Fixed energy quote or stay pre pay

readingcoffelover

EDF gave me that quote, now im so confused I was looking at other quotes and the difference between variable and fixed and my head no expolded theres too much tarriffs and compaines lol

Thomas_Edison

Forget the monthly payment amount, that's a guess based on how much energy they think you'll use.

Tariffs are made up of two things. A standing charge and a unit rate per fuel.

Standing charge - is a fixed fee you pay each day no matter what

Unit rate - is the rate you pay for every unit of energy you use. (Like a pay as you go phone)

A fixed tariff means that your standing charge & unit rates won't change for the length of your deal. You get exactly what you sign up for.

A variable tariff means your unit rate can change in line with wholesale prices, generally at most once or twice a year and they have to give you 30 days notice if it's going up. The rates you pay can go up or down.

Now how to work out which tariff is cheapest:

A 1p cheaper standing charge saves you £3.65 a year. 1p X 365 days.

A 1p cheaper elec unit rate saves on average £31 a year
1p X 3100 (Avg UK consumption 3100kwh of elec)

A 1p cheaper gas unit rates saves on average £120 a year 1p X 12000 (Avg UK consumption 12000 kWh of gas)

[Deleted User]

readingcoffelover wrote: »

EDF gave me that quote, now im so confused I was looking at other quotes and the difference between variable and fixed and my head no expolded theres too much tarriffs and compaines lol

Check out Bulb Energy s varifair tariffs against fixed deals..plus £50 cashback if you use a referral code.pm me if you would like to use mine.
No exit fees with Bulb plus very good customer service rating on Cheap Energy Club