No date for Olivia

Friday 19th September, 2008 - £7,926.83 in debt…

I am perplexed. Over seven weeks ago, I started the process of switching my energy bills to a capped tariff from E.ON, but I still haven’t been given an official switch date.

I’ve given E.ON my meter readings, opened every bit of mail I’ve received from them, but nothing. What’s going on?

A little E.ON envelope plopped onto my welcome mat this morning, but it was just a very pointless letter explaining that, although their standard prices have gone up, my bills won’t be affected. Which is the very least I’d expect from a capped tariff, to be honest.

I’ve worked out that my previous suppliers owe me money because I’ve been over-paying for the past two years, so I want my rebate as soon as possible. That’s not unreasonable, is it? Should it be taking this long?  

 E.ON - Sly as a fox

Monday 1st September, 2008 - £7,977.79 in debt…

When I’ve finally paid off all my debts and I’m looking back at my “journey” (which is what I’d call it if I were an X Factor contestant), I’ll think of month 4 with great fondness. Not only was it the month in which I finally got below the £8k mark - it was the month in which these things happened:

Good times

1) This month’s biggest success story was being accepted for another home-based job, which can fill in the time when I’m not temping or freelancing: I’m going to be an internet researcher for AQA (Any Question Answered). I’ve now finished my training and will be starting the job properly once I’ve finished writing this blog post…

2) I collected a lovely range of loyalty cards: the Nectar Card, Tesco Clubcard, Boots Advantage Card and Co-op Membership Card. Aside from the Co-op one, these all enable me to collect points, which mean prizes. Hooray.

3) I used Money Saving Expert’s new credit scoring tool to find out whether there’s anything I should be doing to make sure my credit rating is as good as it can be by the time my debts are cleared. I learned that I should cancel each card as soon as I’ve paid it off, and that I shouldn’t move house. Fine by me.

4) Online shopping with Asda was an enormous success, but they’ve now stopped sending me ‘free delivery’ vouchers by email. I am shocked and appalled.

5) I’ve decided to go on a cheap holiday, probably in November. You might think this is a bad thing, considering my situation, but I’ve decided to put it in the ‘good times’ pile because it will improve my mental state, making me a happier and more efficient worker when I come back. Yes it will.

6) And I’ve signed up for free UK calls with 1899, a very cheap secondary phone supplier. I keep forgetting to dial the prefix number though - might have to have it tattooed on my hand, which will cost money.

Bad times

1) I went a bit crazy doing too much work. I would have had to stop myself if the work hadn’t dried up on its own.

2) After switching my gas and electricity to a capped tariff with E.ON, I discovered that either (a) the comparison service I used had provided me with the wrong information, or (b) E.ON had done something shifty and added a cancellation fee where there shouldn’t have been one.

3) I realised that Endsleigh have been taking me for a ride for the last 18 months or so, charging me for a Payment Protection Insurance policy I didn’t want. On the plus side, I complained to Endsleigh and they sorted it out straight away. I now have a cheque for £25 to play with.

So, with a grand total of six plus points and only three minuses, this has been one of my more successful months. I’ve also paid off £401.04 after interest - and that doesn’t include this month’s Barclaycard standing order, as my statement hasn’t arrived yet. I’m still perfectly on track for my goal of being debt free by the end of April 2010.

Now, how much quicker could I do this if I become the fastest researcher AQA has ever employed? There’s only one way to find out.

E.ON Memory Thief was at it again

Thursday 7th August, 2008 - £8,228.83 in debt…

You know how sometimes you feel like the whole world is out to confuse you and drive you up the wall? Well, I think I might have been a bit conned by E.ON or uSwitch or both. Either that or I’ve lost my mind.

The story so far:

On Tuesday of last week, I switched to a capped energy tariff - specifically E.ON’s Energy Saver Version 4 Dual Fuel (catchy name, isn’t it?). I switched using uSwitch (because I’m familiar with it and the adverts shouted at me), and I SWEAR it told me that there was no cancellation fee if I decided to switch away from E.ON.

I even made a note of it in my blog post that day! See!

Today I received my confirmation letter from E.ON, which nicely sets out all the details of my new account with them - the tariff, the day the capped prices will end, the discounts I get, the gas and electricity prices per kilowatt hour, blah blah blah. And the £35 cancellation fee that E.ON “may charge” if I switch away from them or stop paying by direct debit.

I don’t think I blame E.ON - my last blog post on the matter even linked to a webpage that mentioned the cancellation fee, but I obviously didn’t see it! Unless they’ve since changed the wording… Or someone from E.ON came round and temporarily blinded me last Tuesday and then wiped my memory…

So I’m inclined to think that the information on uSwitch was wrong, but the tariff isn’t available to new customers any more so it’s no longer on uSwitch and I can’t check it.

Hang on… it was the first tariff on the list that didn’t mention a cancellation fee, and that’s why I chose it! It’s all coming back to me now (as Meatloaf once said) - I would have chosen a cheaper one if it wasn’t for that. Although the Tesco Clubcard points could have had something to do with it as well.

In the great scheme of things, a cancellation charge I might never have to pay is not a huge deal. But I do resent being given false information by the switching service I used. That’s as long as that’s really what happened - the more I think about it, the more confused I become.

Has this happened to anyone else? Can anyone reassure me that I’m not going completely insane?

In other news…

Speaking of confusion, I took advantage of Orange Wednesdays yesterday and saw The Dark Knight. Didn’t understand most of it, but it was two-and-a-half hours of “moderate violence and sustained threat” and the Joker will now appear in my nightmares for at least a month. Not bad for £3.45.

Dunce

Friday 1st August, 2008 - £8,378.83 in debt…

Time goes so fast when you’re scrabbling around in the gutter for pennies and working 14-hour days, doesn’t it? I’m now at the end of my third month (or first quarter, in finance-speak), and here’s how it’s going.

I’m clapping my hands like a trained seal because…

1)    I’ve learned that the best way to pay off your debts is to work until your brain bleeds and earn lots of money. This month has been my best so far in terms of workload, and I should be able to shift more than £1000 to my credit cards in total once all the money comes through. I’ve paid £605 towards my debts this month, which reduces what I owe by £472.15 when you take the interest off.

2)    I saved £10 on my grocery shopping by visiting MySupermarket and then Asda. The Asda shopping experience was harrowing, to say the least, but I’m trying Morrison’s next month, which isn’t on MySupermarket but looks pretty cheap to me.

3)    I also saved £7.45 by getting McFly’s latest body of work, Radio:ACTIVE, free with Beelzebub’s latest body of work, the Mail on Sunday.

4)    I used the snowball calculator on Whatsthecost.com to help manage my debts better. It told me that, if I pay off £470 a month (including interest) in a particular order, I’ll clear my debt before my 30th birthday and save £650 in interest.

5)    I received a letter confirming that I’d opted out of the Barclays personal reserve. I already knew that I’d done this, but it’s nice to be acknowledged.

6)    I earned £118.50 mystery shopping for GfK, which is by far the nicest mystery shopping company I’ve worked for. It doesn’t bombard me with irrelevant emails, the jobs I’ve done are quick and easy, and it’s even paid for a lovely bowl of soup and a Cornish cream tea. Yum.

I’m slapping my forehead like a cartoon dunce because…

1)    I spent £52.80 on one weekend in Nottingham, buying things I wouldn’t normally buy because my companions didn’t know about my debts. This has made me think about confessing to everyone, but there’s a very good reason why I haven’t done this yet: I’m ashamed. That’s normal, right?

2)    What with temping up to five days a week, mystery shopping and disliking the idea of cabin fever, I’ve been filling up my car’s petrol tank every nine days on average. Because it’s a beautiful and tiny Daewoo Matiz, this only costs £35 a time, but it’s still about £46 per month over budget.

3)    Speaking of budget, I might have also bought a couple of McFly tickets. And a ticket to a theatre adaptation of my favourite Edward Gorey book. But that’s all – I swear. Oh, and a ticket for Blood Brothers starring one of the Nolans. I just can’t help myself.

4)    My eBay so-called “buyers” have been nothing but trouble, with four of them refusing to pay up. Hopefully I’ll be able to re-sell the stuff or settle on a good eBay alternative but, until then, I’ll wear a constant look of vague disgruntlement.

I’m jittering with anticipation because…

1)    I can’t yet be sure whether I did the right thing switching to an E.ON capped energy tariff - this will only be worthwhile if all the other energy bills in the country rise by more than about 10%, which looks likely but you never know.

2)    I’m not yet sure what kind of impact my bridesmaid duties are going to have on my finances. The next step is dress shopping with the other bridesmaid, who lives 40 miles away, and casually tossing around some hen-night ideas without sounding like I have a budget of £3.50.

Generally speaking, I can’t complain about how this month has gone. After last month’s disastrous performance, July’s sudden onslaught of evening work has given me a ‘get out of jail free’ card and got me back on track. And, although I can’t expect this level of work every month, at least I know that I can be trusted to put the extra money towards my debt when it does happen. Well, most of it anyway…

—

First quarter results:

Amount paid towards my debt so far: £1376.63 (average £458.88 per month)

Amount I’ve reduced my debt by, after interest: £1120.62

 Do it do it do it do it do it now?

The energy world is on fire. Prices are rising here there and everywhere and it’s hard to keep up with the ever spouting predictions and advice. Fear is in the air and the headlines are becoming more and more terrifying:

• “Energy customers face 60% price hike” (Energy Choices)

• “People ‘pushed’ into fuel poverty” (The Press Association)

• “Lives at risk fears as gas bills rocket 35%” (The Press and Journal)

• “Child poverty charity deplores British Gas fuel price hike” (Easier Finance)

• “Energy powder designed to look like COCAINE could be sold in Britain” (The Daily Mail)

OK, so the last one won’t affect our gas bills, but energy news at the moment is SCARY. According to the Mirror, Lib Dem leader Nick Clegg has claimed that soon “Thousands will be forced to choose between heating and cooking!”

Reading these headlines it seems the UK is headed straight for an energy apocalypse, and the advice tagged on the end of each article is…

GET A FIXED RATE TARIFF NOW. OR ELSE.

But really, is this sound advice or classic scaremongering? Well actually, it depends at which rate you fix it. There are only two fixed rate tariffs on the market right now which are set at pre-hike prices and they are the Energy Saver 4 and the Price Protection October 2009 from E.ON.

If you can snatch one of these then you are onto a winner, but as the dashing Martin Lewis so eloquently puts it, these existing fixed rate tariffs are “disappearing quicker than a rabbit near Paul Daniels” and it’s predicted they will be pulled by midnight tonight.

Yesterday, as well as hiking gas prices up by a massive 35% and electricity prices by 9%, British Gas announced the launch of their new Fixed Price 2011 tariff, the only other capped tariff available. If we follow the “cap now” mentality, then surely we should dash to grab this now? Well actually, maybe not.

As my good friend Chris Eagle, Commercial Manager at Energy Choices says: ‘Fixing your energy tariff now will protect you from round two of the predicted price hikes, which are expected to hit consumers in December or January. However, it is quite likely that the other big energy suppliers will follow British Gas’ lead and announce their own fixed rate tariffs for newly increased rates. Obviously some will be cheaper than others and while it’s a gamble, it may be better to wait for the launch of these.’

So, if you miss the E.ON boat, don’t jump straight for British Gas. If you can hold out for alternative tariffs, you might be able to cap at a lower rate.

 Going for gold

Tuesday 29th July, 2008 - £8,428.07 in debt…

I don’t like being told what to do, I don’t like being shouted at, and gentle persuasion and nagging don’t normally work either. But, for some reason, a combination of these methods and some sort of Jedi mind trick from Martin Lewis have finally made me switch to a capped energy tariff. Where’s my medal?

You’ve probably heard that energy prices are set to rise by anything up to 70% (the amount depends on the paper you read) by the end of the year and, according to some sources, EDF’s price hike has sent energy consumers UK-wide scuttling dementedly from their houses and straight off the nearest cliff. I think I read that in the Mail.

So, yes, I’ve decided to switch to a tariff that promises my bills won’t rise until Autumn 2009. One of the reasons it’s taken so long for me to do this is because the energy bills are in my boyfriend’s name but, after receiving some sage advice from a wise friend, I nicked his chequebook and took the bull by the horns.

Switching to a capped tariff is entirely different from my previous experience of switching, where the aim was to save money straight away. I know that my new tariff won’t save me any money right now - in fact, it’s more expensive than my current one by £41.49 per year - but I’ve just got to gamble on everyone else’s bills shooting up if it’s going to be worth it.

But the switching process itself is as easy as it’s ever been if you use a good comparison service. Just a few questions to answer, as the service establishes how much I currently spend on household energy. And then a few bank details to fill in (hence the chequebook), as it signs me up for a Direct Debit (saving about a tenner a month on my bill).

The tariff I’ve chosen is from E.ON (formerly Powergen): the Energy Saver Version 4 Dual Fuel. This gives me the security of the fixed price, but without a cancellation charge if I decide to leave earlier than planned. According to the E.ON website, “If our standard prices go down, your prices could too”, and I get a free energy monitor. And a Tesco Clubcard point for every pound on my bill! Get in!

Why didn’t I do this months ago…? And where’s my MEDAL? 

 This is the easy bit….

*UPDATE* Find out how to input your Click Energy 5 meter reading by following our guide.

It’s been drawn to my attention by many Consumer Choices subscribers that manually inputting meter readings on the British Gas site is at best confusing, and at worst virtually impossible.

Here’s a selection of the comments I’ve received:

• “I have gone to britishgas.co.uk/meter and can not find where you add the reading”

• “Need to give British Gas a meter reading, can’t find where to put it. beginning to wish I hadn’t bothered”

• “I have tried to give you my first meter reading but it seems that whoever is responsible for this website has omitted to make provision for clients to use”

• “I am trying to submit my first meter reading but cannot find a way through the minefield”

• “Come on British Gas sort out your system, I see I am not the only one having this problem”

Damning indeed, and sent in the kind of volume that suggests there is a genuine problem here.

As an E.ON customer myself, I’ve not had any first hand experience with the British Gas Click Energy 5 online account management system. If anyone does know of a direct solution to this problem, please leave a comment below.

Having had a look at the ‘your account’ area, I would strongly suggest that you log in before attempting to submit a meter reading. It should make the process a whole lot easier.

One final note, and I really hope I’m putting two and two together here and making five, but I noticed the following in the Click Energy 5 terms and conditions:

“Click Energy 5 is for customers who agree to manage their bills online and take paperless billing. We reserve the right to transfer you onto our current standard variable rates if you fail to sign up to online account management and paperless billing within the first 6 weeks of coming onto supply with us and/or signing up to the Click Energy 5 product from us.”

British Gas wouldn’t be making it deliberately hard for you to input your meter readings would they?

 Genesis? Cool.

Having turned 30 at the beginning of the year, there’s two inexplicable changes that have occurred within me between then and now which i could never have envisaged:

(1)   I’ve started really appreciating the musical dexterity and craftsmanship of U2 and Genesis. The Edge is such an amazing guitarist, and Mike Rutherford’s got some darned impressive licks too. I can’t believe I’m admitting this, and have to concede that for someone so image conscious, it’s a major concern.

(2)   All of a sudden, monitoring energy usage, and trying to keep energy bills as low as possible, has become of pivotal concern to me.

This could be due to some evolutionary, hormone driven change that occurs in a man of my calibre around this sort of age, whereby preparing for the future and potentiality of providing for (and protecting) a family becomes paramount over the concern for oneself.

On the other hand, I might have really loved Bono for ages, but just been too embarrassed to admit it.

Life is such a minefield.

However, tapping my feet to ‘Mysterious Ways’ I can live with; keeping the fuel bills down is becoming something of an impossible task.

E.ON, my ever faithful German energy supplier (and I do love the Germans, as evidenced here), has gone on the record to say fuel bills will continue to soar without let up while crude oil prices skyrocket.

The pressure to regenerate an ailing and inefficient energy network is also preventing energy suppliers from reducing premiums. The cost of building new power stations, overhauling existing power plants, and integrating renewable energy sources into the energy infrastructure will shake out at around the £100 billion mark.

It’s the energy suppliers who must foot this bill.

So what can I do?

Well, I recommend those of you out there who have an E.ON online account to get yourself the ‘Energy Tracker’ tool. It provides you with a daily breakdown of your energy usage, the results of which can prove to be startling. Take the following for example:

• Boiling a kettle uses as much energy as it takes to run a fridge for eight hours.

• The Central Air facility in my flat costs 75p an hour to run. 75p an hour.

• The hairdryer is more expensive to run than the cooker.

• Running my computer uses very little energy at all.  

In energy saving terms, the Energy Tracker has revolutionised my outlook.

With reference to my coolness rating though, it doesn’t really help. If only someone would invent a meter which illustrates how much damage listening to Genesis can do to your credibility.

Phil Collins though: what a drummer. Who needs a real kit when you’ve got electronic drum pads?

 Another one bites the dust

Ok, a quick round up of a few happenings in the world of energy that occurred during my absence last week:

(1) The FA Challenge Cup, sponsored by E.ON, was deservedly won by Portsmouth on Saturday. It finally hit home for me why E.ON has spent the best part of £35 million on sponsoring the event this year; it’s all about the final isn’t it? E.ON hoardings, E.ON blimps, E.ON giant sized foam hands, even E.ON emblazoned ribbons on the cup itself.

Did I see ‘We won this cup thanks to the power of E.ON’ type flags being waved by the victorious side, or were my eyes deceiving me? Presumably ‘We won this cup thanks to a dodgy penalty at Old Trafford and some astute dealings in the African transfer market’ didn’t fit.

(2) I’ve had a number of aggrieved npower customers write to me this week in response to this story:

npower slammed by customers

One such complainant reported being told by an npower door to door salesperson his monthly electricity bill would not exceed £40, only to receive a first quarter bill for £600!

My advice, if you’re having no luck with the customer services department of your provider, is to complain about corporate miss-selling through Energywatch (the utilities watchdog). There are two ways to do this, either tell your story to Energywatch, and they will complain on your behalf (adding credence to your complaint), or use their online ‘letter wizard’ to construct a hard hitting and concise written argument.

In fact, I’d suggest tackling both.

(3) Finally, a strange week for British Gas, who surmised the strong possibility of further price rises during high summer (a price hike that’s been anticipated within the industry for some time), then cut the cost of their Click 5 online dual fuel tariff.

Again, I like to throw in my two penneth worth, but this is a no brainer. Take advantage of the cheap energy while you can, get yourself online, and sign up for Click Energy 5. It may not last forever, but Click Energy 5 is currently the cheapest way to buy your fuel.

 Press the button marked ‘Exploitation’

Today’s post could easily have been named ‘I Love the Germans, Part Drei’, and I mention this because each time that headline gets used, a certain someone in a number 13 shirt tends to do the business for Chelsea. So for the sake of superstition, and Bolton at home, I’ll crowbar it in once more. Let’s face it, we need all the help we can get.

I don’t know how up to speed with the energy switching scene Herr Ballack actually is, but I’m sure he’s (somewhat reluctantly) been subjected to meet and greets with E.ON company bigwigs at this season’s FA Cup fixtures. The 2007/8 English FA Cup is sponsored by E.ON, and will be contested by a team from Wales, and a rudderless gaggle of journeymen from a shack on the south coast.

Having heard on the grapevine fuel prices are set to rise again this summer due to skyrocketing crude oil costs, adverse weather and strike action, it got me wondering; how much does it cost E.ON to sponsor the FA Cup?

Well, here are my findings, with a few extra gems thrown in for good measure:

FA Cup sponsored by E.ON

Cost of Sponsorship: £32 Million

Annual aid payment by E.ON to the elderly: £4.4 Million

2009 Ashes Series sponsored by npower

Cost of Sponsorship: £11 Million

Percentage of vulnerable customers on an npower social tariff: 0.02%

EDF Energy Cup, Rugby Union

Cost of Sponsorship: £8.5 Million

Percentage of annual turnover spent on elderly customers: 0.1%

Scottish and Southern, sponsors of Scottish Rugby

Cost of Sponsorship: £6 Million

Number of customers plunged into fuel poverty by last price rise: 620,000

The statistics speak for themselves and need little interpretation from me. The bottom line is this money frittered away on sponsorship and corporate jollies should be given to those in fuel poverty. End of story.

One question I will ask, does the advertising make the supplier seem more attractive to you? Does it even work?

It doesn’t affect me at all. As much as I love Association Football, I wouldn’t choose E.ON purely on the strength it sponsors the FA Cup; it’s just not part of my criteria.

Has anyone been swayed by a clever advertising campaign?