Energy companies that treat us like ATM's

[grizzlyoldbear]

I’m £153.65 in credit with OVO and moving out on October 1st, but they’re still taking £200/month by direct debit to “build up credit” for winter — which I won’t even be around for. I’ve asked them to reduce it and got absolutely nowhere. Spent 2 hours on their online chat on Friday with an assistant and still no resolution. I'm not so good with manual payments, otherwise i'd just cancel the DD. How is this bloody legal? Is it reasonable to switch energy suppliers with 2 months left?

Basically they have to generate a bill but that took one month to get done and conversations with many many people. And now it is being checked which takes 30 days.

How this is considered appropriate is beyond me.

In the old days you used to be able to request a refund online but clearly that makes it too easy to get your money back.

I am so cross about it all.

Obviously bills go up in winter, but the monthly payment doesn’t for those on a fixed Direct Debit. Those who move to variable DD aren’t necessarily prepared for the massive difference between summer and winter bills.

Ovo used to do 5% interest on positive balances with them which was brilliant - some sort of legacy loyalty programme.

I left them when we moved and apparently I would be a new customer at the new house and wouldn’t qualify for the interest bonus. So much for loyalty.

Do not cancel your direct debit until you’ve checked the terms, many suppliers offer a DD discount if you’re on a variable tariff. If you cancel you could send up paying more in daily standing charge, and in unit prices

if you’re on a fixed, you can switch 49 days before the term ends and no exit fees will be applied.

however, suppliers have to wait for change of supplier readings to come through after switching before they can issue a final bill/refund. This is usually pretty quick, but can take up to 6 weeks from your switch.

I’d honestly call them and explain, they should be able to issue you a refund/put you on a variable DD which is where they take payment in full each month for your actual cost and no credit is built up for the winter.

Might be too much of a headache to switch for the sake of 2 months. However I completely agree with the ATM comment, every so often for no logical reason they'll take more than they should (once double) and if fight for a reversal. In the end we've set up a completely separate bank account for energy (bonkers)..... strangely they've not deducted the wrong amount since....yet...which I find a bit weird.

@onedogatoddlerandababy
"I’d honestly call them and explain, they should be able to issue you a refund/put you on a variable DD"

@grizzlyoldbear the OP says
"Spent 2 hours on their online chat on Friday"

Phone them. Speaking with someone is way more productive

Alternatively, I’d just view it as the credit to go into my new energy account at my new home.
although this is making the assumption you’re moving somewhere where you’re paying the bills/not sharing/leaving the country

I would switch tbh, I wouldn't tolerate that hassle.

I pay monthly with Octopus. I always do this however do have never tried to change from a DD to pay monthly. Hope they give you the option!

Just got off the phone with OVO. Apparently they can’t reduce my direct debit by more than 15% part of a “new scheme” to stop people falling into debt over winter. What an absolute joke. I actually feel sorry for the customer service staff having to absorb frustrated customers like me. Wasted two hours of my life and ended up just telling them to cancel the DD altogether. Awful experience.

I'm moving in November and this thread prompted me to check my balance with Octopus.
They now seem to want a minimum balance at the end of the year/summer of £200. God knows why.
£460 in credit but it did allow me to reduce my DD by 1/3. I will now be less in credit when I move.

I’m amazed about this as I’m a long standing BG customer ( gas and electric) and they are always reducing my direct debit and sending me money back , which I’d rather leave there for the winter .

Same here, @tinyspiny

I am with Octopus and I can manage the amount taken in direct debit online.

I reduce it in the summer without any problems and put it back up in the winter.

Change suppliers.

Variable monthly direct debit can work well. Monthly meter readings or smart meter is required. Of course the higher winter bills have to be prepared for. ( e.g by estimating winter bills and saving up through year). I got fed up of suppliers continuously trying to hold a positive balance in my account. Now I hold a positive balance in my own savings account. Doesn't make much difference but I prefer it.