Relative told "dual fuel puts you deeper in debt". Any logic in that statement? I'm struggling

tghe-retford

I'm trying to convince (and not succeeding in) an elderly relative to have their gas and electric with Octopus Energy by switching the gas from British Gas to them.

They were told by a friend that "dual fuel puts you deeper into debt and you should stay with separate companies".

I'm struggling to see the logic in this statement. Anyone else know anything I am missing in my logic or is this as I suspect, complete bunkum?

MWT

It has been true in the past that 'dual fuel' deals were often move expensive than you could get by splitting them to different providers.

With the demise of the ultra-low cost electricity suppliers that has become much less of an issue.

Even so, that had little to do with 'debt'...

Archerychick

Feel like a through away comment, but convincing someone to change can be tough!

Where I’ve come across the same issue I’ve asked them to let me have their energy use details for two months and I’ve sat with them using a very basic spreadsheet showing the current vs what it could have been with a different provider - could you do this with them?

born_again

All down to actual cost of usage.
So 2 maybe cheaper than one, but then again 1 maybe cheaper than 2.

Only way to find out is run the figures.

QrizB

tghe-retford said:

I'm trying to convince (and not succeeding in) an elderly relative to have their gas and electric with Octopus Energy by switching the gas from British Gas to them.
They were told by a friend that "dual fuel puts you deeper into debt and you should stay with separate companies".
I'm struggling to see the logic in this statement. Anyone else know anything I am missing in my logic or is this as I suspect, complete bunkum?

Their friend is wrong, but me (and others) telling you this isn't really going to help you persuade them!

I agree wih Archerychick; use the Power of Mathematics (TM) to demonstrate that they won't be any worse off for switching, and that they'll also be able to escape BG's notoriously poor customer services.

pete-20-11

Whilst there are price caps, it's unlikely. 

Everything is being kept roughly to the same prices, small differences here and there. 

The fact that energy comparison websites stopped offering comparisons in the past few years says something about the situation. 

Guess they might be coming back now as there are a few fixes available. Not many though. And if prices are due to fall further, perhaps a risky move to lock into a fix - except where someone wants an absolute guaranteed price. 

tghe-retford

Thanks everyone. I knew in the past it was more expensive to stay dual fuel, I switched myself to having separate electric and gas, but now that isn't the case running my own numbers (particularly with Octopus Tracker being a thing that exists). I just thought it was an odd comment not based on the current atmosphere of the energy market.

I have run the numbers roughly and my relative would be better off switching the gas from British Gas to Octopus (you could figure out by logic that she's already with Octopus for electric). That and being elderly, the warm home payments go to the electric account which is a more costly form of heating compared to gas.

EssexHebridean

I suspect this comes from a combination of the old way with lots of suppliers, lots of competition, and some suppliers offering zero standing charge options for one fuel or another, and confirmation bias - ie the friend once had dual fuel, didn’t ensure readings were sent or keep an eye on estimates, and found themselves in debt as a result. “It happened to me ergo that is what happens to everyone”. 

Using a combination of your own personal experience, reassurance and hard facts - ie the maths - is likely to be the best and possibly only way of encouraging the change here. 

pfpf

born_again said:

All down to actual cost of usage.
So 2 maybe cheaper than one, but then again 1 maybe cheaper than 2.

Only way to find out is run the figures.

sure there's a Spice Girls song in there somewhere.