How can I leave fix and go on Price Cap?

dippyuk

Hi everyone, I hope someone can help me as I have been a bit of a numpty ☹

Up until yesterday, I was on the Price Cap. I was looking for a Fixed deal last weekend and saw a deal which was around £300 above April price cap. I thought that it would be ok to pay more in the summer months and the Fixed deal wouldn’t look too bad when the PC goes up again in October. I hesitated and did not go for the deal.

The following day, the deal was pulled and I regrated not taking it.

Then on Tuesday I checked with my existing supplier and they seemed to have a deal only slightly higher than the one I saw over the weekend. I panicked and signed up for Eon Next Online v13

(GAS 10.52per kwh/27.22p per day – ELECT 41.02per kwh/43.30 per day)

I’ve just done the maths and my 1 year fix will cost me £2500!!! (I’m use around typical usage)

If I stayed on the Price Cap, it would cost me £712 for the next 6 months and then £1550 for the next 6 months if the PC goes up by 40%. Total £2262

I worked out that if the PC went up by 60% in October, it will cost about the same as the Fix I have just started.

 

Although we can’t tell what might happen in October, I hope for everyone’s sake that the PC does not go up by 60% in Oct.

 

Does anyone have any advice about what I should do?

 

Can someone please tell me if and how I can get out of this Fix tariff and go a variable rate (PC)?

 

Thanks in advance 😊

MattMattMattUK

dippyuk said:

Hi everyone, I hope someone can help me as I have been a bit of a numpty ☹

Up until yesterday, I was on the Price Cap. I was looking for a Fixed deal last weekend and saw a deal which was around £300 above April price cap. I thought that it would be ok to pay more in the summer months and the Fixed deal wouldn’t look too bad when the PC goes up again in October. I hesitated and did not go for the deal.

The following day, the deal was pulled and I regrated not taking it.

Then on Tuesday I checked with my existing supplier and they seemed to have a deal only slightly higher than the one I saw over the weekend. I panicked and signed up for Eon Next Online v13

(GAS 10.52per kwh/27.22p per day – ELECT 41.02per kwh/43.30 per day)

I’ve just done the maths and my 1 year fix will cost me £2500!!! (I’m use around typical usage)

If I stayed on the Price Cap, it would cost me £712 for the next 6 months and then £1550 for the next 6 months if the PC goes up by 40%. Total £2262

I worked out that if the PC went up by 60% in October, it will cost about the same as the Fix I have just started.

 

Although we can’t tell what might happen in October, I hope for everyone’s sake that the PC does not go up by 60% in Oct.

 

Does anyone have any advice about what I should do?

 

Can someone please tell me if and how I can get out of this Fix tariff and go a variable rate (PC)?

 

Thanks in advance 😊

What are your exit fees?

dippyuk

There are no exit fees

pochase

If that was this week you will be in the 14 day cooling off period and you can cancel without penalties.

Ultrasonic

pochase said:

If that was this week you will be in the 14 day cooling off period and you can cancel without penalties.

^  This.  

PRAISETHESUN

All you need to do is contact your provider and ask to be transferred to their SVT. Even if you weren't within your cooling off period, no exit fees means there's no cost to leave your current tariff.

Ultrasonic

PRAISETHESUN said:

All you need to do is contact your provider and ask to be transferred to their SVT. Even if you weren't within your cooling off period, no exit fees means there's no cost to leave your current tariff.

Do suppliers have to allow this?

MWT

Ultrasonic said:

PRAISETHESUN said:

All you need to do is contact your provider and ask to be transferred to their SVT. Even if you weren't within your cooling off period, no exit fees means there's no cost to leave your current tariff.

Do suppliers have to allow this?

Yes, I believe so, the deemed tariff has to be available to those customers who have not selected any other tariff, so as long as the T&C allow you to terminate a fix without having to switch elsewhere, they have no choice other than to put a customer on the SVT.

I'm not aware of any supplier that has attempted to close that option, but always worth reading the T&C just in case...

Astria

I accidentally clicked a link in an email EON sent me and it automatically put me on a fixed tariff like that one!

Jumped on the chat and told them I did it by accident and I didn't want the tariff, they put me back on the tariff I was on before.

Typically, that's all it takes in the first few weeks after selecting a fixed tariff.

Astria

Ultrasonic said:

PRAISETHESUN said:

All you need to do is contact your provider and ask to be transferred to their SVT. Even if you weren't within your cooling off period, no exit fees means there's no cost to leave your current tariff.

Do suppliers have to allow this?

They have to allow you to leave, but they can charge a fee that might make it infeasible to leave, such as £200 per fuel and they must make this visible at the time you enter into the contract.

Ultrasonic

MWT said:

Ultrasonic said:

PRAISETHESUN said:

All you need to do is contact your provider and ask to be transferred to their SVT. Even if you weren't within your cooling off period, no exit fees means there's no cost to leave your current tariff.

Do suppliers have to allow this?

Yes, I believe so, the deemed tariff has to be available to those customers who have not selected any other tariff, so as long as the T&C allow you to terminate a fix without having to switch elsewhere, they have no choice other than to put a customer on the SVT.

I'm not aware of any supplier that has attempted to close that option, but always worth reading the T&C just in case...

I'm used to it being possible to end a fix to move to a different supplier (possibly paying exit fees) but staying with the same company is potentially different? As you say it will depend on the terms but just wondering if it was mandatory, since this is a little different to there having to be a deemed tariff if someone hasn't signed up to a fix.