EDF Deducting Credit Amount After Applying VAT, Is this right?

OkeyDokey_2

Hello

Can anyone help - can't get a reply from EDF as its Sunday.

I actually managed to be £87 in credit on the last quarter (first time ever), looking at the bill it appears they do not deduct this credit amount from the bill until after they have applied the VAT, which doesn't seem right or fair to me. Is this right? And on top of this they have told me they are going to increase my direct debit payment???:mad:

Sorry if this has been answered elsewhere on here, I have searched but couldn't find anything.

Many thanks

snowcat53

Hi. I'm not clear why you would expect different. Think of it like a bank statement- they owe you £X (after all VAT, discounts etc) then you have another bill (inc VAT) of £Y (inc VAT) which is applied to give the new balance X-Y.

As to the DD increase this is common and usually utterly unjustified. Make sure you know your annual usage and expected bill - if your current DD will match this over the year argue it is correct unless they can demonstrate your usage has increased

brewerdave

It is a well established fact that the "computer" EDF uses for DD calculations is broken!! Every time a meter reading is input it seems to trigger a bill and a recalculation, the basis of which EDF are totally incapable of explaining adequately(or indeed explaining at all IME!)

victor2

You have to pay VAT on your energy usage. You had £87 credit to offset your bill and it comes off the balance, including VAT. They don't charge you VAT on the payments you give them, so you can't expect them not to add VAT onto the usage you're being billed for.

As for the DD recalculation, you will have to contact EDF to get that sorted out. They're usually good at doing that once you actually get through to them.

snowcat53

as an alternative to the dreaded phone line you can send a message from the online 'my account' (when it isnt down, like today) or email [EMAIL="customerenquiries@edfenergy.com"]customerenquiries@edfenergy.com[/EMAIL]

undaunted

Vat isn't charged by the company it's charged by the Government!

EG if you used £100 of energy & the vat was 5% the Government want their £5. The fact you may have been £87 in credit before using that £100 doesn't alter the Governments demand it just means that you only have £18 left to pay.