Paying electric debt-can they force me to pay more than i can afford?

caroline83

Hi everyone,

Just wondered if anyone can advise me on my current situation. I've been paying my electric bill based on estimate's by the company (Southern Electric). Anyway, my meter was read by them and it turns out i'd been underpaying for almost 3 years.The last time my meter was read by them the bloke gave them the reading the wrong way round which made it seem as if my payments were correct & covering my electric.
I also have the wrong meter suited to my type of heating (SE fitted me with economy 7 because they thought I had electric storage heating when i don't) so I've ben charged more than I should've been had i had the correct meter (i've now got it changed!)

Anyway, I now owe them £535 because of these mix up's , I don't dispute I have to pay them as obviously I have been underpaying them but i agreed on the phone £80 a month. I explained I couldn't stretch to any more as I'm a ft student & have twin daughters-my student loan doesn't allow any more than that. I got the letter that they accepted my £80 a month but since then I've had two more demanding the full payment. My question is-what should I do, can they force me to give them more?
And does my £80 really not cover my electric & take a bit off my debt each month. As much as they insist I have to give them it all now, i simply don't have it in one lump sum. My friend was vistited by baliffs over a similar situation so this is really worrying me

Premier_2

If they've agreed a repayment plan with you, and you are abiding by that agreement, they shouldn't be asking for payment quicker.
Just send them a copy of the agreement you say you have in writing from them where they agreed to the amout per month as a repayment of the debt.

Note that this isn't the same as the amount per month you have to pay as you still have to pay for what you are currently consuming. Obviously if you are consuming more, or the price has increased, then you have to pay the extra too. The agreed repayment plan will only cover the debt.

Capyboppy

Does that £80 you agreed with them Caroline, include what they have assessed for your usage? You need to read the agreement carefully and check if this is the case, or if it is just the amount owing. I realise in your situation this could be very difficult if it doesn't include your monthly usage, and hope it does include. Either way, they should definitely not be making demands for full payment if they have agreed in writing to you paying that amount. Do let us know how you get on.

caroline83

Thanks i will. I guess the £80 must only be covering my elec useage each month or else they wouldn't be demanding the payment. On the phone the woman said it would cover it but i guess they must have recalculated afterwards. oh well, i shall ring them again:rolleyes:

Premier_2

caroline83 wrote: »

Hi everyone,

Just wondered if anyone can advise me on my current situation. I've been paying my electric bill based on estimate's by the company (Southern Electric). Anyway, my meter was read by them and it turns out i'd been underpaying for almost 3 years.The last time my meter was read by them the bloke gave them the reading the wrong way round which made it seem as if my payments were correct & covering my electric.
I also have the wrong meter suited to my type of heating (SE fitted me with economy 7 because they thought I had electric storage heating when i don't) so I've ben charged more than I should've been had i had the correct meter (i've now got it changed!)

Anyway, I now owe them £535 because of these mix up's , I don't dispute I have to pay them as obviously I have been underpaying them but i agreed on the phone £80 a month. I explained I couldn't stretch to any more as I'm a ft student & have twin daughters-my student loan doesn't allow any more than that. I got the letter that they accepted my £80 a month but since then I've had two more demanding the full payment. My question is-what should I do, can they force me to give them more?
And does my £80 really not cover my electric & take a bit off my debt each month. As much as they insist I have to give them it all now, i simply don't have it in one lump sum. My friend was vistited by baliffs over a similar situation so this is really worrying me

What does this letter say it covers?

caroline83

The letter just confirms my direct debit change to £80, the woman from SE on phone agreed with me £80 but on ringing them again yesterday they are saying they now won't accept any less than £100 a month because £80 only covers my electric useage & so will not reduce my debt. From now on i'm regularly reading my own meter!;)

Premier_2

Unfortunately that letter would simply be the advance notice to vary the direct debit amount collected that they are obliged to supply under the rules of the Direct Debit Scheme.

It is not an agreement to a repayment plan for the full debt amount.