Am I missing something?

benjo

I think I must be missing something here and would love your thoughts.

Quick summary, with BG for over 2 years, initially paid £54 per month DD, which was reduced by them to £39 per month since after the first year I was over £200 in credit.

Been paying £39 for just over a year and today got my bill, which said

" We've found that your payments will need to change from £39.00 to £54.00 from 01 December 2010, and that you're due a refund of £114.60 on 03 November 2010.

I rang the help line today and it was explained, your monthly DD goes up because you have no credit,

Me - but I have no credit because you refunded it...

Yes, because you were paying too much and were over £100 in credit, so we refunded you.

Me - Ok then why have my payments gone up by 39.46%?

To cover your winter usage

Me - but if you think Im going to use more in winter, why have you refunded my credit before winter?

Policy.

Me - Ok, but given that a payment of £39 per month put me already into credit over a one year period, which included the coldest winter in decades do you now feel that I have to pay £54 per month?

Well, our prices have gone up

Me - Im on a fixed tarrif and even if I wasnt your prices have gone up by 40%?

No, well, I cant explain it, it's just policy. You can cancel your direct debit if you are unhappy, but you will loose your discount.


Is it just me or does this seem really daft?

brewerdave

You couldn't make it up,could you:rotfl::rotfl::rotfl:Sounds like a really bad bit of computer programming....hence "computer says no....so "

dogshome

Hi benjo - You couldn't make it up

OK, you know your tariff and how much you use, work out your annual bill and D/D level to clear it, then send it to BG in a letter headed Complaint asking that if they are working to some other formula that produces a D/D requirement of £54, you require that they notify you of this in writing

SwanJon

benjo wrote: »

Well, our prices have gone up

Me - Im on a fixed tarrif and even if I wasnt your prices have gone up by 40%?

This is a bit worrying, as their prices haven't gone up. More training required.

benjo wrote: »

Is it just me or does this seem really daft?

Yup, but it is a bit of a no win. There are plenty of threads complaining that they are in credit and want the money back.

Check that all the readings are accurate, and put in readings on a regular basis. You'll probably find that it'll get reassessed again in 6 months.
You could try calling again to get someone with a bit more common sense and customer service - have you r last years consumption with you to back up your numbers and you should be able to reduce it a bit.

frankenstein

Eon did that to me, gave me a refund of my credit and then put the DD up.

It will still worked out the same though.

t0rt0ise

Personally I would prefer it that way. The money we pay each month should cover the month and no more as far as I can see otherwise we are paying way in advance and I don't want to do that.

dori2o

Just phone them and tell them the DD is too high and to revert it back to what it was. If they refuse then tell them you will do a chargeback on the Direct Debit under the Direct Debit guarantee as you do not agree the amount.

Then write to the ombudsman.

SwanJon

dori2o wrote: »

Just phone them and tell them the DD is too high and to revert it back to what it was. If they refuse then tell them you will do a chargeback on the Direct Debit under the Direct Debit guarantee as you do not agree the amount.

They don't have to give you a DD. If you reject the amount and can't persuade them to change it, they can just cancel the DD and revert you to quarterly and you lose your discount. Not the money saving way.

dori2o wrote: »

Then write to the ombudsman.

On what grounds?

Swipe

Moral of the story, opt not to get the refund and stay in credit. The interest lost on £200 is pennies and you'll have a nice lump sum when you decide to switch.

benjo

Many thanks for the responses.

It isnt about me not being able to afford it - since I paid more than this when I first went with BG.

This really is about the complete nonsense of refunding money because I have paid too much and their policy wont allow that and in the same line ask for more money to ensure I pay enough, surely it will only give me a bigger refund next year? which I dont mind, but I would still love to hear the rationale.

I have written to them and asked them to explain the logic in refunding money then asking for more money and also to explain how they came about their calculations of a near 40% increase - I will let you know their response.

Yellowcard

Is the fixed price tariff Price Protection by any chance?