E'ON increasing my DD by 25%!!

Hello, E'ON have emailed me to say they are increasing my DD following an 'annual review' by them to £98 which is an increase of 25% from the current £78 My present balance is £34.12 which will be covered by my next payment of £78 due on 1st Dec, which is less than 2 weeks away. Had they billed me after my December payment (as they did in 2011) I would actually be in credit by £43.88 which is up on the same time last year when I was £26.05 in credit. I was about to change my tariff to E.ON Energy Discount v1 as they were quoting £77.50 DD per month on this new plan compared to £80.93 on my current tariff. The last time they increased my DD they were quite rude when I phoned up saying how I should not be in debt to them at anytime of the year (conveniently forgetting to mention that I am in credit for most of the year and earning them credit interest in some bank account no doubt) and we met halfway with the increase. I live on my own and do not use gas and electricity to excess and appear to pay more than families I know!! Can I refuse the increase? Thanks
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Comments

  • flashg67
    flashg67 Posts: 3,995 Forumite
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    As I understand it, you can't refuse the change, other than revert to paying on receipt of bill. I've had the same issue with Npower - the DD increase would have meant me paying £200 above what they estimated my next 12 months bill would be. When I pointed this out, we came to a compromise.

    Does your Eon bill give you a projected usage for the next 12 months, and do the new payments match this? If not, politely request they look at it, but ultimately, you're in their hands to a large extent.
  • Thanks. I have asked them for further info on how they have come to the conclusion that I will be using 25% more gas and elec.(cost-wise) in the next year.
  • savemoney
    savemoney Posts: 18,127 Forumite
    First Post First Anniversary
    Wont some of the DD increase due to prices increasing this year, most of the majority utility companies have increased or are going to increase prices in next few weeks for Winter
  • Buzby
    Buzby Posts: 8,275 Forumite
    Does it matter? If you trust them to take money from your account when they want to (via a DD) it seems odd to complain about their forward crystal-ball gazing.

    Me? I wouldn't trust them to tie their corporate shoelaces correctly. EDF give me an 'annual review' EVERY time they generate a bill (quarterly) and their figures show IF I had a DD, my payments would veer erattically in both directions, so I laugh and ignore, amazed at how it all balances out with only the occasional price rise to notice.

    If, like me, you wouldn't trust them, WHY provide an restricted access to your hard-earned money? The customer is supposed to be king - so treat them with they contempt they treat you.
  • System
    System Posts: 178,090 Community Admin
    Photogenic Name Dropper First Post
    As I understand it, you can't refuse the change

    Incorrect. I phoned my energy supplier about a month ago when they sent me an increase in Direct Debit letter. I told them that i was still in credit and i would pay what i owe as soon as i owe it. (I'm pretty hot on reading the meter regularly and submitting meter readings to see how much in credit i am (or how much i owe).

    Anyway, Eon was happy to let me continue to pay the original amount.
  • jalexa
    jalexa Posts: 3,448 Forumite
    shopinitis wrote: »
    Can I refuse the increase?

    E.On have stated in this forum that a detailed explanation of the calculation will be provided on request. I suggest you ask for that, then, if you like, we can give more meaningful advice based on the calculation.
  • flashg67
    flashg67 Posts: 3,995 Forumite
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    Judi wrote: »
    Incorrect. I phoned my energy supplier about a month ago when they sent me an increase in Direct Debit letter. I told them that i was still in credit and i would pay what i owe as soon as i owe it. (I'm pretty hot on reading the meter regularly and submitting meter readings to see how much in credit i am (or how much i owe).

    Anyway, Eon was happy to let me continue to pay the original amount.

    Happy to be corrected - I may have been using old information.

    OP - try reading this link on MSE - http://www.moneysavingexpert.com/utilities/lower-energy-direct-debits - gives a good explanation of the latest conditions under the 'know your rights' section
  • Judi wrote: »
    Incorrect. I phoned my energy supplier about a month ago when they sent me an increase in Direct Debit letter. I told them that i was still in credit and i would pay what i owe as soon as i owe it. (I'm pretty hot on reading the meter regularly and submitting meter readings to see how much in credit i am (or how much i owe).

    Anyway, Eon was happy to let me continue to pay the original amount.

    sse wanted to inc mine from £34 to £58 a month i spoke to them and flatly refused to allow them to do so,especially when they supposably worked it out again while i was speaking to them and came up with £46 a month from nowhere
    this is electric only btw for a 480 sq foot property
  • E.ON_Company_Representative:_Helena
    E.ON_Company_Representative:_Helena Posts: 2,359 Organisation Representative
    Name Dropper Photogenic First Post First Anniversary
    Hi shopinitis,

    There have been many discussions on here about Direct Debit's and as jalexa say's if you need a full breakdown of the figures just ask us for this.

    In general though, it looks like your payments have been increased as your account is in debt, the account should be in credit at this time of year as this will go towards the higher winter bills.

    If you need any more help from me, just ask.

    Helena :)
    Official Company Representative
    I am an official company representative of E.ON. MSE has given permission for me to post in response to queries about the company, so that I can help solve issues. You can see my name on the companies with permission to post list. I am not allowed to tout for business at all. If you believe I am please report it to forumteam@moneysavingexpert.com This does NOT imply any form of approval of my company or its products by MSE"
  • Wywth
    Wywth Posts: 5,079 Forumite
    jalexa wrote: »
    E.On have stated in this forum that a detailed explanation of the calculation will be provided on request. I suggest you ask for that, then, if you like, we can give more meaningful advice based on the calculation.

    Yes, I think most suppliers (including E.On I hope!) will, where there is a dispute over the monthly DD to be collected, listen carefully to reasonable and logical based arguments from customers as to how much a monthly DD amount should be.

    But, as in any negotiating position, you need to understand their initial, considered position before going in with all guns blazing.

    Find out what there story is first, and then compose your own to counter it. We may be able to help you if you post all the details.
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