies - but this may be a consequence of reducing costs.

One thing of which you should be aware. Ovo like you to stay in credit and, therefore, direct debits will be loaded when you join in the winter period. There appears to be limited enthusiasm for automatic direct debit reductions when it gets to Spring but, as you say, there is interest paid on credit balances.

Wywth

I was with Ovo.

Only switched because my existing deal ran out in August and that was when there were some really good alternative fixed deals on offer.

I had no problems otherwise with Ovo, and would consider going back to them if they were competitive. As Fairzo says, emails can take 2-3 days to be answered (but they do answer eventually).
Note also, as they are a small company, their customer services only work normal office hours Mon-Fri.
But you can call them during those times on a freephone number, and I was never held very long - and I got the impression they really did want to try and resolve issues unlike some of the phone jockey centres the bigger suppliers use.

Wywth

starnamer wrote: »

Hi, I'm currently on nPower's Online 23 tariff which is due to expire on 6/11/2012. They've sent a letter saying they won't change the rate until 26/11 when I'll move to their Go Save S tariff.

Looking on comparison sites, OVO Energy is head and shoulders ahead of rest. Based on my current tariff (which was fixed), my annual cost with them would go up about £80 and is fixed for a year. The next company (EON) is about £215 more than my current cost, then come the rest at £225, $230, £235, etc.

My questions are: when should I switch? I can't recall if I have an exit fee if I move before 6/11, but obviously don't want to miss OVO's offering.

Also, what are people's experiences of OVO and why are they so much cheaper in addition to giving interest on credit balances?

starnamer wrote: »

Thanks, that explains the price difference.

It also implies that they probably won't suddenly go up. But can I start the switching process now and still keep my current lower rate until as close as possible to 26th November?

You'll be fine switching now as any switch will take a minimum 4 weeks to occur. Wait, and you may miss out

Emma18

Fairzo wrote: »

On a price comparison Ovo was second only to First Utility, and I wasn't going in that direction....

Fairzo - please can you tell me why you wouldn't go to First Utility? I'm considering switching to them from Eon as they seem to have the cheapest daily charge and unit charge - but I don't know what is so terrible about them.....?

Your thoughts would be most appreciated - thanks!

Stompa

Wywth wrote: »

I was with Ovo.

Only switched because my existing deal ran out in August and that was when there were some really good alternative fixed deals on offer.

My experience is much the same.

macman

Emma18 wrote: »

Fairzo - please can you tell me why you wouldn't go to First Utility? I'm considering switching to them from Eon as they seem to have the cheapest daily charge and unit charge - but I don't know what is so terrible about them.....?

Your thoughts would be most appreciated - thanks!

I suggest that you do a forum search on FU-lots of billing and CS issues.

Wywth

Emma18 wrote: »

Fairzo - please can you tell me why you wouldn't go to First Utility? I'm considering switching to them from Eon as they seem to have the cheapest daily charge and unit charge - but I don't know what is so terrible about them.....?

Your thoughts would be most appreciated - thanks!

Too late - I'm sure Martin tweeted the FU cheap fixed tariff has been pulled

Edit: He did, yesterday
http://twitter.com/MartinSLewis/status/258981272288903170

Edit2: Just found out you already know
https://forums.moneysavingexpert.com/discussion/4240705

Emma18

Thanks anyway:) - not having much luck so far with this switching business! Will read some forums later on FU (thanks Macman) but I might take my chances on the v12 - fixed for 3 months and then hope that the January fix FU told me about on the phone this morning happens. Then at least if the first 3 months are terrible I'll be free to shop around for another supplier then..

FU are much cheaper than any others that are coming up for me and I have to say I got through this morning within 4 minutes and the chap I spoke to was very nice.......