Help!!

Worriedchislehurst

Last week I received a bill from my Gas and Electricity supplier, it was around £300 for gas used between Nov 2010 and Feb 2011. I sent a meter reading in a few days before this bill was received as they had requested it. At the end of the week I received a re-assessed gas bill for £1030.00.
I emailed them to ask why this was so much and they said because all other meter readings from June 2009 (I moved in May 2009) had be estimated.
I am a single parent of 2 children (ages 5 and 4), and whilst I work full time (I'm out of the house between the hours of 7 a.m and 6 in the evening), my budget is tight and so to pay £1000 straight off is not an option. I have put forward to them a plan of paying £125/quarter, on top of any other bills I receive from them and they have rejected this. They have said about chaging my meter to put the £1000 defecit on this meter but I privately rent the house I live in so I can't do this either as I don't think my landlady would accept it.
The supplier has asked for £136 pcm this is calcualted the £1000 arrears and my "average" usage they have calcutlated at £95/month.
I can't afford this. I live in a small 2 up 2 down.

I am really worried, can anyone advise me of the best way to deal with this please?

undaunted

You should be able to negotiate payment over the same period it accrued (so your £125 though slightly lower than it may end up probably isn't too far out). Suppliers License conditions state they are supposed to consider affordability in any payment plans. If you are in genuine difficulty making payments & have difficulty in agreeing a payment plan with your supplier it may be worth contacting your local CAB or Consumer Direct (have details of your incomings, outgoings etc to hand) who may be able to refer you to Consumer Focus depending upon your circumstances.

Unfortunately suppliers are currently required to read meters only every 2 years & can issue continued estimates if they fail to get a reading though I think that's far too lax & should be stopped personally.

KimYeovil

So you offer £410 per quarter (on average) but they want £408 per quarter and you are complainiing?!?!? Seems a lot of stooshie over £2 (in your favour!)

Worriedchislehurst

Hi Kim,

No I'm offering £125 per quarter and they want £136 per month

pibatad

Worriedchislehurst wrote: »

Hi Kim,

No I'm offering £125 per quarter and they want £136 per month

did u keep an opening meter reading? what company is it? have you spoke to more than 1 person if so escalate it to a complaint and speak to a manager.....

spiro

undaunted wrote: »

Suppliers License conditions state they are supposed to consider affordability in any payment plans.

This condition applies to any debt recovery rate set on a ppm, it does not cover credit meter. The reason being that a ppm will cut you off if you dont keep up a credit meter wont.

This bill means that you have received about 6 gas bill and never checked they, you do have some responsibilty to do this as suppliers only have to read the meter every 2 years.

Your LL has no say if the company want to install a ppm.

Premier_2

Usually the best a supplier will allow a customer is a payment plan that repays a debt over the same period it accrued.

So in this instance you owe just over £1000 that accrued over a period of ja little under 24 months. Even allowing rounding in your favour, that means you need to repay £41.66 per month plus your ongoing usage.

Your ongoing usage is claimed to be £95 per month

So £95 + £41.66 (allowing for rounding again in your favour) means you have to pay £136 per month.
(remember you have already effectively had £1000 for almost 2 years interest free, and ths arrangement allows it to remain interest free for another 2 years whilst you repay)

If you currently consume £95 worth of energy per month (£285 per quarter), they will never accept a proposal from you to pay just £125 per quarter as you will be just getting into more debt based on usage, before even beginning to address the existing debt situation.

If you mean you are happy to pay £125 per quarter (£41.66 per month) to address the accrued arrears over and above your ongoing usage, then what's the issue?

energysavingexp

£95 per month for gas where do you live north pole ?
turn down your heating and put on more clothing.

Worriedchislehurst

Not quite the north pole.

Thanks to everyone for advice and feedback. Lets see what happens.

Worriedchislehurst sitting in hundred jumpers

undaunted

spiro wrote: »

This condition applies to any debt recovery rate set on a ppm, it does not cover credit meter. The reason being that a ppm will cut you off if you dont keep up a credit meter wont.

Where exactly does it say that?

Suppliers cannot just disconnect the supply & must follow various steps - which might include offering a pre payment meter if they don't already have one - but if the customer makes a reasonable / affordable offer of payment by other means & sticks to it on what basis do you believe the supplier can refuse?

KimYeovil

Worriedchislehurst wrote: »

Hi Kim,

No I'm offering £125 per quarter and they want £136 per month

That is not what you wrote in your first post - you said £125 per quarter on top of what you are billed. £125 + 3 x £95 = £410.

But, apparently, although you have historically used £95 per month, and you have a debt of £1000, offering to pay £42 (less than half your useage) is a perfectly reasonable proposition!!! <scratches head>

You can limit your debt repayment to about £14 per month - that still makes a quarterly payment of £327. If you are not prepared to pay £109 per month then it looks like you have to switch to a prepayment meter.