Fixed term contract

ellajuk

I enquired with a forthcoming energy provider (ovo) if it were possible for me to switch and select a date for a switch over process, as my existing fixed term contract with Isupply ends on 31st May.

I was advised because I would be given 42 - 49 days before my fixed term ends that it is possible to end the contract within this time period and I would not be charged. (I have a record of their notes from their online chat). But I am still a bit concerned, as on the Isupply website it states........

There is a cancellation fee with our fixed product if you leave us before your contract ends. Should you wish to cancel this agreement during the fixed tariff period an early termination fee of £30 (excluding VAT) will apply

Have I been advised correctly ? I am still within my cooling off period.

Nada666

But you are well before the 42 day period. There is every chance you will have to pay the cancellation fee.

In what way does 31st - 42 days be less than the 8th? Even with an additional 7 days cooling off you are still too early.

Previously you could apply end date minus 28 days. Currently it is end date minus 42 days. Any mistaken computer automated charge could be reclaimed. But you are outside that window.

macman

You cannot specify a switch date. it typically takes 4-5 weeks. Cancel and reapply during the first week of May.

ellajuk

Hi Thanks for the answers, They said that 42 - 49 days before end of fixed term normally suppliers give an option to stay in contract or move to another contract or offer and that during that time we are able to switch. They mentioned because the switch would be during that time then I would not be charged cancellation fees, apparently its a right under the ofgen rules. I do find this odd tbo and I cant see the rules anywhere So I have now emailed Ovo and asked them to confirm this, if need be shall cancel under the cooling off period terms and re-apply in a few weeks time.

ellajuk

Very Interesting. I just telephone Ovo. and they state and confrim that there is a new Ofgen ruling that within 39 days of a contract ending they are not allowed to apply leaving fees. They also state my start date is on 9th May and that I would not be charged a leaving fee with my existing supplier as I am within the 39 days.

JJ_Egan

What does your existing supplier say as they will charge the fees not OVO.

ellajuk

The new ruling is an Ofgen ruling it applies to all providers.

ellajuk

What I found on Ofgen...

Suppliers will be required to notify customers that their current fixed-term is coming to an end between 42 and 49 days before the contract ends.

Between this notification period and the end of the fixed term contract, suppliers will be banned from charging a termination fee should the customer decide to switch.