EDF Fixed Saver V2 to Blue+: Users Beware

arrowtan

Many thanks for the replies. When I signed up for Blue+, I was on Quarterly billing. The change to DD occured last week (31/10/12). This is a change of payment plan.

EDF's terms for changing payment plan to DD are that agreed outstanding amounts (£140 or less) will be spread over the next 10 months. The original payment plan message (which has now disappeared online) saying they would collect £124 on 15/11/12 implied that this was not agreed and therefore generated the lump sum DD payment.

After contacting the call centre I received verbal agreement that the lump sum would not be collected and that payments would be £24 on the agreed DD date. My outstanding balance Online is now £0. I have nothing on paper or email to say that the debt is now agreed and that this is to be spread by DD.

I'm now wondering if they are going to collect the lump sum anyway and claim it's due to T&C's, as a result of switching Tariffs to Blue+, when the real issue was changing to DD. If I challenge the lump sum DD payment, I don't appear to have a leg to stand on as I have nothing on paper regarding my banks DD Guarantee scheme other than what happens to be online at the moment. One of the perils of paperless billing.

Can I force EDF to send me a complete schedule of ALL DD payments in writing?

To add to my concerns, having looked at my yearly usage projection, £24/month will not cover my annual usage + outstanding amount of £70, my DD should be around £34/month. I'm inclined to cancel the DD with the Bank before they have a chance to collect the lump sum and sort it out that way.

Any other suggestions on how to take this forward?

steve-L

arrowtan wrote: »

Can I force EDF to send me a complete schedule of ALL DD payments in writing?

Of the legal side I'm unsure. You would think so but I'm not a contracts lawyer.

What I know on contracts law is if you write to them amending the contract this should supersede any existing one. If you had any cause to go to the regulator later then they would be on a sticky wicket.

Why not write a letter stating the terms as were on the payment plan (mentioning it has now disappeared) and then write the payment plan as you understood it.

Specifically mention that any changes to this should be made in writing (I'd go as far as to say a letter).

Given the inefficiency of utilities this doesn't really mean they won't just mess up anyway but then you can write back saying they are in breach of contract if they deviate.

The main issue is (from my perspective) that clause that says they do not need to use your meter reading. This means they can do everything else and then just make an exorbitant estimated use up and so long as they inform you they can then charge you.

In the end they don't want to waste time/energy by having to deal with customers, much less any interference from the watchdog. They will only do what is profitable overall so just make it the simplest option for them to stick to the payment plan.

JohalaReewi

arrowtan wrote: »

If I challenge the lump sum DD payment, I don't appear to have a leg to stand on as I have nothing on paper regarding my banks DD Guarantee scheme other than what happens to be online at the moment. One of the perils of paperless billing.

For a DD guarantee scheme claim, you don't need any paperwork. You just ring up your bank, tell them the DD amount was taken in error and you would like a full and immediate refund under the DD guarantee scheme.

The bank are not judge and jury over whether the DD was valid or not and do not need any evidence. If you say it was an error, the bank has to take your word. Banks understandably might try to put you off or make you wait for a refund but under the DD guarantee scheme, they have to give you an immediate (within 24 hours) refund.

arrowtan

Too Late! Steve-L was right. EDF took £70 from my account TODAY, without written, email or online account notice and despite verbal assurances from EDF saying that they would not, causing my debit card to be declined and an unauthorised overdraft charge.

Bank immediately reversed the DD and cancelled the mandate. Thanks Johala!. I'm going to calm down and then send EDF a letter arguing the points Steve-l mentioned.

If you collect by DD, you MUST adhere to certain rules and be transparent in the dealings with the people you collect from. DD is not a means to randomly dip your hands into the pockets of your customers. BACS can decline a licence to collect from EDF if they can be shown to be abusing the system, and I am inclined to write to BACS as well.

JohalaReewi

arrowtan wrote: »

Too Late! Steve-L was right. EDF took £70 from my account TODAY, without written, email or online account notice and despite verbal assurances from EDF saying that they would not, causing my debit card to be declined and an unauthorised overdraft charge.

Ouch.
Did your bank also refund the overdraft charge?
There is a shortcoming with the DD guarantee scheme in that it is only the DD that is covered. Any charges incurred as a result of the erroneous DD are not covered and the bank doesn't have to refund them meaning you then have to claim then from the naughty company.

JohalaReewi

arrowtan wrote: »

Bank immediately reversed the DD and cancelled the mandate.

Reversing the DD is good.
Cancelling the DD mandate is not so good.
Many suppliers who operate a discount for being billed by DD will put you onto their standard tariff if you cancel the DD. Might be an idea to check your EDF account to see if this has happened.

arrowtan

The DD was reversed because EDF have no online record of an agreement to deduct a lump sum payment nor was this agreed over the telephone. The Bank suggested I cancelled the DD until the issue was resolved with EDF, as otherwise this would allow them to attempt to immediately recollect the lump sum. Good advice.

Having now carefully read Blue+ small print, the only clause regarding arrears is that EDF may decline transfer to Blue+ if the customer has excessive arrears. I am still on Blue+ according to my online account. The small print does not imply that EDF may collect any arrears as a result of the transfer to DD or the transfer to Blue+.

EDF have agreed the transfer and it is still in force according to my online account. I am on ESA (Incapacity Benefit) and dreading the fact that verbal agreements I make with them to spread outstanding amounts (Already agreed with them!) and transfer to DD will result in the same outcome, so I will be writing a complaint letter and see where that gets me.