EON - what can i do????

minerals

I got a letter from EON today, ive been with them for about 8 months.
The letter stated that my monthly direct debit will be going up from £158 per month to £240 per month!

I called them to ask what this was about and as my account was in the red by about £500 (still paying off an old bill from an old property) the 'estimate' if they charge me £240 a month i will have a zero balance by august - quite why it needs to be august i dont know

I explained that i had 2 young children, one 3 months old who has been ill since birth, so we have ahd the heating on more, along with very cold weather - but i felt there estimation was way off - as surely in a month when the weather gets better i wont have the heating on and the £158 per month i currently pay would be enough - here answer was we estimate ove the summer months my monthyl bills will be £105 - i dont see how as we wont have the heating on (which is probably the cause of all this)

I asked if they would keep it at £158 over the next 4 months or so - se how the balace is then, if there is still a large balance then i woiuld pay it off - the lady i spoke to said they could not 'accomodate' that.

something that really bugged me was the lady i spoke to said if you dont agree to the £240 per month and cancel your direct debit (something i didnt even mention) then the full balance would have to be paid within 14 days or they would start court proceedings.

I really cant afford £240 per month for a fuel bill, i am making high enough monthly payments, but i was spoken too like i was a real bill dodger.

So can they do this? what can i do? i can pay the £158 and not have the heating on as much which will bring it down, but apparently as i stands i will have to pay them £240 per month or pay them the full balance of £500 odd within 14 days, any advice?

KimYeovil

If you don't want to pay for your fuel in advance then you are free to change to a more expensive tariff. And be required to pay quarterly bills within 7 days.

You already appear to have been given 8 months to pay off a debt (interest free). You are being given a further 6 months to pay the remainder off. What is wrong with that?

If you don't want to pay £240 per month then you are, of course, free to pay them the £500 you still owe them.

(And if you've been with them 8 months then you had 4 months last summer to build up a credit. Your summer useage can't be that low if you are still in the pickle you are in. I'd believe them rather than you.)

space_rider

Is your bill based on an accurate reading? I have 2 chronically ill children so I`ve had to keep heating on too. I read my meter at least once a month and adjust my DD a few times a year so that I don`t pay more than I have to but also to make sure that I have enough to cover me for my winter bills. If the bill is accurate you`re going to have to pay what they suggest and then try and reduce your useage. Once you`ve paid off what you owe them then move to another supplier if you`re not happy with Eon.

Also are you on the cheapest of their tariffs? I have used 22% more this quarter than last year but because I changed to the fixonline tariff with a decent discount it didn`t work out any more expensive than last year.

minerals

KimYeovil wrote: »

If you don't want to pay for your fuel in advance then you are free to change to a more expensive tariff. And be required to pay quarterly bills within 7 days.

You already appear to have been given 8 months to pay off a debt (interest free). You are being given a further 6 months to pay the remainder off. What is wrong with that?

If you don't want to pay £240 per month then you are, of course, free to pay them the £500 you still owe them.

(And if you've been with them 8 months then you had 4 months last summer to build up a credit. Your summer useage can't be that low if you are still in the pickle you are in. I'd believe them rather than you.)

Wow - thanks for the support!

Im not exactly 'in a pickle' i was basically asking if an energy supplier can 'force you' to up your monthly payments, when i am in fact making headway, bringing down my balance at a price that Eon themselves agreed on

space_rider wrote: »

Is your bill based on an accurate reading? I have 2 chronically ill children so I`ve had to keep heating on too. I read my meter at least once a month and adjust my DD a few times a year so that I don`t pay more than I have to but also to make sure that I have enough to cover me for my winter bills. If the bill is accurate you`re going to have to pay what they suggest and then try and reduce your useage. Once you`ve paid off what you owe them then move to another supplier if you`re not happy with Eon.

Also are you on the cheapest of their tariffs? I have used 22% more this quarter than last year but because I changed to the fixonline tariff with a decent discount it didn`t work out any more expensive than last year.

I'm on the Eon online taffif which i think is the lowest but will check, i think its hit a lot of people hard with the freezing weather

KimYeovil

No they can't force you to accept a higher payment. But they can then refuse you your current tariff prices, switch you to a more expensive one, and demand the immediate paying of any monies owed. If you are unhappy with the terms of their interest free loan shop around and find one cheaper.

macman

You say your current debt is 'about' £500 (you don't know?), but are you actually reducing this at the present level of DD? If not, or it's increasing, then it's not surprising that they want to increase your payments now, as this is the time of heaviest usage.

minerals

macman wrote: »

You say your current debt is 'about' £500 (you don't know?), but are you actually reducing this at the present level of DD? If not, or it's increasing, then it's not surprising that they want to increase your payments now, as this is the time of heaviest usage.

when i am in fact making headway, bringing down my balance at a price that Eon themselves agreed on

yes the balance is £513 which has come down from £700 over the past 3/4 months

macman

minerals wrote: »

yes the balance is £513 which has come down from £700 over the past 3/4 months

Yes, but your consumption in the last month or so has probably soared, along with everyone else's, and will remain high until the end of winter-you might not get your overall debt going down again until a couple of months after the heating is switched off in the warmer weather.

Pincher

£158 a month is £1,896 a year, which should be more than what you use,
and so reduce your debt.

You are talking to somebody who has no discretion to make changes.
The EON rep here should be able to point you to the right department for this. Offer to pay a bit more, and do some calculations to prove that it does indeed reduce the debt. Write with your offer, keeping copies, which will prove that you have taken reasonable and responsible action, in case it goes to the ombudsman.

The borderline for fuel poverty is rising all the time. You need to make your home as fuel efficient as possible.

Good luck.

[Deleted User]

Believe it or not, there is worse lol.

I took my eye off the ball with my utility bills (have an autistic child and relationship problems so been a bit stressed) and its bitten me where it hurts.

To cut a long story short.., I was put on the wrong rate and as I pay by direct debit didn't get a bill for a year so it seems I owe £1,400 and I'm in doodoo land. Selling my car and just hoping i can come up with enough to make a hole in the debt. I'm on benefits, have cut useage to minimum (got a meter to monitor it) and sit in the dark most of the time to save money. I have one thing on at a time.., pc, lights or TV and have cut my electricity usage in half. We wear more clothes and use less gas for the heating.., its only on for a short while even at this time of year. I'd rather cut back on what I can so I can keep the essentials like the fridge/oven going.

They offered to put me on a card meter but had nightmares in the past with them and u don't get the discounts u do with direct debit payment accounts so I'd rather go for a shorter term way to pay off, even if more 'painful'.

So I'd advise you to cut your useage as much as you can to help u pay the debt off as quickly as possible. Its suprising how much u can cut back - meters can be obtained for free on https://www.britishgas.co.uk/productoffers if u receive tax credits or other benefits (altho they are supplying minims which are not incredibly accurate but its a guide that will allow u to see where u can cut back without too much hassle).

I hope this helps.

DirectDebacle

minerals wrote: »

Im not exactly 'in a pickle' i was basically asking if an energy supplier can 'force you' to up your monthly payments, when i am in fact making headway, bringing down my balance at a price that Eon themselves agreed on

I suspect that the increase they are asking is more to do with their policy of having all DD accounts at zero balance in the spring. See this thread:

http://forums.moneysavingexpert.com/showthread.html?t=2262031&page=2

DD of £240 to zero the balance by August is excessive according to the figures you give.

Reducing the debt from £700 to £513 over the past 4 months avgs a debt reduction rate of £46.75 p.m. Some of these months have been the coldest for many a year. Between now and August the debt reduction rate should significantly increase.

Eon agreed a DD of £158 to pay for your energy and reduce the debt. At your current debt reduction rate this leaves £111.25 to cover your energy useage which is pretty close to the £105 the Eon rep told you. I think this figure is probably what your DD should be if there were no debt and was set to produce a zero balance after 12 payments.

Is your anniversary date with Eon in August?

Assuming you have paid this months DD you have 6 payment dates up to and including August.

Eon's Est useage £105 * 6 = £630

Debt = £513

Total = £1143

DD = £190.50

This assumes a constant debt reduction rate. An increase in this rate by reduced consumption will of course repay the debt earlier.

If you haven't done so give up to date meter readings and obtain the precise balance of the account. You should be able to calculate whether Eon's figures are accurate or not and have a sensible discussion with them re the DD.