Beware of unnecessary payment hikes - Scottish Power

eschaton

scottishpower_company_representative wrote: »

Hi there, I’m really sorry for the delay coming back on this, I just wanted to check a couple of things in relation to the points you raised.

Are you saying that if a SP customer whose contract is ending on 30/6/13 applies to switch now and the new supplier takes over the supply on say 7/7/13 (or any date after 30/6/13) the customer will be liable for a cancellation fee?

We would only apply a cancellation charge if you cancelled your product by switching to another supplier before the product end date. If your supply left after the product end date we would not apply the charge regardless of when you made the application to switch.

On 8th June 2013 the customer cancels the DD with their bank and notifies SP of this. Is a cancellation fee generated because the DD has been cancelled prior to 30/6/13?

Currently we do not apply a cancellation charge if you cancel your Direct Debit; however we would be entitled to move you to a standard tariff if you cancelled your Direct Debit before the end of the product term.

I hope this helps but if there is anything else you need please let us know.

David

You hope this helps?

Welcome to Monday, today is Thursday. It's lucky I wasn't in a hurry for you to answer.

And for David's info - in the unlikely event that my supply transfers BEFORE 30/6/13, I WON'T be paying ANY cancellation charges.

eschaton

DirectDebacle wrote: »

As regards placing a customer on a standard tariff if the payment method is cancelled by the customer before the end of the product term but after the last due payment is made under the product term.

What entitles SP to take this action?

Thanks.

I am sure after the last answer, this one should take about another week.

I will be cancelling my Direct Debit before it is collected on 1/7/13. After I submit my readings as usual on 1/7/13, I will owe SP approx £10 - I won't be giving them a £79 direct debit to help their cash flow.

DirectDebacle

SP Reps. Any answers re post#71 yet?

Kane99uk

I switched to SPOW at the end of my previous Supplier's Fixed tariff. Got my first bill through and of course was in debit due to the increased winter usage (only to the tune of £30 or so though), and that was soon followed with a DD increase email. Called them up and requested that the DD increase be cancelled as I'd only recently switched - sorted with no fuss.

Edit: I appear to be one of the lucky ones.

eschaton

Kane99uk wrote: »

I switched to SPOW at the end of my previous Supplier's Fixed tariff. Got my first bill through and of course was in debit due to the increased winter usage (only to the tune of £30 or so though), and that was soon followed with a DD increase email. Called them up and requested that the DD increase be cancelled as I'd only recently switched - sorted with no fuss.

Edit: I appear to be one of the lucky ones.

Don't think this is the norm.

If it was, I wouldn't be in the process of becoming an EDF Energy customer after nearly 13 years with Scottish Power.

eschaton

DirectDebacle wrote: »

SP Reps. Any answers re post#71 yet?

They need 10 working days to answer simple questions.

Scottish_Power

Hi

Apologies once again for the delay coming back on this.

DirectDebacle wrote: »

I know SP system automatically did this. Has this fault now been rectified?

We are not aware of a fault, but if you have a specific example, please contact us at the e-mail address in our profile and we will investigate.

DirectDebacle wrote: »

As regards placing a customer on a standard tariff if the payment method is cancelled by the customer before the end of the product term but after the last due payment is made under the product term.

What entitles SP to take this action?

Taking Online Fixed Price Energy July 2013 as an example, this is in the terms and conditions point 9 at the end of the tariff booklet available on our website.

Where your payment method under the Offer Product is by
monthly Direct Debit or variable Direct Debit and at any time or
from time to time:- (a) any payment due is not made via
monthly Direct Debit or within the terms of variable Direct Debit
and/or (b) you fail to follow the rules of the Online Energy
Service as detailed in Clause 16 of the ScottishPower Gas and
Electricity General Terms and Conditions for Domestic
Customers, you agree that we shall be entitled to transfer your
account on to a standard non Offer Product service package.

The payment method is part of the "package". If you cancel that before the end of the package, you have changed part of the package. So because one element has changed, we have to change the rest of it.

David

DirectDebacle

Thank you for the reply.

(a) any payment due is not made via monthly Direct Debit or within theterms of variable Direct Debitand/or (b) you fail to follow the rules of the Online Energy Service as detailed in Clause 16 of the ScottishPower Gas andElectricity General Terms and Conditions for Domestic Customers, you agree that we shall be entitled to transfer youraccount on to a standard non Offer Product service package.

This T&C refers to payments due under the package. My example specifically related to a DD due on the 7th of each month and was cancelled the day after the last payment due had been made. What reason would SP have for insisting a redundant DD be kept live?

The requirements of the payment conditions of the package have been complied with. Cancelleing the DD does not change any part of the package. All payments due have been made. The T&C's do not require the payment plan to extend beyond the end date of the package.

SP are aware of the system faults. You allude to one example in post #54. Manual intervention is required to reverse cancellation charges automatically applied upon receipt of a request to switch supplier.

It appears there is another fault (re payment requirements) as SP are prematurely placing customers on a standard tariff as the system is unable to recognise that payment conditions have been met.

I suspect eschaton and parents accounts will probably show this.

eschaton

By luck, EDF expect my electricity supply to transfer on 2/7/13 with the gas following 8 days later.

That should make final billing trouble free - should

DirectDebacle

^^^^^^^^^
It will as you had the foresight to cancel the DD immediately after the final payment due under the contract had been made. If SP 'accidentally' and prematurely put you on their standard rate and/or apply cancellation fees, at least they won't be able to plunder your account for them.

Good luck with the switch.