Prepayment meter debt affecting credit rating!

cd0770 · 23 February 2017 at 11:24PM

Just wondered if this was happening to everyone with a pre payment meter with debt. So we have pre payment meters gas and electric and there's debt on there from 2011 which comes off each week. So long story short I checked credit score after been refused mortgage in principle, thinking my credit was pretty good. The way n power shows is 18mnths of delinquency on my experian credit report :eek: my argument is that I pay for my gas and electric upfront and pay in fact more then ppl w/o pre payment meters and yes we have this old debt but it looks like we don't pay anything, The mounts of debt decreases but looks like I just don't pay so credit rating now v poor. Is this happening to everybody with meters and debt?

Arleen · 24 February 2017 at 12:45AM

Please correct me if I am wrong, but as I understand you used to have metered supplies that you didn't pay, so they have forced you to take on a prepayment meter?

If that is the case then you may be confusing two things. What you top up your pre-paid meter with is strictly for your ongoing use. Besides that, you have a debt from 2011 for some sum. Do you pay that debt in some way? Is it on a payment plan? Or did you pay it off since?

sourcrates · 24 February 2017 at 1:44AM

Arleen wrote: »

Please correct me if I am wrong, but as I understand you used to have metered supplies that you didn't pay, so they have forced you to take on a prepayment meter?

If that is the case then you may be confusing two things. What you top up your pre-paid meter with is strictly for your ongoing use. Besides that, you have a debt from 2011 for some sum. Do you pay that debt in some way? Is it on a payment plan? Or did you pay it off since?

If a customer has an agreed repayment arrangement with there supplier, the gas or electricity meter will automatically collect what they owe when they credit there meter.

So both arrears and current usage is paid in the same way.

Ben8282 · 24 February 2017 at 5:44AM

Yes the above is correct. The arrears are taken at a fixed amount each week as the pre-payment meter is topped up.
What I don't quite get is how this is being reflected on the credit report. You mention 18 months of delinquency yet say the debt is from 2011 which is more than 18 months ago. You also say the debt is decreasing but it looks as if you are not paying anything. How can that be? If the balance is decreasing then obviously payments are being made.
What is the status of this account on the credit report?
Does it just show a (decreasing) balance each month?
What is the monthly code being reported? Is it 0, 1 .... ?

cd0770 · 24 February 2017 at 10:53AM

Thanks for the replies. so the debt was big and each week we pay a agreed amount via the meter and then we have to keep the meter in credit or the gas and electric simply turn off. The status on the credit report is 6,6,6, and the account is in delinquency but the amount we owe goes down but we do pay or we would be in darkness and freezing! i just wondered if anyone else had this happen, I'm now just going to have to pay it off as soon as possible as its decimating my credit score.

chanz4 · 24 February 2017 at 12:45PM

If you have the deposit, pay the debt off

Prepayment meter debt affecting credit rating!

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