British Gas - In credit £107 - Refund with a catch

pimento

I see from my latest bill that I'm £107 in credit on my electric account with British Gas. They say I can have a refund of £70 (?) but if I opt for the refund, they will put my direct debit amount up from £34 to £40 "in case my account goes into debit later on".

Is there a way around this? I can't go payment by bill because of the tariff I'm on.

Plushchris

You should be in credit over the summer as your usage goes down and then use it up in the winter, doesnt seem too unreasonable of them to put the DD up if you take that money back to me..

McKneff

No, there isnt a way round it.

You have to choose, one or the other.

pimento

It irks me to give them extra money though. I wish I could just go back to the old days of receiving a bill every quarter and paying it.

smidgey

You can do - you just need to be on a tariff that allows it.

I'm presuming you're on an online tariff that requires you to pay by DD?

I'm currently £250 in credit for both gas and electricity which will be staying where it is in case this winter is as bad as the last

pimento

Thing is Smidgey, I'd rather that money was in my bank account rather than BG's.

I'm on an online tariff, yes.

Plushchris

I'm with Ovo and earn 3% interest on any credit I have with them, so better there than in my bank account..

jalexa

pimento wrote: »

Is there a way around this? I can't go payment by bill because of the tariff I'm on.

If you continue to benefit from being on a "direct debit tariff" there is no way round it - unless the British Gas assumptions and calculations are wrong.

You are entitled to a zero balance by the next review date (or however British Gas explain that in their customer information). Ask them for their assumptions and calculations - in writing (or email).

Post again if you don't understand the calculations or are unsure whether any "assumptions" are reasonable.

smidgey

pimento wrote: »

Thing is Smidgey, I'd rather that money was in my bank account rather than BG's.

I'm on an online tariff, yes.

Why don't you switch to quarterly variable direct debit then? It will allow you to keep your tariff whilst paying by DD and you won't be in credit or debit.

Your quarterly bill will be issued to you and 10-14 days later the full amount taken by DD.

pimento

My review date is in August. BG's web site says that as long as they have an accurate meter reading and I'm more than £100 in credit they will issue a refund.

I have this every year. I call and ask for a refund, they patronise me by saying "Oh, but your bill will go up in the winter" and then send me a refund.

If I'm consistantly in credit, surely my DD is too high!

I'll wait for the review and report back. Thanks

McKneff

Have a look how much your annual consumption cost you last year,
add some because its likely to rise, divide by 12, then decide if its too high.