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Price protection while switching?

AirlieBird
AirlieBird Posts: 1,046 Forumite
I'd like to get views on whether I've interpreted the terms correctly and been overcharged before I contact my old supplier.

I initiated a switch 15 days prior to my fixed deal ending and the switch occurred 4 days after the end of the fixed tariff. I have received my final statement which has charged me on the variable tariff for the 4 days after the end of the fix.

I understand some providers keep you on the same tariff if a switch is in progress, so I checked the terms.

They say
If your fixed plan ends and you haven’t asked us for a new fixed plan, we will automatically transfer you to the cheapest variable plan available for your meter type and payment method until you switch to a new supplier or you start a new fixed plan with us. We have to do this under Ofgem’s rules.

So, this looks like they've charged correctly. But a couple of clauses later they say

If you decide to leave us and we hear from your new supplier within 20 working days after your fixed plan ends, or if you enter into a new plan with us in the same period, we’ll keep your charges the same until you switch or start the new plan (as applicable).

My reading of this is the latter clause overrides the first clause and I should have been kept on the fixed tariff rates until the switch is completed. Have I materially misunderstood and it was correct to charge me on the higher variable tariff?
Did you really mean to put loose?
Lose: no longer possess, not to retain, unable to find
Loose: not firmly or tightly fixed in place

Comments

  • [Deleted User]
    [Deleted User] Posts: 1,655 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    No they got it wrong. You should have charged at the old fixed rate for those 4 days.
    Use your old suppliers Official Complaint Procedure and start all correspondence "COMPLAINT". DO this in writing so you have a copy.
  • AndyPK
    AndyPK Posts: 4,378 Forumite
    Part of the Furniture 1,000 Posts
    I would say you didn't start the switch soon enough, as it can be started around 49 days before the deal expires.


    I did kind of test this, by saying they prevented me from switching and therefore introduced a delay and got £25 good will, which I was very please with :)
  • phillw
    phillw Posts: 5,666 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    AndyPK wrote: »
    I would say you didn't start the switch soon enough, as it can be started around 49 days before the deal expires.

    You can say that, however ofgem rules are that you can start a switch much later and still keep your old tariff. The energy companies don't like the ofgem rules and often don't apply them, but they are supposed to and will do if you complain.

    I am planning on switching as late as possible next time (although I'm currently with Iresa and getting them to charge the right amount looks like it's going to be fun)
  • footyguy
    footyguy Posts: 4,157 Forumite
    1,000 Posts Combo Breaker
    AirlieBird wrote: »
    I'd like to get views on whether I've interpreted the terms correctly and been overcharged before I contact my old supplier.

    I initiated a switch 15 days prior to my fixed deal ending and the switch occurred 4 days after the end of the fixed tariff. I have received my final statement which has charged me on the variable tariff for the 4 days after the end of the fix.

    I understand some providers keep you on the same tariff if a switch is in progress, so I checked the terms.

    They say
    If your fixed plan ends and you haven’t asked us for a new fixed plan, we will automatically transfer you to the cheapest variable plan available for your meter type and payment method until you switch to a new supplier or you start a new fixed plan with us. We have to do this under Ofgem’s rules.

    So, this looks like they've charged correctly. But a couple of clauses later they say

    If you decide to leave us and we hear from your new supplier within 20 working days after your fixed plan ends, or if you enter into a new plan with us in the same period, we’ll keep your charges the same until you switch or start the new plan (as applicable).

    My reading of this is the latter clause overrides the first clause and I should have been kept on the fixed tariff rates until the switch is completed. Have I materially misunderstood and it was correct to charge me on the higher variable tariff?

    Have you asked the supplier?

    I suspect when you do, they will agree to re-bill you in accordance with the terms you have given, (if they are not already in the process of doing so) :)
  • I think the old rule of thumb (to maintain old tariff pricing during switch period) was to get the switch request in before 3 weeks of tariff end, however Jan 2017 Ofgem rules quote: "Should you choose to switch supplier, you no longer have to inform your current supplier that you intend to do so. Where you switch in the case of a price increase, even if this is after the date the price rise comes into effect, as long as you decide to switch soon after the increase and your switch to the new supplier is completed in a reasonable amount of time, you will not have to pay the higher rates.*” "*Customers with outstanding charges on their accounts may need to pay these off before they can benefit from these rules."

    ...so the second clause you have does appear to "trump" the switch request date.

    I have recently received my final bill from npower after a timely switch away request and they too have charged the excess period at their new tariff....will be phoning them tomorrow...
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