nPower bill question

Glen_Sharpe

I'm not sure if I'm being daft, but I've received a bill from nPower today that doesn't make much sense to me.

The bill says that in six months I've used £172.48 in electricity, and that I owe £76.48. I've paid four direct debits totaling £96.00 (3x £23 and 1x £27 after I increased the amount myself). All of this is correct, my issue is that nPower are planning to increase my payment from £27 to £37 to cover my estimated usage over the next six months and the current debt. They estimate that I'm going to use £130.71 of electricity (including a £40 dd discount), and to this they're going to add £49.48 (the current debt minus the £27 dd they'll take tomorrow). So my estimated total for the next six months comes to £180.19.

What's troubling me is that nPower are saying to work out my new dd total they are taking this number and dividing it by 5 to give a monthly payment (rounded) of £37. Now am I just being stupid to think that they should be dividing this by 6 to give £30? If they are dividing by 5, then along with the 5 dd I will have paid by tomorrow, their numbers are assuming I will be paying 10 monthly dd over 12 months. Surely I should be paying 12? Am I missing something here?

I've read that nPower's customer service is not great, so want to make sure I'm not mistaken before querying this.

HappyMJ

What you could do is clear the arrears then calculate your average monthly usage and offer that figure monthly. I'd do that after the next DD payment has gone through in a few days as it won't cost you as much. It looks like your average monthly usage is about £30. As you only made 4 payments of £23 and £27 instead of 6 payments of £30 then you are in arrears.

Glen_Sharpe

I understand why I'm in arrears, what I don't understand is why nPower are saying they will take 5 dd payments over the next 6 months rather than 6. They've only taken 5 in the first 6 months bill period as well. If they continue at that rate and I stay with them for 6 years (which I won't!) then I'd be one years worth of payments in arrears.

I don't mind increasing my dd to pay the amount off over six months, rather than paying it all off tomorrow, my only issue is by how much they are proposing to increase my payments.

HappyMJ

Your normal monthly usage is £28.75 per month (£172.48/6). They are asking for an extra £8.25 a month to clear arrears of £76.48 and you think that is too high? I am getting that correct?

Glen_Sharpe

The £76.48 becomes a lot less if you read what I have originally written about them including this months £27 (£49.48)

They are estimating a usage of £21.79 (130.71/6) a month plus £8.25 (£49.48/6) of debt. That comes to £30.04. So yes I do think an extra £8.25 a month is too high when £3.04 would cover it.

As I've said I have no issue with increasing the payments. My issue is with their dividing a 6 month bill by 5.

Glen_Sharpe

Phoned npower who didn't seem to see anything confusing about charging someone 10 monthly direct debits in 12 months and telling them they were going to be approx 2 months in arrears so would need to up the dd for 5 out of 10. So guess it's just me.

Anyway, paid the full amount and they're going to keep me at £27 a month. Happy enough with the customer service adviser, just the dodgy maths I can not get my head around.

HappyMJ

Glen_Sharpe wrote: »

The £76.48 becomes a lot less if you read what I have originally written about them including this months £27 (£49.48)

They are estimating a usage of £21.79 (130.71/6) a month plus £8.25 (£49.48/6) of debt. That comes to £30.04. So yes I do think an extra £8.25 a month is too high when £3.04 would cover it.

As I've said I have no issue with increasing the payments. My issue is with their dividing a 6 month bill by 5.

The problem is you are using a future credit of £40 which you won't get the benefit of until the next billing year so your usage is really around the £170 mark for 6 months. That's around £28 per month.

Glen_Sharpe

I did consider that, but npower used the £40 discount in their calculations so I thought I should too. I'm just confused about being charged 10 times in 12 months. Of course I'm going to be in arrears if they haven't charged me for 2 months. Anyway, sorted now.