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Unfair fees
I am seeking help and advice re the use of token meters for gas and elec. A couple on benefits reside in a 1 bed council flat fitted with a token mtr. Being unable to keep up with the rising cost of fuel they have fallen into arrears, this means that when they require fuel they are on an emergency tariff at a much higher fee, causing them to owe more for less. No matter how much money they put into the mtr it takes a back payment and then put them onto the emergency tariff, it is an endless cycle of debt which smacks of Dickensien money lending practices forcing them to be forever in debt. Brit Gas is the supplier, the couple only have pay as u go mobile phone and are using £££ worth of credit on the 0800 number, every way they turn they are spending money and getting less product, how can I help?
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"Unfair fees", "Dickensian money lending practices"? With such unknowledgeable prejudices I am not sure you are the ideal person to be offering them help.
There is no difference in the overall price of the tariff when they use the emergency credit. It is not more expensive. (In fact, they get a few more units per pound whilst on emergency - this may be confusing them as, obviously, this is clawed back when they bother to top up the meter.)
0800 numbers are free to call from a public call box.
What tariff are they on? The prices of prepayment tariffs vary wildly - they need to consult a comparison site. Ebico is one supplier whose tariffs they should consider. Alternatively they could install a normal credit meter for access to a full range of tariffs.
You can help by telling them the story of the grasshopper and the ant, tell them to read their meters to avoid going in to debt in the first place in the future, tell them that they are supposed to top up the meter regularly - not just when it is about to conk out, tell them that they are supposed to put money aside in summer when it is warm and when they use less energy so that they have funds to spend in winter, tell them everyone has to adjust their budget in winter, tell them to stop wasting money on telephoning 0800 numbers, tell them to make sure they are not using an excessive amount of heating or electricity (make sure they are not sat inside all day with televisions and heating on for three times as long as everyone else), tell them Job Centre Plus offices and employment agencies are well heated, etcetera.0 -
Thanks Kim, that saved me a lot of typing. The whole 'emergency credit costs more' myth keeps getting perpetuated no matter how many people explain how it works.
A couple of things to l add
There is a mobile friendly number for PP meters too, for exactly this scenario - 0330 100 0303. The cost is the same as calling any landline.Being unable to keep up with the rising cost of fuel
PS, I work for British Gas0 -
For you elec do you actually mean a token meter (buy tokens at shop) or do you mean a key (credit purchased and put on meter using plastic 'key' about the size of a USB stick or smartcard meter (credit purchased and put on meter using a credit card type card)? If it is the former they need to get it replaced asap as these can not be updated remotely so everytime there is a price change it is not reflected on the meter to someone comes round and updates the meter manually.
Also when you have a prepayment meter, it will always take debt repayments and used emergency credit money before it gives more gas. As already said using emergency credit does not cost more per unit it just comes as a shock if you use up all the £5-10 emergency credit and have to repay it all in one go. If suppliers didn't offer emergency credit when you run out of money no more fuel just like a prepay mobile phone.IT Consultant in the utilities industry specialising in the retail electricity market.
4 Credit Card and 1 Loan PPI claims settled for £26k, 1 rejected (Opus).0
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