Fixed contract expired: then Scottish Power want a Cancellation Charge

RayWill_2

I had a capped deal with Scottish Power which expired at the end of May, 2013. I arranged a new deal with another supplier to start on 9th June.
When I checked my final SP bill I discovered, tucked away in a lot of figures, a cancellation charge of £30.64. Their excuse: they heard about my change of supplier before the old contract ran out!
That sounds like a nice profitable scam to me. At no time was I advised of such a rule, which, if it exists, sounds like an unfair contract term.
Anyone else heard of this? Do other suppliers play any similar tricks?
I would advise everyone to steer well clear of Scottish Power, and if you are unfortunate enough to be a customer, be very careful!

DirectDebacle

Read from post #55 on this thread in particular the SP reps responses.

The T&C's do not entitle them to levy this charge under the circumstances you describe. Demand they refund you and ask for some compensation on top.

keith1950

I arranged a new deal with another supplier to start on 9th June.

You cannot set a date that the new supplier will take over it just follows a set down process and sometimes the gas and electricity switch on different days.

You need to check but it sounds as if the switch happened very quickly.

If the switch took place after 31st May they should not charge exit fees !!

My fastest switch was 21 days so wonder if this was somehow faster?

I would normally advise not applying to switch until there are less than 21 days remaining so you were in fact just outside this window.

RayWill_2

Thank you very much to all those who kindly replied. I transferred to Flow Energy (via the Energy Saving Club) and I was careful to tell them to make sure the switch took place after 31st May. Whether they took notice or not I cannot be sure, but Flow told me that the switch would take place on 9th June.
ScottishPower`s email said: We have received the notification from your new supplier on 20 May 2013 for change of supply. This is the reason cancellation charges are applied on your account.
I have told them to escalate the complaint all the way to the Regulator.
My thanks again to all kind and helpful correspondents.
Ray.

DirectDebacle

RayWill wrote: »

....ScottishPower`s email said: We have received the notification from your new supplier on 20 May 2013 for change of supply. This is the reason cancellation charges are applied on your account.
I have told them to escalate the complaint all the way to the Regulator.
My thanks again to all kind and helpful correspondents.
Ray.

Bear in mind (if you haven't already realised) there will be, in addition to the cancellation charges, the energy you used from 20th May to 31st May charged at the standard rate instead of the capped deal rate. Although the difference may only be a £1.00 or 2, ensure you have this refunded.

The bit in bold is their breach of the T&C's. I am sure if you look at you T&C's for your capped SP tariff it will say the cancellation charge applies if you change supplier before the end of the contract". Not "if we are notified you are going to change supplier".

They were charging you £30.64 for a breach of the T&C's which you did not do. Insist that they compensate you for the same amount because it was they who broke the T&C's. This in addition to full refund of cancellation fees and energy charged at a non contracted rate.

Keep at 'em.

dogshome

Dates on which there intercommunications between the 2 companies mean nothing - The date that counts is the one on which the New supplier takes over from the Old - If yours was June 9th it is well outside the period when SP were entitled to charge Early Termination Fee's

To fix this, you must WRITE a letter headed Complaint - So far as the Utility industry is concerned, this a ' magic' word that that puts them on notice to deal with the problem within 56 days

RayWill_2

DirectDebacle wrote: »

Bear in mind (if you haven't already realised) there will be, in addition to the cancellation charges, the energy you used from 20th May to 31st May charged at the standard rate instead of the capped deal rate. Although the difference may only be a £1.00 or 2, ensure you have this refunded.

Thank you, Direct Debacle. I am glad to say that they have not increased the charge for 20-31 May, but of course it is dearer (about 20% or so) for the days from 1st June.
The ScottishPower deal I was on started on 21st July 2011 and was called Capped Price Energy June 2013 Offer Version B (in case there are any others reading this on the same scheme).
Thank you all for your additional advice. Fear not, I shall give them hell! They will wish they had stayed in Spain!
Just a thought, as the UK operation is registered in Glasgow, and I am in Sussex, if I sue in the County Court I wonder where the case will be transferred to, as the court system is different in Scotland?
I have never lost a County Court case yet, but I don`t really fancy going all the way to Glasgow! No disrespect to the fine city of Glasgow or the good Glaswegians: it is just a long way!

DirectDebacle

Odd that you weren't put on the standard tariff immediately. I expect that SP will rectify this without going anywhere near court.

I managed to sort mine out over the phone. Took about 3 attempts to get past frontline C.S. but once I was talking to someone with a bit more authority it was quickly rectified.

Wywth

RayWill wrote: »

Thank you, Direct Debacle. I am glad to say that they have not increased the charge for 20-31 May, but of course it is dearer (about 20% or so) for the days from 1st June.
The ScottishPower deal I was on started on 21st July 2011 and was called Capped Price Energy June 2013 Offer Version B (in case there are any others reading this on the same scheme).
Thank you all for your additional advice. Fear not, I shall give them hell! They will wish they had stayed in Spain!
Just a thought, as the UK operation is registered in Glasgow, and I am in Sussex, if I sue in the County Court I wonder where the case will be transferred to, as the court system is different in Scotland?
I have never lost a County Court case yet, but I don`t really fancy going all the way to Glasgow! No disrespect to the fine city of Glasgow or the good Glaswegians: it is just a long way!

I don't know why you are talking of court action at this stage; there a whole host of other options to try first, in order:
1. Follow their complaints procedure through to the end
which leads you onto:
2. The energy ombudsman

If it gets that far & the EO does not uphold your complaint, think very carefully before taking legal action

Anyway, for your information, usually where a consumer takes a business to small claims court, the matter will be held in the local court to the consumer (to keep the consumer's costs down)
Also presumably you are supplied in England or Wales, so the law of England and Wales will apply (see term 15.11), so it can't be in a Scottish court.

However, as you imply, it is a long way from Glasgow to wherever you live, so the supplier will probably claim sizeable travel (and possible overnight) expenses from you if they are required to attend court to defend your claim and you end up losing (hence why I suggest you think twice about starting one) The chances of success are not influenced at all by your past performace in court on unrelated matters, but are based solely on the evidence supplied at the hearing of the particular claim.

RayWill_2

Thank you for that info. They must have changed the County Court rules. A few years ago it was always the case that the preliminary hearing was in the defendant`s local court, but the claimant could ask for the main hearing to be transferred to his own local court (I`ve done that), and "party & party costs" were not claimable (incl lawyers` fees). The winner`s "expenses of today" could be awarded by the District Judge.
No, I don`t suppose I will be going to Court, but I like to know where the long-stop is! I would never go to Court unless I was 200% certain of a win, but it is the case that some folk just will not cough up even when a chimpanzee would know when they were on a loser. Some folks, unfortunately, are like that!!
Not users of the MSE website, of course: we are all sensible folk!