BRITISH GAS - Dont do variable direct debit anymore so you cant pay for what you use!

[Yankydoodledandy]

I've been on chat to an advisor for 30 mins - so I used to pay variable direct debit and would pay for what I used (gave meter readings) new platform they are using since November doesnt allow for this now. I can ring up and pay over the phone but the rate is higher and I will pay more. Totally crazy!!!

So this month I owe £57.00 this includes the Government payment BUT my direct debit is they are saying £110.00 per month. I want to pay what I owe - but I cant do this unless I ring up and then they charge more per unit.

They can re-assess every 6 months and if in credit they can "adjust" the payments BUT they are still taking more than they should - so annoying!!!!

@Onnabugeisha my friend is with BG she was £1400 in credit and got a email saying they were increasing monthly DD to over £400

I looked at her actual usages and it was £60 a month

She cancelled DD and now isn't paying anything for the next year to use back the credit

They are crooks.

Energy companies have £4.5 billion of customers money propping up their accounts

It sounds like you should be able to pay quarterly online, just not by DD. Would that be a better solution for you than the fixed monthly DD? Although the tariff rates are higher, but if you prefer to have your cash in hand rather than in a credit balance you can't access then it might be worth it.

We've been paying this way for years and I have no intention of swapping to an estimated monthly payment. BG haven't contacted us about moving customers over and I'm pretty sure they can't make you do it. Just cancel your direct debit and insist on a quarterly bill and then select to pay by direct debit. Ridiculous behaviour by them.

She didn’t have to do that. You simply have the DD recalculated until it’s fair. I’ve done it. You don’t have to choose between accept their DD or cancel and pay a higher rate.

This is from Martin Lewis:
“While it causes many frustrations, if the standard monthly fixed direct debit didn't exist, it's the type of thing I'd be calling for energy firms to introduce. Smoothing out your costs over a year is a big boon for budgeting and done right should make life easier. So if it isn't an issue for you, stick with it.

The problem comes when you feel the estimated direct debit is wrong – and usually the real frustration comes when it is too high, especially if you've built up lots of credit.

The first thing I'd try and do is see if you can fix that. Make sure you're on a smart meter or giving regular meter readings. If you are, then use our Is your direct debit fair? calculator to see whether actually the direct debit is justified and just feels high because of the price hikes. If it isn't fair, speak to them to try and get them to lower it.

If none of that works, then variable direct debit becomes a decent option, but you have to be prepared to shell out more in the winter, and see big swings in what you pay.”

You can pay quarterly by variable DD or at least you could. We do with British Gas and have been for a while. But looks like they are changing that- in which case we'll be going elsewhere- as we switched to variable direct debit to avoid the inflated amounts they were asking for per month when we were already hugely in credit.

@Ricco12 From Martin Lewis
www.moneysavingexpert.com/utilities/what-are-the-price-cap-unit-rates-/

Almost everyone is on the energy price cap now so this is mostly accurate. You can see the price cap for direct debit and on receipt of bill.

@Ricco12 also the price cap varies region by region. Everyone can check if your company overcharge you from this. But generally, for most people, unit and standing charges are highest for those on receipt of bill. Like everything, it might not apply to every region.

I just wish we could see what Gas we’re using with BG, it doesn’t show for us - known issue apparently.

I'm with British Gas for both electricity and gas. I pay quarterly, on receipt of a bill, by logging into my BG account and paying the full amount owed by card.

Separately, I pay a monthly amount into one of my online savings accounts each month in line with my average fuel usage/12 and use this to pay each quarterly bill when it arrives.

Far better that my money is building up in my own savings pot, controlled and accessed by me, than BG. It's worth the slight difference in unit charging rates to me to keep full control over my own money.

Yes, I understand that everyone pays for what they use...
But by the time Scottish Power reduced a direct debit to the proper level it could have a serious impact on our finances. It is not a risk I am willing (nor can afford) to take.

We've set our finances up so other bills come out over the summer months instead.

Assuming this is Electricity, from the Martin Lewis's list, it looks like you are given the goverment cap for Northern Scotland for DD pricing. The equivalent ofgem cap for Northern Scotland is

Unit rate: 35.78p per kWh
Standing charge: 57.37p per day

I wouldn't complain to your power company if I were you. They are charging you less than they could.

@SnowAndFrostOutside that's the price I'm paying I have put above

I pay quarterly by debit card

I live in NE Scotland x

Try EDF.
We pay a fixed DD but they are easy to work with and we’ve never built up a massive credit.

Yes, so my guess was right you are getting the DD cap for Northern Scotland! According to Martin Lewis, they can charge you more for payment on receipt of bill because you are below the cap. Don't complain! But anyone finding themselves above the cap should definitely ring customer service and ask why.

Perhaps your friend isn't using them for both gas and electric? I'm also with BG and if I switch to monthly direct debit for gas and electric I'll get a discount. It says so in the paperwork they send me

@Snowflake2 we compared for electric only and both paying the same.
I don't have gas as rural we use oil. So couldn't comment on gas.

Ive just had same experience . I was given no notice of any changes other than migration was happening to a new system NO indication anything needed changing . First thing i noticed was they changed my DD payment date in effect taking two months payment out of one salary payment . Since nov 6 they’ve been telling me they will sort it and only a couple of days ago did they mention variable DD is not available at this time . I opened a case with he ombudsman due to the poor customer service as ive had 4 different tales of what’s happening , ive had unfrequented reversals of a bill they corrected for me after the migration again no explanation . I have checked the DD agreement and i believe although they can change amounts they can’t change payment dates of type of direct debit without discussion and agreement .

You could raise a complaint with the ombudsman i am back in touch with them Monday to see how the case will be progressed . On British Gas website they are advertising variable direct debits for business users so must have the capability

Ive also raised a formal complaint to British Gas

Do what I do. Tell them to set your DD at below the lowest rate your bill might be. Each month pay the difference through the app or phone. Every now and then they will try to increase the DD but just tell them not to. You are paying for what you use but still at the DD rate.
it works