Why is it advised not to switch before SOLR takes control?

chris_mse

Biggus_Dickus said:

@chris_mse

There have been numerous posts on here regarding the complications that can arise when customers are part way through the process of switching away when the incumbent supplier goes bust.

Those unfortunate  customers had serious difficulty getting their ‘credit’ refunded and found themselves stuck in a financial limbo-land between the defunct supplier, the hoped-for new supplier, the SOLR and the Official Receivers. It’s an unenviable position apparently. You may encounter similar problems if you initiate a switch away from a recently defunct company before the dust has settled properly on the SOLR.

However, such is the turmoil in the Energy market at the moment it’s probably???  worth trying to bag a good deal elsewhere other than with the SOLR as soon as possible, even if it does mean waiting a long time for your credit refund.

My previous 12-month fixed tariff was Avro’s  Simple&Superglow and it cost me £1063/yr. A move to the cheapest 12-month fixed tariff now on offer (EON Next online V7) will cost me £1569!...that’s a 48% increase on the previous 12 months,...it’s a bit frightening.

 

 

 

I wish it where clearer how it worked & who was responsible for what.

As a consumer I only really care about who is responsible for providing that credit refund.

Had I known the that SOLR is liable for eventually sending the refund then I would have just switched straight away knowing I'd need to contact EDF about the refund instead of thinking about the £300 & not doing anything and that will now cost hundreds more that if I had just written off that £300.

would be helpful if there was some bullet point explainer instead of bad advice about not switching with no detail as to why.

Seems they don't want consumers to switch because the SOLR misses out on the credit balance that ultimately reduces their risk to the detriment of consumers for no good reason.

MWT

chris_mse said:

Seems they don't want consumers to switch because the SOLR misses out on the credit balance that ultimately reduces their risk to the detriment of consumers for no good reason.

It really is as simple as not getting conflicting switches in the system at the same time, or worse, getting pulled back from your new supplier if you manage to get your switch in ahead of the SoLR...

If you want a simple life you wait for the switch to the SoLR then go do whatever you want.

If you feel the need to switch ASAP to get a particular tariff then go ahead, but you risk getting blocked or pulled back if it goes wrong.

Your choice.

Inigo_Montoya

chris_mse said:

Biggus_Dickus said:

@chris_mse

There have been numerous posts on here regarding the complications that can arise when customers are part way through the process of switching away when the incumbent supplier goes bust.

Those unfortunate  customers had serious difficulty getting their ‘credit’ refunded and found themselves stuck in a financial limbo-land between the defunct supplier, the hoped-for new supplier, the SOLR and the Official Receivers. It’s an unenviable position apparently. You may encounter similar problems if you initiate a switch away from a recently defunct company before the dust has settled properly on the SOLR.

However, such is the turmoil in the Energy market at the moment it’s probably???  worth trying to bag a good deal elsewhere other than with the SOLR as soon as possible, even if it does mean waiting a long time for your credit refund.

My previous 12-month fixed tariff was Avro’s  Simple&Superglow and it cost me £1063/yr. A move to the cheapest 12-month fixed tariff now on offer (EON Next online V7) will cost me £1569!...that’s a 48% increase on the previous 12 months,...it’s a bit frightening.

 

 

 

I wish it where clearer how it worked & who was responsible for what.

As a consumer I only really care about who is responsible for providing that credit refund.

Had I known the that SOLR is liable for eventually sending the refund then I would have just switched straight away knowing I'd need to contact EDF about the refund instead of thinking about the £300 & not doing anything and that will now cost hundreds more that if I had just written off that £300.

would be helpful if there was some bullet point explainer instead of bad advice about not switching with no detail as to why.

Seems they don't want consumers to switch because the SOLR misses out on the credit balance that ultimately reduces their risk to the detriment of consumers for no good reason.

The SoLR is responsible for refunding credit balances even if you switched away

There is usually information on the suppliers or ofgem website stating the SoLR is responsible e.g.

for GNE to EDF
https://www.ofgem.gov.uk/publications/green-network-energy-customers-your-questions-new-supplier-edf

for Green to Shell
https://help.shellenergy.co.uk/hc/en-us/articles/4408057729937-Green-What-about-my-bills-and-payments-
 

Streaky_Bacon

I would be interested to see some actual stats on how many switches end up getting blocked or pulled back. Lots of anecdotes (including mine) but no actual numbers. Even though Ofgem advises waiting. I often see it said "if your transfer starts before the SoLR is appointed it will still go through" (or words to that effect). Often the SoLR is the one that says it:

https://help.shellenergy.co.uk/hc/en-us/articles/4408114988177-Green-Advice-on-switching-supplier

I’d already started switching to another supplier (not Shell Energy) when I heard that Green was going out of business. Will my switch still go ahead?

Your switch to your new supplier should go ahead as planned. To double check, we recommend calling your new supplier and asking for an update.

https://www.britishgas.co.uk/energy/peoples-energy.html

I started switching to another supplier, then found out my previous supplier had stopped trading. Will my transfer still go ahead?

Yes, your transfer should go ahead as normal and you'll hear from your new supplier. If not, you can start your switch again as soon as your account is fully set up and you won't pay any exit fees.

https://www.eonnext.com/igloo-energy

I’m in the process of switching to another supplier. Will this switch still happen?

Your switch will continue as normal so you don’t need to do anything. The supplier you have chosen will be in touch with you soon.

At most times, it may make sense to wait, because there is no real rush, but certainly I (and a few others here) managed to jump to the Sainsbury's 2 year fix (I initiated mine just after the collapse of Green was announced).

Others that waited are now looking to be capped until April, and then at the mercy of the cap rise. So by taking prompt action, I have likely saved many hundreds of pounds.

That said, for any new SoLR takeovers, the chance to fix anything decent is probably long gone.

Lorian

Streaky_Bacon said:

I would be interested to see some actual stats on how many switches end up getting blocked or pulled back. Lots of anecdotes (including mine) but no actual numbers. Even though Ofgem advises waiting. I often see it said "if your transfer starts before the SoLR is appointed it will still go through" (or words to that effect). Often the SoLR is the one that says it:

https://help.shellenergy.co.uk/hc/en-us/articles/4408114988177-Green-Advice-on-switching-supplier

I may be one of these in progress now - started a switch the day after they went bust and several days before the SOLR was appointed. My go-live date with the new supplied was a couple of days ago, is live on their system, DD taken,  and yet I see the Octopus are responsible for my supply today. 

I had no major credit with AVRO and went in to this with my eyes fully open so no issue there. I've emailed the new supplier to ask them to check my account. Will update when I see how it pans out, very keen to still land the alternative supplier.

zoonyx

Makes life easier for the administrators of the old company and the SOLR new company.  Normally it doesn't matter, but I'd have lost a LOT of money by following OFGEMs advice and not catching the last cheap train out of town....

It's a disgrace in my opinion.  People will 100% pay more now for following OFGEM advice not to switch.  At least in terms of Avro, and others around that same rough time frame when cheaper deals were still available.

t1redmonkey

I posted earlier in this thread saying I had started a switch day after Avro went bust to BG Evolve (before the Octopus SOLR announcement was made).  Switch has taken place today, doesn't look like there's any problems yet.  

zoonyx

t1redmonkey said:

I posted earlier in this thread saying I had started a switch day after Avro went bust to BG Evolve (before the Octopus SOLR announcement was made).  Switch has taken place today, doesn't look like there's any problems yet.  

I did the same, but my go live date is tomorrow.  However, Octopus have advised they have no problems, and BG Evolve said they would do everything possible to push it through (obviously without any power should industry checks fail).  It was a risk, but it will save us both a lot of money.  I just find it incredible that more hasn't been said - OFGEM threw consumers under the bus in this case.

t1redmonkey

zoonyx said:

Makes life easier for the administrators of the old company and the SOLR new company.  Normally it doesn't matter, but I'd have lost a LOT of money by following OFGEMs advice and not catching the last cheap train out of town....

It's a disgrace in my opinion.  People will 100% pay more now for following OFGEM advice not to switch.  At least in terms of Avro, and others around that same rough time frame when cheaper deals were still available.

Exactly.  It was obvious that all the half decent fixed tariffs were rapidly being pulled around mid/end September so you had to act quickly to get on one of them or face going on a variable one and not know what you'd be on in April.  The OFGEM advice was a copy-paste statement.  It didn't take into account what the reality of the situation was and like you say, has cost some people being able to get on some of these tariffs that were still around when those firms initially went bust.

worrywart_3

My freeing switched to octopus hours before green demise was announced octopus have taken a direct debit today, so does that mean it went through ?