Friday, March 16, 2012

To Fix or Not to Fix?

I am in a dilemma with my gas and electricity supplier. My fixed price period is coming to an end, something which I am very glad that I did. However, I have been offered a new deal but I am not sure whether to take it. My new deal is 7.2% above the prices in January (they have put them down 5% since). This means that I am paying more than the standard rate but it will be fixed for three years and therefore protect me against any price rises.

I want to do the thing which will save me the most money, but it hard to know which that will actually be. I have heard that an energy supplier has just put its prices up and it is expected that others will follow but it will be a while before they go up as high as I will be paying on this new contract. So difficult to know what to do, just wish I had a crystal ball!

My instincts are usually right when it comes to these things, I chose a tracker mortgage just before rates fell and am paying 0.49%+base rate which is fantastic, I fixed my utility bills before and saved money and I Invested in premium bonds and have seen a much higher than average return. But what to do this time......I am thinking fix at this point in time but will discuss it with family over the weekend and see what they think.

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