EDF "no exit fee"

actually_a_llama

Not sure if this is a stupid question. EDF's energy direct tariff jul23 says there are no exit fees. It's a fixed 24 month term.

Let's say energy tariffs improve over the next two years. If there's no exit fees I can up and leave at any time surely?

I just want to make sure there's no catch as every tariff I've been on has usually had an early exit fee; ergo I switch in the 49 day period.

If there isn't one then I can just do a runner on them if the market improves?

Neil_Jones

Does what it says on the tin.  If there are no exit fees there are no exit fees, and if the market falls through the floor, you can move in the normal way whenever you like.  All the fix on a no exit fee tariff means is they won't rise.  So if you get the two year fix and for argument's sake rates happen to double the next day, you'd be quids in for the next 2 years.

There is nothing to stop you moving at any time regardless of exit fees (unless you owe the supplier a substantial amount of money, that is).  When markets fall substantially and you can save more than your exit fee overall, if may be worth paying the exit fee to get a better deal, particularly if you're going to be saving far more than <whatever> on the new deal.

actually_a_llama

One other thing; I can't seem to get a clear answer out of EDF but they apply 100GBP bill credit for new customers who got a quote but didn't end up going for it (arrived in my inbox a few days after I looked at their tariffs). I'm trying to find if there's a catch here and I can't see anything in the terms and conditions - but if I just left them a year after joining could they ask for that back? It's a two-year term and if the market improves I'd obviously want to switch but if they clawed that credit back they would no longer be one of the cheaper options - based on one-year.

Neil_Jones

Considering its "free" (or more probably a credit) its probably safe to assume that if you get to a point where its cheaper to up sticks and push off, the bulk of that credit will have already been used.  Or if it hasn't, you probably wouldn't get "it" back as it wasn't yours in the first place.  If you'd paid £100 of your own money in and then move to Dalek Energy you'd expect the balance back.  If this credit was applied by EDF it seems fair that they wouldn't tack any balance left on it onto your credit refund.

Anyway the trend for energy prices is predicted to be upwards for at least the rest of this calendar year so it's probably arbitrary.