When does the contract start?

simmonsn

A question I've never seen referenced before, but very pertinent in the current environment....

When does the contract (i.e. price fix) with a new provider commence? Is it at the point the customer agrees to switch, or the point at which the new provider takes on the service?

My concern is that if I take a discount deal from one of the providers who hasn't yet announced their price rise, will I be assured of the offer price as of now, or am I at risk of them increasing prices before the new supply commences and these forming the basis of the new service? Potentially, I could end up on a higher tariff than another company that also raised prices, and any possible savings could be lost.

flyingjock1

If youve entered into a contract you have a cooling off period ie 7 working days after youve received your terms and conditions. Wouldnt it start at any point from the day after that date passes. Apologies if im wrong here. Tom

nickcc

Comment from Martin today stated that it starts when you get confirmation of your order. I received my confirmation shortly after applying for npowers 4 years fixed price.

macman

Once they've accepted your application, you're locked into the tariff you asked for.

simmonsn

Hmm. Thanks everyone.

Applied for change on 10th Oct, and advised I would receive confirmation within 14 days. Only got to hold my breath that price increase isn't announced before 24th! Or do the mean 14 working days

nickcc

Received my confirmation after about 3 days including the weekend.

simmonsn

Still no confirmation and as I feared nPower have announced a rise.

Email received today from energyhelpline.com assuring me that "you have switched to a fixed tariff, and so will not be affected by these price increases. You can relax in the knowledge that the prices you applied for will be honoured", which doesn't chime with the advice already provided here (and my own understanding of the difference between "invitation to treat" and "contract for sale".

A call to the Indian call centre, and I'm getting the same re-assurance, but no-one seems to take on board that as the change hasn't been confirmed, there may be no fix on the >>current<< prices. I have every faith that they could fix at the December prices.

I'm left with the unpleasant feeling that the providers who are slower to announce price increases can pick up the lots of new customers jumping from their current provider. Then, the new provider can delay confirming the switch date (and making the contract) until after they issue their own price increase. Double win - more customers and all on a higher price than they thought they were getting.

Is my instinct that wrong??

Scarlet1982

There is a list on the website showing which tariffs are affected:

https://customerservices.npower.com/app/answers/detail/a_id/944

The price fix April 2015 seems to be unaffected. I've just switched my elec to this.

My gas remains unaffected with the change so I'm sticking with it for the moment don't want to pay the £30 early exit fee.

spalmer72

I applied for a switch on saturday (12-10-13) so once i hear back from the npower i should be fixed into their rate? i'm trying to avoid the 10+ % increase...

thanks

Quentin

macman wrote: »

Once they've accepted your application, you're locked into the tariff you asked for.

No.

You get a cooling off period of 7 working days from their acceptance before you are locked to the contract and tariff.

buggu

I'm in the position of being transferred to Npower standard tariff from SSE for duel energy. Because of these price rises i want to transfer to Npower priced fixed April 2015 tariff for gas, which i guess wont be a problem but wondering will i have a problem if i try to change my electricity supplier again to EDF Fixed tariff? Just do not want to be chasing 3 suppliers if things get messy, one is bad enough.