I've been thinking about changing providers to save money, even as often as quarterly.
Some advantages I can think of:
- Get bonus credits every switch (if offered)
- Avoid standard rates if special rate period is finished (often 12 months)
Are there things that I should be aware of if I switch often? How frequently do you guys churn?
I recently "switched" from Origin to Energy Australia, Origin's retention team then called and sent an offer that was insane like 32% off usage rates(8% more than Energy Australia). Their rates were also lower than Energy Australia (make sure to compare rates not just the discount percentages). They even paid my cancellation fees as I had already signed with energy Australia. So in my experience "switching" will be better, but see if you can talk to the customer retention department to see if they can offer you anything before you switch.
TLDR: Switched providers and signed new contract with Energy Australia, got called by Origin retention team who countered with better offer.
Yep, retentions have always given me my best deal. Shame I only end up doing it after every couple of years.
I switch as often as I can find a cheaper deal/better sign up bonus. Globird is the one that seems to have the best rates, so generally I change away from them to get a sign on bonus and then change back after 6 weeks or so. no issues thus far. I got offered to stay by one the providers with their super special discount (which I was annoyed about that I wasn't already on their best plan), but their super special still wasn't as low as Globird for my usage.
i'm in the process of doing that in conjunction with the amex energy deal, jumping from momentum to red and now lumo, but you gotta time your move to catch up before the deal expires.
I’d imagine a drawback of switching too often would be just keeping up with who the bill is supposed to come from, or making sure that the direct debit doesn’t continue after you switch.
I switch every year between AGL & Origin energy. Origin offered me 42% pay on time discount
Electricity is under $100 per month for me, 5 people in a house.
My experience in past 10 month:
Signed up to Simply energy with $100 signup credit. Then switched online to their RACV plan with better pay on time discount. They created a new account with $100 signup credit again. Then, after 2 months, due to a discrepancy in contract start date of gas and electricity, again signed up to the same plan online(as suggested by their customer care executive and I did mention online that I am existing customer). Again got $100 signup credit with 45% pay on time discount.
Then, switched to Amaysim with $150 signup credit and better rates. Recently switched to Tango with $50 signup credit and better flat rate even without any discount than others having 45% percent discount. Best part, 17c per unit is locked price for 2 years. no increases.
And yes, I havn't seen any mark or entry in my credit report.
Changing providers can be a nightmare. I went to change accounts from Origin recently but thought I'd try calling them first. When I told them I was about to leave they suddenly increased my gas discount by 7% and my electricity discount by 2%.
I changed providers roughy 3-4 monthss ago and thought I was on a good deal. I ran our bills through the Vic gov comparison website again yesterday and was surprised to find cheaper deals again, including solar feed in up to 15c
I was about to switch when I hesitated because I wondered if the credit checks they run affect your rating? Can anyone share? All my bills are paid on time, I just dont want to screw up my credit should I need it in the future.
Thoughts welcome.
I don't think changing your electricty retailer will impact your credit at all, especially seeing as you have always paid on time.
The biggest issue with changing retailers is paying out the remainder of your current contract (if you are locked into a 12/24 month). If you aren't locked in at the moment, then it is up to you to choose whoever you want. But if you are only 3-4 months into a new locked-in contract, it could be quite expensive to pay it off. I would check with the terms and conditions your retailer sent you in the mail to see where you sit
Possibly from them doing a credit check, but I doubt with the new credit reporting if it would have anywhere near the same effect as churning credit cards would.