British gas direct debit mess up

sniggings

Anyone have BG take to much on a D/D? they should only take £40 a month but have taken £87 this month, all payments are up to date so can't thnk why they have done this, it's caused a right mess, meant another D/D got returned, so I now have bank charges and more than likely charges from the unpaid D/D that got returned :mad:

Will BG paid these charges as it's a result of their mix up?

Find_The_Real

Hello Sniggings, was there any indication on the latest bill that they were increasing the charges to cover the payments? Also I presume you have not changed over the variable tariff where you pay for what you use each month rather than a fixed amount.

Probably the best thing is to give them a ring on Monday to sort it out as although some people have moaned about BG I have always found them to be very helpful. Not sure about paying the charges but they may perhaps offer a good will payment is it is their fault.

sniggings

yeah will do, just found this out, so have fired an email of to them, I've had no letters saying they were increasing it to £87, I've never used £87 a month even in the height of winter, my usage last month was only £57, balanced out over the year it should be fine at £40, it is the figure that they set, guess I have a wait till Monday, thanks anyway.

sniggings

just checked my account online, looks like they have just went and upped the monthly payment, from £40 - £87, they say I'm not on target to meet my usage! not sure how on earth they work it out over a year, if I've used only £57 in freezing feb, I can't see how they think I will not reach the target as surely they much realise and see from last year my usage drops to £25/30 a month after winter...so maddening, looks like I can kiss goodbye to getting the fees returned now.

daveyjp

Are the savings from a dd account when paying just £57 a month really worth the hassle? Especially if it means fees if they up the dd.

Why not find the cheapest pay quarterly provider with a prompt payment discount and then you are in control.

sniggings

daveyjp wrote: »

Are the savings from a dd account when paying just £57 a month really worth the hassle? Especially if it means fees if they up the dd.

Why not find the cheapest pay quarterly provider with a prompt payment discount and then you are in control.

just worked it out, I think, if I remember correctly it's a 6% saving with D/D which on £40 a month, works out at around £28 for the year, so yeah thanks for that, you have made me realise it's not worth the hassle, guess I just heard the 6% discount and thought it was a big saving.

I'll cancel it as I hate D/D, cheers for the eye opener :beer:

Fire_Fox

Are you supplying accurate meter readings regularly and are you in credit based on that? If you are in debt they will increase the DD, the idea is you build up credit all summer and drop close to zero by the end of winter, they don't like debt. Bear in mind prices have increased since last summer.

sniggings

Fire_Fox wrote: »

Are you supplying accurate meter readings regularly and are you in credit based on that? If you are in debt they will increase the DD, the idea is you build up credit all summer and drop close to zero by the end of winter, they don't like debt. Bear in mind prices have increased since last summer.

guess that is what it is, as I do owe £220 but the £40 a month payment agreed was based on that, infact, it was £360 at the time of the agreement but I got £130 discount with the warmer homes system, the woman looked at my usage and my debt and said that £40 would cover my usage and pay the debt off over the year, she did say it was a slow pay back rate but as long as it was being paid, I have not missed a payment, so a bit maddening for them to just go a up it to £87 which is just a crazy figure.

Fire_Fox

sniggings wrote: »

guess that is what it is, as I do owe £220 but the £40 a month payment agreed was based on that, infact, it was £360 at the time of the agreement but I got £130 discount with the warmer homes system, the woman looked at my usage and my debt and said that £40 would cover my usage and pay the debt off over the year, she did say it was a slow pay back rate but as long as it was being paid, I have not missed a payment, so a bit maddening for them to just go a up it to £87 which is just a crazy figure.

They want you square by mid-summer so you can start building up a credit for winter, that seems normal and reasonable. If you used £57 worth in February then obviously £40 a month is not going to pay off the debt, you are actually getting further into debt.

Energy prices have gone up so DDs have to go up anyway - your £30 summer use last year will be more this year. Even if you stayed the same that would mean paying just £10 a month off the debt so it would take you years to pay off £220. I've honestly no idea why they agreed to £40 a month, that makes no sense with a debt that size.

No offence but IMO you should really be paying this a bit more attention, reading your meters so you don't get into debt and checking the bills and account regularly. If you cancel the DD and go quarterly they will bill you for the FULL £220 debt next quarter PLUS your usage of say £100 which I assume you can't afford.

You don't have to answer this here but do you have any health problems? If so speak with your bank they might refund the charges, Santander have told me they have discretion to do this if you are vulnerable so it may be other banks do. Also might be worth raising any health or financial problems with BG, they may also have something they can offer you if deemed vulnerable or low income.

sniggings

Thanks Fire Fox, it's British Gas btw, as said the £40 was agreed on a debt of £360, I say a year pay back but it may have been based on 2 years, as said it was agreed, the £130 discount more than makes up for the price rise, that doesn't explain the £87, I do keep an eye on these things, I send my readings each month online, and had agreed the payment, so not sure what more I could have done, you may say, I should have looked online to see what payment they were taking, so maybe I'm at fault there but surely they are more at fault for agreeing to a payment plan then more than doubling it, without any notice.

As for any conditions I may have, BG were given all these details, hence the agreement for the £40 payment, she did say it was a slow pay back amount but she said she was happy to agree to it, based on the info given and that it was being paid back, at the end of the day, an email or a letter telling me of the change would have been the thing to do, not many people can just find an extra £47 without any notice, tbh even with notice i can't find that amount, think they will change it back tho, or as someone else posted it is easy changed back online, I will just have to keep doing that.

Fire_Fox

sniggings wrote: »

Thanks Fire Fox, it's British Gas btw, as said the £40 was agreed on a debt of £360, I say a year pay back but it may have been based on 2 years, as said it was agreed, the £130 discount more than makes up for the price rise, that doesn't explain the £87, I do keep an eye on these things, I send my readings each month online, and had agreed the payment, so not sure what more I could have done, you may say, I should have looked online to see what payment they were taking, so maybe I'm at fault there but surely they are more at fault for agreeing to a payment plan then more than doubling it, without any notice.

As for any conditions I may have, BG were given all these details, hence the agreement for the £40 payment, she did say it was a slow pay back amount but she said she was happy to agree to it, based on the info given and that it was being paid back, at the end of the day, an email or a letter telling me of the change would have been the thing to do, not many people can just find an extra £47 without any notice, tbh even with notice i can't find that amount, think they will change it back tho, or as someone else posted it is easy changed back online, I will just have to keep doing that.

A two year pay back of the debt is not the norm. I do wonder if you were given a special deal due to being classed as a vulnerable customer (health problems/ low income) and this has been overlooked which obviously should not happen, maybe a computer recalculated. If it's on your bill they have given you notice.

I honestly don't see how £40 a month is going to pay off the debt at today's prices, could you stretch to £50? Maybe telephone them again and go through the same rigmarole, do you have the name of the person you spoke to last time plus date and time of the call?

ETA information on vulnerabilty here, you could refer to this when you talk to BG
"Who might be vulnerable?
Unfortunately it is not possible to provide an exhaustive list of every condition that could indicate vulnerability, as each customer is different. If, for example, suppliers identify households in the following circumstances, then they will consider whether the customer is vulnerable and take appropriate measures to support that customer:
• A customer is caring for an elderly person in the household;
• A permanent member of the household is disabled or has a long-term medical condition (i.e. chronic illness) and is therefore unable to support themselves ....

This list is not a definitive one; suppliers will seek to take into account all factors which meet the Safety Net definition of vulnerable.

ERA members have signed up to a ‘Safety Net for Vulnerable Customers’ pledging to never knowingly disconnect a vulnerable customer at any time of year, where for reasons of age, health, disability or severe financial insecurity, that customer is unable to safeguard their personal welfare or the personal welfare of other members of the household.

Aspart of the Safety Net energy suppliers will:
• Wherever possible, attempt to capture information about their customers and identify potential vulnerability
• Ensure that vulnerable customers’ internal records are updated to indicate that special attention is required
Offer a range of debt repayment options in order to find the most appropriate solution for the customer’s circumstance ...

Ability to pay
Suppliers take into consideration the ability of the customer to repay their debts, when discussing repayment plans and reconnection. Suppliers are also able to consider disconnection fee reductions as part of a package providing ongoing and sustainable support to their fuel poor customers."
http://www.britishgas.co.uk/pdf/Disconnection.pdf