Is my thinking correct regarding the energy company failures?

Thesaltmustflow

As a customer of Avro I too find myself in the position of waiting for the appointed SOLR to contact me regarding 'new' account set up etc. I have been reading A LOT about what happens in this situation as although I'm an energy money saver I have never found myself in the position of my supplier going bang before.

I am doing the following which I hope is correct for me, (others may want to operate differently)

I have cancelled my DD with Avro, next payment due 21/10 so I assume no problem there as new supplier should be sorted by then and I'm around £260 in credit.
I am just gonna accept whatever deemed tariff I am put on and from what I can gather I will probably be paying less than if I look for a fix with the help of the price cap.
Once the 'new' account is up and running I am then free to look around and see what is available and maybe? look to get a fixed deal again but definitely put a bit more effort in securing a good deal before April 22.

I understand why there are a multitude of Avro threads popping up but what I'm looking at doing seems pretty simple and deals with the issue of my account with Avro.

Am I correct or am I missing something obvious?  

Aylesbury_Duck

I'm in a similar situation.  Second DD of £106 due on 13th October.  Haven't decided whether or not to cancel it, but will wait and see if the SOLR gets in touch in the next week before making a decision.

NINJA59

Keeping my DD in place we might owe them money, personally I have no issue leaving it but I get why people cancel them if a payment is due after them calling it quits.

Thesaltmustflow

Aylesbury_Duck said:

I'm in a similar situation.  Second DD of £106 due on 13th October.  Haven't decided whether or not to cancel it, but will wait and see if the SOLR gets in touch in the next week before making a decision.

From what I understand and have read on here I don't think it makes much difference whether you cancel DD or not and I assume you mean you'll make a decision IF the new SOLR gets in touch quickly as they definitely will get in touch at some stage otherwise we might all end up with either free energy OR a massive bill a year or two down the line 

hubb

I am not cancelling my DD as it might end up me being cut off. Too risky.

Ganga

hubb said:

I am not cancelling my DD as it might end up me being cut off. Too risky.

I agree with this ,i would rather pay the standing order and get the money back later even if it takes months rather than having no supply or worse a black mark against my financial record .

Tottington

Ganga said:

hubb said:

I am not cancelling my DD as it might end up me being cut off. Too risky.

I agree with this ,i would rather pay the standing order and get the money back later even if it takes months rather than having no supply or worse a black mark against my financial record .

It has been some years since I've worked in the industry, but it was always basically impossible to get people cut off. Even when they were stealing electricity, outright refusing to pay, you name it. The worst that would happen is a prepayment meter would be installed. 

I would say the chances of being cut off for cancelling a DD (particularly in these tumultuous times) are close to zero. 

Curiousgirl1

You will definitely not be cut of during the SoLR process for cancelling your direct debit, however you will be set up on the new supplier’s system as a cash/cheque customer so your tariff price with reflect that & will be higher than the direct debit price. Any credit you have with the old company is protected , however a lot of accounts show credit as the account may not have been billed for a while. Most importantly - TAKE METER READINGS. 

Armengar

£4per month more for my 14000/5000 consumption dd vs std cap.  id rather pay £8 for 2 months then switch than give avro 130 dd. i have credit so then can bill me out of that.

remember your solr will want a full month upfront. so if you have effectively 2.5 times your utility payment spare then go ahead. I dont so ive cancelled my dd.  Ofgem say its fine to do so.

Avro systems have ceased, the company no longer exists, your contract with them is null and void, it is up to ofgem and administrators to sort it out now.

macgyver

Thesaltmustflow said:

I am just gonna accept whatever deemed tariff I am put on and from what I can gather I will probably be paying less than if I look for a fix with the help of the price cap.
Once the 'new' account is up and running I am then free to look around and see what is available and maybe? look to get a fixed deal again but definitely put a bit more effort in securing a good deal before April 22.


Am I correct or am I missing something obvious?  

Just to be clear, your monthly energy price will go up with SOLR, as you will most probably be put on a standard variable tariff with SOLR. You are correct that all the fixed tariffs available now will be more expensive as the price cap will keep the prices below a certain level but most probably it will be higher than your AVRO tariff.
And the price cap will go up by about 12% from OCT.

Thesaltmustflow

I don't see it the way people are implying it may happen. Cancelling my DD to Avro is imo no different to cancelling DD to say an insurance company that I've not renewed with and if it does present a problem I just set up a new DD with the SOLR that's taking over Avro's customers.

Others who have been in this position will probably know better but I'm around £260 in credit, next DD would have been due 21/10 to Avro but they are now history so it probably wouldn't get requested anyway. My first thoughts still make sense to me, see who takes over my account and then deal with them.