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  • FIRST POST
    • veryintrigued
    • By veryintrigued 15th Sep 17, 8:02 PM
    • 2,027Posts
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    veryintrigued
    Ovo energy - up to 5% interest for credit balance up to £1000
    • #1
    • 15th Sep 17, 8:02 PM
    Ovo energy - up to 5% interest for credit balance up to £1000 15th Sep 17 at 8:02 PM
    I've received a flier from this company and thought this probably better in the Savings than in the Energy part of the forum.

    Just a question really - does anyone really use this company on the premise of making (up to) 5% (in year 3) - its 3% in year 1 on balances up to £1000?

    It doesn't show up at the top for any G+E best buys for me so Ive discounted it as I'm not likely to swap to them - just wondered if I was the 'last to know' about this offer.

    I'll bet they are extremely keen to ensure DD payments match balances such that any interest paid is a minimum!

    As I say - just been nosey really!
    Last edited by veryintrigued; 15-09-2017 at 9:28 PM.
Page 1
    • TheTracker
    • By TheTracker 15th Sep 17, 8:48 PM
    • 1,113 Posts
    • 1,109 Thanks
    TheTracker
    • #2
    • 15th Sep 17, 8:48 PM
    • #2
    • 15th Sep 17, 8:48 PM
    I do exactly this.
    They aren't so keen at all on reducing your DD, and if they do send you a letter, you can override it at will.
    The 5% email came a couple of months ago, seems generous based on the 3% I've been enjoying until now.
    • veryintrigued
    • By veryintrigued 15th Sep 17, 9:09 PM
    • 2,027 Posts
    • 1,267 Thanks
    veryintrigued
    • #3
    • 15th Sep 17, 9:09 PM
    • #3
    • 15th Sep 17, 9:09 PM
    Interesting, thanks for the reply.

    I don't think the interest gained would equate for the higher price in G+E for me - even with the maximum £50 per year back.

    Glad it works for you.
    • fatbelly
    • By fatbelly 15th Sep 17, 9:24 PM
    • 11,229 Posts
    • 8,395 Thanks
    fatbelly
    • #4
    • 15th Sep 17, 9:24 PM
    • #4
    • 15th Sep 17, 9:24 PM
    I get 4% from them at present on my credit balance - interest paid monthly.

    I originally went with them because the prices were good and customer service was rated excellent. I haven't found customer service that good actually - but things have settled down.

    I have built up a large credit balance after they suggested upping my direct debit.
    • greatkingrat
    • By greatkingrat 15th Sep 17, 10:53 PM
    • 43 Posts
    • 47 Thanks
    greatkingrat
    • #5
    • 15th Sep 17, 10:53 PM
    • #5
    • 15th Sep 17, 10:53 PM
    If OVO were to go bust, is there any sort of protection for credit balances, or could they be lost?
    • dales1
    • By dales1 15th Sep 17, 11:59 PM
    • 22 Posts
    • 14 Thanks
    dales1
    • #6
    • 15th Sep 17, 11:59 PM
    • #6
    • 15th Sep 17, 11:59 PM
    I would also like to know about credit balance protection.

    But in the meantime, MSE recommends their 2 year fix as a top deal, but it ends today (Saturday).

    I've already switched, and they seem very efficient so far,

    Dales.
    • TheTracker
    • By TheTracker 16th Sep 17, 11:52 AM
    • 1,113 Posts
    • 1,109 Thanks
    TheTracker
    • #7
    • 16th Sep 17, 11:52 AM
    • #7
    • 16th Sep 17, 11:52 AM
    If OVO were to go bust, is there any sort of protection for credit balances, or could they be lost?
    Originally posted by greatkingrat
    See https://www.ofgem.gov.uk/publications-and-updates/ofgem-safety-net-protects-consumers-cash`

    It seems not a formal protection limit, but more a due consideration in the Supplier of Last Resort guidance for protection of credit balances. e.g. it's feasible in the case of a SOLR arrangement that the supplier caps the balance, but in my view more likely they'd be under great pressure by ofgem to honour credit balances. I consider it a very low risk to keep a grand in credit, others might see it as a large risk. Depends what a grand means to you
    Last edited by TheTracker; 16-09-2017 at 11:55 AM.
    • talexuser
    • By talexuser 16th Sep 17, 12:06 PM
    • 2,253 Posts
    • 1,725 Thanks
    talexuser
    • #8
    • 16th Sep 17, 12:06 PM
    • #8
    • 16th Sep 17, 12:06 PM
    I just joined the 2 year fix after the MSE energy club BG deal finished, and wondered just how much I could over pay the DD to get the 3%. I assume you would also have to declare the interest to the taxman.
    • TheTracker
    • By TheTracker 16th Sep 17, 12:26 PM
    • 1,113 Posts
    • 1,109 Thanks
    TheTracker
    • #9
    • 16th Sep 17, 12:26 PM
    • #9
    • 16th Sep 17, 12:26 PM
    I just joined the 2 year fix after the MSE energy club BG deal finished, and wondered just how much I could over pay the DD to get the 3%. I assume you would also have to declare the interest to the taxman.
    Originally posted by talexuser
    Ovo say "you don't have to pay any tax on the money we pay you, because it's actually a prepayment discount for the energy you'll use in the future"
    • talexuser
    • By talexuser 16th Sep 17, 1:00 PM
    • 2,253 Posts
    • 1,725 Thanks
    talexuser
    Thanks. Now what if they let you get away with significant overpayment and then at the end of the deal switch with a credit balance, an even better deal
    • silvercar
    • By silvercar 16th Sep 17, 1:25 PM
    • 35,876 Posts
    • 151,082 Thanks
    silvercar
    Thanks. Now what if they let you get away with significant overpayment and then at the end of the deal switch with a credit balance, an even better deal
    Originally posted by talexuser
    Or even make an initial lump sum payment (in order to protect yourself from heavy winter usage/ to maintain the DD at a lower level/ deposit a credit received from previous supplier).
    • fatbelly
    • By fatbelly 16th Sep 17, 3:26 PM
    • 11,229 Posts
    • 8,395 Thanks
    fatbelly
    I just joined the 2 year fix after the MSE energy club BG deal finished, and wondered just how much I could over pay the DD to get the 3%.
    Originally posted by talexuser
    You can change the DD via the website to pretty much anything you want to.
    • Malchester
    • By Malchester 16th Sep 17, 5:03 PM
    • 25 Posts
    • 9 Thanks
    Malchester
    I am with Tonik Energy and they too have interest on credit balance. They have excellent customer service and are the cheapest green energy company
    • fatbelly
    • By fatbelly 16th Sep 17, 7:55 PM
    • 11,229 Posts
    • 8,395 Thanks
    fatbelly
    I am with Tonik Energy and they too have interest on credit balance. They have excellent customer service and are the cheapest green energy company
    Originally posted by Malchester
    Interesting. Yes, a flat rate of 3%

    It appears igloo do the same
    Last edited by fatbelly; 16-09-2017 at 8:24 PM.
    • Reaper
    • By Reaper 17th Sep 17, 10:25 AM
    • 6,106 Posts
    • 4,171 Thanks
    Reaper
    Thanks for the Ofgen link Tracker, I wasn't aware of it. I used to be with Zest Energy and lost money when they went bust, so was wary of schemes like these, but that semi-guarantee looks reassuring
    • redux
    • By redux 17th Sep 17, 12:36 PM
    • 17,117 Posts
    • 21,683 Thanks
    redux
    For reasons as yet unknown, the energy deals MSE recommends have never been competitive in my supply area.

    This includes Ovo now. 5% interest on £1000 isn't worth having if the tariff costs £60 more than several rivals.
    • talexuser
    • By talexuser 17th Sep 17, 9:56 PM
    • 2,253 Posts
    • 1,725 Thanks
    talexuser
    The difference is the Ovo deal is fixed for 2 years, and the marginally cheaper ones in my comparison only 1 year. I was with Ovo 2 switches ago and it was fine. Saving £30 a year with firms I've never heard of to give up the 2nd year fix at todays price was not worth it for me.
    • do163600
    • By do163600 17th Sep 17, 11:02 PM
    • 1 Posts
    • 3 Thanks
    do163600
    I've also switched to Ovo for the 2-year deal.

    Don't forget, if your over-payment DD is from a Santander 123 account, you also get 2% cashback on top. Win-win.
    • silvercar
    • By silvercar 18th Sep 17, 11:38 AM
    • 35,876 Posts
    • 151,082 Thanks
    silvercar
    I've also switched to Ovo for the 2-year deal.

    Don't forget, if your over-payment DD is from a Santander 123 account, you also get 2% cashback on top. Win-win.
    Originally posted by do163600


    Didn't think of that, so 2% + 3% is looking good. Shame the limit is £1000. Now wishing I had set up the gas and electric separately to get interest on £1000 on each of them.
    • talexuser
    • By talexuser 18th Sep 17, 2:35 PM
    • 2,253 Posts
    • 1,725 Thanks
    talexuser
    if your over-payment DD is from a Santander 123 account
    Originally posted by do163600
    That's exactly what we do!
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