We understand that your tenancy agreement may begin before the date that you move in and your payments are due soon.
The reason for this is that as soon as your tenancy begins your landlord/Agency passes all utility responsibilities to you. This commences from the date that your tenancy agreement starts.
Utility bills are a common area of confusion, although in most cases if a tenant’s name is on the bill, landlords are not liable for unpaid utility bills on their rental property.
So, even though you may not be residing at the property just yet you will have to pay the bills, the bills will be low as there will be barely any usage however you will still incur standing charges.
What is a standing charge?
Both gas and electricity have their own standing charge. This standing charge covers supplier operational costs, such as the following: Government initiatives and schemes aimed at helping vulnerable households and reducing CO2 emissions. Standing charges are typically listed as a daily charge on your energy bill.
The way Bunch works is that you are given an annual allowance which is split evenly each month. You will more than likely spend less in the summer than the winter, so this is a good time to save up allowances in your pot to go towards winter bills, if you begin to overspend you’re covered by the allowance you haven’t used and if you do not use it then you get it back at the end of your contract.
Depending if you have chosen the variable rate or the fixed rate.
Fixed Rate
A fixed-rate energy tariff can be a cost-effective way to manage your gas and electricity spend. How do fixed-rate energy tariffs work? A fixed-rate energy tariff charges a fixed price per unit of gas or electricity for a set amount of time
Why should you choose a fixed energy rate?
Security – a fixed rate keeps you protected against energy price rises. Budgeting – the regularity of a fixed rate gives you peace of mind. It’s also easier to work out your energy costs. Expensive energy – if wholesale energy prices fall, you could end up paying more than with a variable tariff.
Should you choose a fixed tariff or a variable tariff?
Fixed deals become less attractive if wholesale prices are high because suppliers have to charge more. Although a variable tariff may offer the cheapest prices at the outset, it might not in the future. If a fixed tariff isn’t the cheapest option, think if you are happy to pay slightly more to get the guarantee that your energy prices won’t go up.