First Utility new exit fee scam switching tariffs

Muttleythefrog

footyguy wrote: »

Well if those are the terms you agreed to, then what is the issue?

But I didn't see such terms about 10-12 months ago (see post#25)

Do check carefully the terms of any new deal you agree to as they may well differ from the terms you originally agreed to.

As above it is not clear. As per the other customer above whenever I've made a switch from one tariff to another with FU I've checked... and each time like them they've waived the fees in line with their general guidance which stated they may charge an exit fee... in all cases they did not as I upgraded to a deal of greater end date (or same). The terms of my current deal are the same in this regard to all previous... they state an exit fee will be charged if you exit before the deal end save for a month or thereabouts... and in the very same terms state they MAY charge an exit fee if you leave the tariff (which in every case so far for me meant they did not)...so how on earth you can assert the terms are clear when precisely the same action by the customer (switching to a tariff that ends same time or further into future) will result in a different outcome. Even the agent on the phone stated to me their policy is not clear... which is why he had to take advice himself from a supervisor... and that was before the recent debacle. What has happened appears to be... they're applying what were terms backed by some guidance online with new interpretation and changed guidance in order to make more money. Interestingly today... when I've gone to look at switching the new button which flagged an exit fee would be charged if upgrading tariff has vanished... which begs the question have they changed their policy again... or is it a glitch... regardless... to you I'm sure it is all very clear and you can tell me explicitly.

(ETA Oh I note the previous posting user has posted with exactly the same observation.. so perhaps not a glitch but perhaps either they're hiding exit fee or have changed back to previous policies... back to asking on the phone perhaps..although I futher read post #40 which suggests they've reviewing policy and now perhaps not charging exit fees as per previous for longer deals... so I repeat again footyguy so there can be not doubt... this matter is not clear at all.. if it was you wouldn't have to-ing and fro-ing from FU under the same terms and the presumed reasonably coherent people posting about the issue here).

ETA yet again... I went to switch deal since the warning about exit fees has vanished and aware of the info in post#40 here... only to be presented on the next screen with a warning saying exit fees would be charged but I can cancel my upgrade request. I've cancelled the request and have sent them a message asking explicitly for clarification on whether I will be charged exit fees if I upgrade in the next week from x to y.

jblackmore

I cannot believe F:U are benefiting from this scam, as if your going to be charged exit fee's, you might as well just move suppliers which will save more, OR customers who were advised to switch on their bills, will be cancelling the switches, which then is rubbing their nose in the fact they are paying too much - neither look good for customer retention to me !

I'm switching suppliers due to this, I had a 'get out of jail' card so have dodged the fee's.

KDH_2

jblackmore wrote: »

you might as well just move suppliers which will save more,

Not sure there are any others cheaper for a one year fix at this precise moment in time. FU Apr17 v4 has a headline "average" rate of £764 with Extra Energy running at £770 for Oct 17. Any cashbacks will complicate matters of course

Nathan94

Remember, it's not all about price.

The hassle you will get from these thieving bar-stewards isn't worth the few quid they suggest you might save.

Take my advice, use another supplier.

jblackmore

KDH wrote: »

Not sure there are any others cheaper for a one year fix at this precise moment in time.

I searched uswitch and for my precise postcode/annual usage there were quite a few cheaper deals, with energy prices falling I went for a variable rate with no exit fee's next

Muttleythefrog

I tried to contact FU from their website form but it failed. Sent them email... and they've clarified new policy.. I'll quote directly their email reply to me below.

[FONT=Tahoma, sans-serif]Thank you for your email dated 21 February 2016. This case has been registered under the reference [/FONT][FONT=Tahoma, sans-serif]x[/FONT].

[FONT=Tahoma, sans-serif]Please accept my apologies for this issue and for any confusion caused. Recently, our policy surrounding termination fees when changing tariffs has been updated. This is due to a number of customers switching tariffs within their fixed contract period, which causes a number of issues with the pricing of energy over your fixed term contract. [/FONT]
[FONT=Tahoma, sans-serif]
[/FONT]
[FONT=Tahoma, sans-serif]Our new policy states that if a customer switches from a short term tariff to what First Utility consider to be another short term tariff, which is a tariff that lasts for approximately one year, there will be a termination fee. [/FONT]
[FONT=Tahoma, sans-serif]
[/FONT]
[FONT=Tahoma, sans-serif]This is also the case is a customer chooses to leave First Utility more than 49 days towards the end of their fixed contract. [/FONT]
[FONT=Tahoma, sans-serif]
[/FONT]
[FONT=Tahoma, sans-serif]However, if a customer switches from a short term tariff to a medium or long term tariff, this will be free of charge, as they are upgrading their tariff from a short term to a longer contract.[/FONT]

According to the above, I can confirm that the exit fees will apply to your energy account if you will decide to switch from [FONT=Tahoma, sans-serif]iSave Fixed December 2016 v4 to First Fixed April 2017 v4.[/FONT]
[FONT=Tahoma, sans-serif]
[/FONT]
[FONT=Tahoma, sans-serif]I offer my sincere apology for the inconvenience and disappointment caused on this occasion.[/FONT]
[FONT=Tahoma, sans-serif]
[/FONT]
As always we're here to help



We have a wealth of information available online, please visit our help and advice pages to learn more and to manage your account.

If you can't find what you are looking for, you can always contact us here.

Yours sincerely

Dorota
First Utility : Customer Service

D_M_E

Muttleythefrog - If I were you I would edit the above post and remove the First Utility reference number from the quoted email.

oldfella

what annoys me about this change is the lack of notification. I changed to Dec 16 towards the end of last year, and now cant switch to April 17. If they had told me they were changing their policy, I wouldnt have switched to Dec 16.

Muttleythefrog

oldfella wrote: »

what annoys me about this change is the lack of notification. I changed to Dec 16 towards the end of last year, and now cant switch to April 17. If they had told me they were changing their policy, I wouldnt have switched to Dec 16.

Exactly... we knew gas prices were coming down.. so I'd have probably acted differently had I known the same terms and conditions would be applied with different rules mid contract.

oldfella

have discussed my complaint with FU that the issue is lack of notice. They are not prepared to change my contract so requested a deadlock letter so I can complain to the regulator