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Prepay meters
Comments
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Some energy suppliers, including Npower don’t want to remove prepayment meters from rented properties because rental properties are higher risk for debt and PP meters are a guarantee that the customer will pay for the energy they use.
That is why irrespective of a credit check they wont want to remove the PP meter as once the 'good' credit check person moves out at the end of the tenancy after 6months for example the next tenant moves in might have a poor credit history.
If the new tenant doesn’t want to have a PP meter it is very hard for a energy supplier to force a PP meter to be fitted at an address, normally taking around 6 months to get a warrant by which time the tenant could have build up a large debt then just move out and no consequence except for the majority of customers who pay as we have to pay higher prices for issues like this which suppliers face.
So I agree with Npower not changing the meters, it might impact a few customers, but reduces the risk of debt which in turn can mean better prices for the majority who pay!
But, i was in a similar position as the OP, It was OUR flat we moved back into after we rented it out and Npower knew this as we told them that it was being rented out and we were even with npower while we lived in that flat for the previous four years and at the address we moved from before going back to the flat. We had NEVER missed a payment with them,and yet they refused to change the meter. Npower are just shooting themselves in the foot and the worst bit about them is that they try and get you to pay off the debt which lead to the meter being installed in the first place.
It is also unfair on the landlords who end up having these meters put in through no choice of thier own and it even put potential tenants off renting our flat because it works out around £15 pm more to use than it would if we were on a credit meter.0 -
Which is why energy suppliers state you have to be a customer for 12months in a rented property or look at the history of the property and see what the turnover of customers are at that address and if that is high then look at the debt history of those customers to make a formed decision on how high the risk is.
Except that nPower haven't looked at my debt history at all. It's also not consistent - why don't they therefore insist that all rental properties have a PPM?0 -
Npower always used credit checks until recently.
So, the fact they have changed this decision is because a) PP meters can force payment and b) they can be lazy about it and penalise anyone moving in.
If you complain hard enough about the lack of credit check, they will end up waiving the fee.
It's just that once one of these is in, they will try to keep it there to ensure payment. Even when you have a credit meter with DD, they are still giving you credit of some form. However, lets remember that they don't credit check anyone moving into a credit meter property as other posters are saying and either saying go elsewhere or you have to have a PP.
So, the issue of credit it's incorrect due to this inconsistency.
It comes down to, they are avoiding paying for engineers to come out and ensuring you are forced to pay the exact amount. This comes at the cost of customer service since other compnaies don't feel the same.
Remember, Npower have only recently introduced this policy of charging...until then, they did credit check...so it's a money driven situation at the cost of service.
In the grand scheme of building a house, when any could have a PP thesedays, it's a small factor!:rotfl: It's better to live 1 year as a tiger than a lifetime as a worm...but then, whoever heard of a wormskin rug!!!:rotfl:0 -
For anyone who is interested, I have spoken to the complaints department at nPower. It seems I could have the meter taken out immediately for £60, rather than having to wait 12 months, which was not mentioned when I first got in touch with them. When I said that British Gas would take it out free and immediately if I passed a credit check, the guy I spoke to eventually said that 'as a goodwill gesture', once I've moved in and opened an account with them, they will remove the meter for no charge. He was also very surprised to hear that BG do it free, so possibly this info will have an effect on nPower's policy (but I'm not holding my breath).
Anyway, mission accomplished!0 -
Oh well done. I doubt that the guy was surprised. They know what their competitors are doing but it sounds better to be surprised than to say "yeah we know, but we don't"0
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