Fixed rate deals?

grimboj

Hi,

Never taken a fixed rate deal before for energy+gas, is it a good time to take one? We can save £20/month using the rate right now locked in for 12 mo but unsure about the concept / timing.

Advice appreciated.

grimboj

Astraeus

He who accurately predicts the composite price of energy is a very wealthy man (and unlikely to frequent this forum). Pay on the fix and forget about it or have a variable tariff and rue any increase or rejoice in any decrease.

Nobody here can tell you anything other than their (uninformed) opinion.

Cardew

Not all fixes have a penalty for leaving early.


Even if they do have a penalty you can calculate if it is worth paying the penalty if a much cheaper fix comes along.

Swipe

Might be worth waiting until the falling oil price has bottomed out before you fix on anything with an exit fee.

Astraeus

Swipe wrote: »

Might be worth waiting until the falling oil price has bottomed out before you fix on anything with an exit fee.

Absolutely. Would you mind telling me when the price of oil is likely to bottom out so I can remortgage, borrow excessively and pump all that I own into investing in oil and awaiting its resurgence with absolute certainty that it has "bottomed out"?

Anything below the threshold of certainty entails an element of speculation and an octopus' speculation is about as valuable as an MSE reader's speculation when it comes to the price of oil.

Swipe

Astraeus wrote: »

Absolutely. Would you mind telling me when the price of oil is likely to bottom out

Well, it's unlikely to fall much less than it is now. It's how long it will stay this low that is hard to call. All depends if Opec refuses to reduce output. If at any point it does, then I'd call the bottom then.