Paying via DD

DGJsaver

Council Tax is one example of paying it when you want to , not when they want you too , it`s not all about being penalised to not use DD

KimYeovil

MarkyMark. I see you miss out the major problem of being trapped in an annual contract. Why are the 'discounts' not returned monthly?

MarkyMarkD

Because it's up to them how they give the discounts.

Not all suppliers do give discounts annually in arrears, in fact. Some of them give a discount off each bill.

Even if suppliers do (effectively) require you to stay for a year to qualify for the discount, why shouldn't they? With many other contracts there is a one-year minimum - many gyms, most mobile-phone contracts, any new BT contract for line rental, ...

It should be (and is) up to suppliers whether to offer a discount which is available for any length of contract, or whether it should be conditional on staying for a year.

People seem to think that money grows on trees, and that utility providers can afford to pay the costs of recruiting new customers (including paying lots of money in commission to uSwitch and the rest) even if customers switch left, right and centre. That's not the case.

As usual, it's the moneysaving savvy who are profiting at the cost of the remainder.

Annual, retrospective, discounts are one means for suppliers to attempt to redress the balance.

By the way, who actually does give the discounts retrospectively? The only one I've used which does so is Atlantic, but presumably that means the whole of the SSE group (Scottish Hydro, Southern Electric and SWALEC as well as Atlantic).

And, by the way, you aren't "trapped in an annual contract". Just because the discounts are retrospective doesn't mean you can't walk if the price goes up too much. It's a trade-off between losing the discount and incurring the price increase, and you have to make the decision accordingly.

KimYeovil

But when the discount is increases your bill to 170% of what it would be otherwise, this is a problem. And an annual contract discount should be declared as an annual contract discount, not misrepresented as a direct debit benefit.

I agree that cashbacks are an abomination. The sooner companies sort their databases out to combat serial abuse the better. It's funny that certain individuals who profess to caring should be so happy to pocket and advocate such lucre.

Npower have an annual discount. Most monthly discounts are, however, pro rata so are less of a tie-in.

Dreamnine

I'll never be paying by DD and am perfectly happy that way...

Cardew

DGJsaver wrote: »

Council Tax is one example of paying it when you want to , not when they want you too , it`s not all about being penalised to not use DD

I pay Council Tax by DD and there is no discount.

However with my Council if you don't pay by DD you don't have the option of "paying it when you want to" You have to pay in 10 monthly installments or all up front.

Do I have to pay the bill at once?


Everyone starts the financial year with the right to pay by 10 monthly instalments from 1st April. There are rules which have to be followed when we calculate your payments.

If you don't pay, your right to pay by instalments will be cancelled for the year. If you lose the right to pay by instalments it will be reset automatically for the next financial year.

1carminestocky

espresso wrote: »

Looks like your friends are the paranoid minority then, who would rather pay more than use the DD system, often cursed by those who have never actually used it!

A bit the like The Owl, then :rolleyes: Seriously, as regular readers will know I'm a semi-professional cynic....but have always paid my bills by DD. If there wasn't discounts available and you were a penny-piching accountant-type, there would be an argument for not paying a company until you really have to (quarterly in most cases) but the plethora of DD discounts available with the various companies negates this argument IMO.

1carminestocky

DGJsaver wrote: »

Council Tax is one example of paying it when you want to , not when they want you too , it`s not all about being penalised to not use DD

Have you tried this method, DGJSaver? :eek: Firstly, you will receive a rather pleasant reminder, ignore that and a rather less friendly reminder arrives, ignore that and it's usually followed by a court summons for the full amount (with associated additional costs). Having said that, it was many moons ago when I worked in my local council's Treasury Dept but I'd be very surprised if they are adopting a less strict payment scheme these days.

DGJsaver

Cardew wrote: »

I pay Council Tax by DD and there is no discount.

However with my Council if you don't pay by DD you don't have the option of "paying it when you want to" You have to pay in 10 monthly installments or all up front.

Not correct in my area (unofficialy) the bill is due on the 20th and we pay on the 1st of the month , to me that suits us much bettre and we dont get penalised for it , there seems to be a little flexibility with the council

Cardew

DGJsaver wrote: »

Not correct in my area (unofficialy) the bill is due on the 20th and we pay on the 1st of the month , to me that suits us much bettre and we dont get penalised for it , there seems to be a little flexibility with the council

Are you saying that you pay monthly on the 1st? i.e. 10 or 12 monthly payments by cheque/post or in person?