Know your rights with utilities

Young people across the country have been taking advantage of diminished property values to get onto the property ladder by snapping up previously inaccessible homes.

However, unlike their more established counterparts, whose prior experience may have taught them a few lessons, especially where utilities are concerned, first-time buyers have a lot to learn.

One of the important areas they need to focus on, once they make a transition into being owners, is knowing what their rights are in regard to water, gas and electricity supply.

Although most gas and electricity suppliers are licensed by the regulator Ofgem to provide customers with both gas and electricity, homeowners are under no obligation to get both from the same source.

It is worth noting that while certain gas suppliers will offer to provide both fuels under one contract, others have separate arrangements in place for gas and for electricity.

According to the Citizens Advice Bureau (CAB), those who provide dual offers "will often give a discount off the total bill", although consumers are still advised to exercise some discretion.

This is because "this does not necessarily mean that gas and electricity under a dual offer will be cheaper than that bought from separate suppliers", hence the need for some financial astuteness.

Guidelines have also been put in place to protect consumers and suppliers are required to stick within certain parameters inside a code of practice produced by the Association of Energy Suppliers (AES).

With cold calling being an issue for some people, consumers will be glad to know that the guidelines cover all methods of selling gas, including door-to-door trade and telephone sales among other things.

Most suppliers have committed to the code, which requires all forms of advertising and promotion to be accurate, fair and reasonable, meaning false or misleading information from the companies and their representatives is banned.

Sales agents are only allowed to call at people's homes between 9.00GMT and 20.00GMT, unless specifically requested to make contact outside the stipulated time period.

In addition to identifying themselves by producing ID without being asked to, sales agents are also obligated to ensure consumers have understood their contract, including information about any right to cancel, before a deal is sealed.

CAB states that if the guidelines are not followed, homeowners may be entitled to compensation and consumers can cancel their contracts within seven days if they change their mind after signing a contract to buy gas from someone who called at their home.

To avoid the inconvenience of having to cancel deals, new property owners and other consumers can use price comparison websites to search for the best deal that suits their circumstances.

However, it is important to use more than one comparison site to ensure they get the very best deal.