Utilitas standing charge scam,

Tony1989

So I've been with Scottish Power for 8 years and never thought about leaving as they've been very good, I didn't really want a smart meter either because I don't see any benefit to me having one and people who've gotten them have ended up with higher bills somehow.

So I had Utilitas lady knock at my door, I never ever fall for door to door sales as they always feel pushy and scammy but this lady was really nice, explained everything very well to me and answered questions. She explained that I'm paying a standing charge every single day for my gas and electricity even if I don't use it I'm still paying it but if I moved to Utilita I wouldn't be paying ANY standing charge. She did a quote and it turns out I'd save only 6p/year with thier tariff 😂 However if you look at the savings on standing charges 63p/day and whatever for gas it really does add up over the months and years, I was under the impression I'd be saving £30-£40 per month with them. I told her I'll look into it more and to knock back Monday.

I researched the company and they are rated very well. So I switched over, they installed the smart meter and electricity on the 6th and gas will be done in a couple of weeks.

When the electricity was installed, I was 50p in credit, I tried topping up with the card and it wouldn't work so I thought I'll sort it next week I thought. Anyway roughly a week later, my electric is out, £15 in debt, which seemed incredibly quick compared to Scottish Power. The lady over the phone sorted my problem and now it's topped up.

Here is are my electric tariffs....

Utilitas Tariff (electric)

I'm paying 30.01p / kWh/h
The first 2kW per day I pay 63.42p
Standing charge £0

Scottish Power Tariff (electric)
(Not 100% I paid this but this is what I found online)

28.25p / kW/h
Price per unit is the same for the 1st kW as last.
Standing charge 62.22p/day

The sole selling point was that I would NOT be paying a standing charge AT ALL. They are charging me 60p per day still. I know this may seem petty but I don't wanna stick with a company that deceived me like this. I will probably contact and ask them to explain the fee and either waive it or I'll move to another company out of principle.

My mum is with E-ON, so I've got them, Scottish Power and any others anyone can recommend. I wanna stick with pay as you go also.

Thanks.

la531983

It's not really a scam is it, what you were told is correct, there is no "standing charge". Yes you collect it over the first two units but I doubt they hid this info from you, it's up to you to decide if its a better option or not. 

[Deleted User]

The golden rule is never trust anyone knocking on your door bearing gifts. Utilita’s offer is there for everyone to see on its website. Companies such as Ebico had to withdraw from offering zero standing charge tariffs because they are not a good business model when people like me have PV solar. They ended up with customers who were paying them nothing.

You may be a victim of doorstep mis-selling. If you believe that to be the case then report the supplier to Consumer Affairs at Ofgem.

[Deleted User]

Hi,

it's not shown as a standing charge, it's just your first 2 units are expensive.

When you did your research did you not notice,

''.We’re one of the only energy suppliers to have no standing charge. This means you won’t pay anything if you don’t use any energy.''

So to save money try to cut down to just using electricity on alternate days.

Gerry1

Tony1989 said:

but this lady was really nice

People hoping to part you from your money often are.

MultiFuelBurner

Hi Tony

I researched the company and they are rated very well. So I switched over, they installed the smart meter and electricity on the 6th and gas will be done in a couple of weeks

So you researched the company as in reviews but not the magical no standing charge tariff?

That said you may have a case of doorstep MIS selling in they stated £30-40 per month savings due to having no standing charge.

I do hope no one turns this into another standing charge debate😞

GingerTim

MultiFuelBurner said:

Hi Tony

I researched the company and they are rated very well. So I switched over, they installed the smart meter and electricity on the 6th and gas will be done in a couple of weeks

So you researched the company as in reviews but not the magical no standing charge tariff?

That said you may have a case of doorstep MIS selling in they stated £30-40 per month savings deu to having no standing charge.

I'm not sure about that, it seems to be the OP who came to that figure. Technically the OP is saving £30-40 on the standing charge...

OP said: "However if you look at the savings on standing charges 63p/day and whatever for gas it really does add up over the months and years, I was under the impression I'd be saving £30-£40 per month with them."

la531983

MultiFuelBurner said:

Hi Tony

I researched the company and they are rated very well. So I switched over, they installed the smart meter and electricity on the 6th and gas will be done in a couple of weeks

So you researched the company as in reviews but not the magical no standing charge tariff?

That said you may have a case of doorstep MIS selling in they stated £30-40 per month savings deu to having no standing charge.

My reading of the opening post is that he worked it out wrongly himself, and didnt actually look at the unit rate breakdown.

Reed_Richards

Actually, this is a good deal for anyone with an empty house that uses no electricity.  

Gerry1

Tony1989 said:

She did a quote and it turns out I'd save only 6p/year with thier tariff 😂

Hence no mis-selling.

Gerry1

Tony1989 said:

I will probably contact and ask them to explain the fee and either waive it or I'll move to another company out of principle.

Zero chance that they'll waive it: it would break their business model, and they won't create a special tariff just for you.

You have checked for exit fees, haven't you?  If not, a further tale of woe may await...