Many UK charities face financial burdens due to mis-sold energy contracts. These contracts often involve hidden fees and undisclosed commissions, leading to inflated energy costs that detract from their charitable missions. This article explores how charities can identify and seek mis-sold energy claims compensation, and how Claim Business Energy can assist.
Understanding Mis-Sold Energy Contracts
Mis-sold energy contracts occur when brokers fail to disclose their commissions or include hidden fees in the contract. This lack of transparency can result in charities overpaying for their energy needs, often without realising the additional costs involved. This greedy tactic from energy brokers can put your business and charity in difficulty as you manage the expanses of unreasonably priced energy to operate – with no additional benefit. Luckily the law is on your side and you could be owed an average claim size of £35,000 through missold energy claims compensation.
Common Signs of Mis-Sold Contracts:
- Hidden Commissions: Brokers may embed their commissions within the contract price, making it difficult to discern the actual energy costs.
- High-Pressure Sales Tactics: Brokers may use aggressive sales tactics to rush charities into signing contracts without proper review.
- Lack of Transparency: Contracts with unclear terms and hidden fees, or brokers not providing a copy of the contract.
- Unexpected Bill Changes: Sudden, unexplained increases in energy bills could indicate hidden fees.
Missold Energy Claims Compensation: The Impact on Charities
Many charities have discovered significant hidden fees within their energy contracts. For instance, Caritas Care found that undisclosed broker commissions had increased their energy costs making it more difficult to operate their adoption charity. A hearing resulted in the judge ruling in favour of the charity. The judge ruled that the broker acted as an agent for the client, neglecting their fiduciary duty to act in Caritas Care’s best interests. By seeking compensation, they managed to reclaim thousands, which could be redirected to their charitable activities.
Steps to Seek Compensation
First: Review Your Contracts Carefully review all energy contracts to identify any undisclosed fees or commissions.
Then: Gather Evidence Collect relevant documents, including contracts, bills, and all correspondence with brokers or energy suppliers.
Finally: Consult an Expert Engage with experts like Claim Business Energy, who offer free initial consultations and work on a no-win-no-fee basis. Their expertise can help identify mis-sold contracts and guide the compensation claim process.
How Claim Business Energy can help you
Expertise and Experience: Claim Business Energy has extensive experience in handling mis-sold energy contract cases. They offer detailed analysis and practical advice tailored to charities’ needs.
Transparent Process: They provide a straightforward, hassle-free claims process, allowing charities to focus on their core activities while their claims are handled professionally.
Free Initial Consultation: Charities benefit from a free initial consultation to understand their position without any financial commitment upfront.
Don’t wait, reclaim
Mis-sold energy contracts can significantly impact charities, diverting funds away from their essential work. By understanding the signs of mis-selling and seeking expert help, charities can reclaim overpaid amounts, ensuring more funds are available for their charitable activities.