IT DOESN'T take University Challenge superbrain Gail Trimble to work out why energy companies put their prices UP with IMMEDIATE effect.

But when they announce they're going to drop them it takes months before any changes are made.

Long-promised cuts are due to happen in two weeks. But don't rely on that-it's time to switch NOW, save at least £200 a year and bag a crate of wine on top.

When British Gas announced price cuts in January, I yelled: "Don't Switch!" That's because energy companies have a herd mentality. When one moves, the rest soon follow, so if you compare then you could leave the supplier that will eventually be cheapest.

Now, all bar ONE of the six major suppliers have announced price reductions, and while it's likely npower will follow suit, there's NO guarantee.

As tariffs billed online are cheapest, but fewer of those have changed, a comparison now should give close to the best possible result. Also, switching supplier can take three months so delaying means being stuck on a pricier tariff for longer. And if a blockbuster deal is launched, you could always switch again.

A DROP IN THE OCEAN

SADLY, the price cuts are more price nicks. Not one supplier has shaved average rates more than 10 per cent and cheap online tariffs have hardly changed.

Yet the wholesale rates THEY pay are nearly HALF those of last summer. After last year's colossal rises many homes will still pay as much as 40 per cent more than in January 2008, even after price reductions. So to really save money, take advantage of competition and COMPARE, DITCH and SWITCH.

SWITCH AND GET CASHBACK

TO find the cheapest supplier- whether you're on a pre-payment meter, quarterly bills or direct debit- ask a comparison service. Tell it your energy use and address, and it will calculate the lowest-charging provider.

As some price cuts don't kick in until the end of March, not all new prices are yet public. Yet most of the cheapest deals are available for comparison, especially if you're willing to get an online tariff.

There are two ways to compare:

PHONE them eg the Energy Shop (0845 330 7247), Energyhelpline (0800 074 0745) and uSwitch (0800 404 7908).

Or go ONLINE and you can bag some serious freebies on top. But don't go direct to comparison sites as you may miss out on incentives. Top deals such as £30 cashback, £35 Amazon vouchers, or a £40 crate of wine are available. See www.moneysavingexpert.com/energy for all links.

You can also save about 10 per cent paying by monthly direct debit, though check your meter readings regularly to make sure you're not being overcharged.

If you're in financial hardship, check whether your provider has a special "social" tariff, but don't assume it's always the cheapest-online tariffs can undercut them. And, of course, reduce the energy you use too. Flick off lights and stop running taps.

SHOULD I SWITCH FROM A CAPPED RATE?

IN July 2008, it was certain energy prices were going to rise. There were three cheap caps left, and for those scared they couldn't afford price hikes

I yelled: "Cap now" meaning prices are fixed for set periods.

British Gas soon announced its 30 per cent hike, and many people have been saving ever since. But with prices now falling, some who capped are questioning their deal.

Research from uSwitch says: "Energy prices would have to drop by £185 or 16 per cent before consumers on competitive fixed-price plans would be losing out. Households that took out a fixed rate plan in July 2008 are currently paying £143 a year less on average than households on standard plans."

Yet it's always worth double checking against the current top-value tariff plus factor in any exit charge. If you chose to cap AFTER August's price rises, you probably picked up an expensive deal, so a comparison today could throw up big savings.

Q & A

Q CONSIDERING the poor bank interest rates, I'm considering putting some money into Ernie Bonds.

If everyone who has them decided to withdraw their money, are they guaranteed to get the full amount back, or would only so much be guaranteed? JANET WALKER, by email

A PREMIUM Bonds come from the government-backed National Savings & Investments (NS&I), so they're about as safe as it gets, and your money is guaranteed.

Yet you can only put £30,000 in them, and these days the government promises to protect up to £50,000 per person per financial institution in UK banks, so that's not as big a deal as it used to be.

Plus Ernie has an interest rate of just 1.8per cent, whereas top cash ISAs more than double that and are tax-free. To see how much you're likely to win use the probability calculator at www.moneysavingexpert.com/premiumbonds

Q I FOLLOWED your advice and successfully got my house downgraded a band for council tax.

My local council is refunding the difference in payments backdated to 1993.

Clearly, a £100 difference in 1993, would need to be approximately three times that to be worth the same today, yet the council won't pay the interest. KEITH DIXON, by email

A CONGRATS, if you're getting a backdated rebanding payout, it will be in the £1,000s.

As for the interest, actually £100 in 1993 is worth about £150 now, so it's not quite as much as you say.

Of the many successes we've had on this, I've heard very few stories of councils paying out interest. So you're in for a tough fight.

Q I USED section 75 rules to claim via my credit card company for faulty cubboards after the retailer went into administration.

But it's dragged on for five months now. What can I do? CHRIS O'HALLARAN, by email

A SECTION 75 means the credit card company is jointly liable with the retailer for goods over £100.

If the card company doesn't pay out, the only recourse is to take them to court.

Fill out a form online at www.moneyclaim.gov.uk . For things under £5,000 in the small claims system you don't need a lawyer and costs CAN'T be awarded.

QUESTIONS for publication to notw@moneysavingexpert.com

TV Money Guru Martin Lewis is the creator of the Consumer Revenge website www.MoneySavingExpert.comwhich is packed with info on how to get more money in your pocket.

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