CheapEnergyClub VARIABLE DD?

MartinRH

Hi All,

I am confused (.com).

I have been with British Gas for many, many years. I was on their first websaver deal before it was even called that. (anybody remember the name of that one?). I'm now on their "standard" tariff (whatever that means!).

One thing I have always liked is that my monthly Direct Debit payments are based on what I have actually used. I still get an email reminder to enter the meter readings, which I then do online. BG then prepare the bills based on my readings. In other words I don't endure all that nonsense with (badly) estimated bills and lending huge corporations my money interest free.

Suitably terrified by Martin L's warning in the MSE newsletter about price hikes, I joined his CheapEnergyClub (CEC) to see what better deal I could get. I was especially interested in locking in for a number of years.

The result? The CEC says I'm already on a good deal!

My Problem: It appears to me that all the other DD payment options offered by other companies are, or will be, based on "estimated bills" YUK!

Am I misreading the situation? If not, could the DD/estimated bills issue be better addressed in the CEC?

Can any of you suggest other energy suppliers who bill you based on your own, online meter readings? i.e. not based on "estimates"?

Thanks in anticipation

KTF

As far as I know, all energy providers will let (in fact encourage) you enter your own readings so they can produce an accurate bill as a result.

If you don't enter any readings then an estimated bill will be issued which is again standard practice.

The DD is variable as depending on the reading you submit, they may alter it up or down as appropriate based on your predicted usage.

NittyGritty

if your still stuck with a standard tariff, my advice to you is to use other web comparisons, like uswitch and confused, to double check never rely on one comparison site.

normally standard tariff's mean your on a more expensive tariff.
double check with others as mentioned above to confirm this

MartinRH

Sorry I wasn't very clear. With BG I never, ever get an estimated bill. I even get a few nectar points for submitting my meter reads.

I realise that many people prefer to smooth out their bills over the year by having their supplier estimate their annual usage, but personally I'm not wealthy enough to lend the energy co's my money at 0% interest.

The comparison sites that I have checked, including MSE's energy saving club, don't specify whether the monthly DD billing is based on actual monthly usage, or some imaginary (usually incorrect) amount.

I realise that many people, Martin Lewis included, have some kind of anti-BG agenda, possibly deserved... but in my case they fit my needs perfectly at a competitive price.

I've fixed until March 2016, but my timing may have been all wrong. Cameron has now countered Milliband's idiot hot air "power price pledge" with an equally silly load of political bo**ocks of his own so no doubt I'll get shafted by "the govt." of whichever colour :sigh:

apt

Even if an energy company has some of your money for some of the year (usually counterbalanced by part of the year that you owe the company) you are probably paying 15-20% more for your energy than you would do if on the cheapest tariff. That makes no sense at all.

SwanJon

British Gas offer the option of paying for the months consumption in full - it's part of the Energy Smart bolt on. It means that you will make larger payments in the winter than in the summer.
I think UW also offer this option.
Most DD plans spread the cost through the year (theoretically) so each month you pay 1/12 of the yearly cost.
If you put in regular readings, this payment should remain farily accurate, but at some times of the year you may be ahead/behind on the plan.
As above, the interest you lose/gain at these times is minimal, and not worth taking into account.
Has the plan you signed up to got an exit fee? If not, have a look at other tariffs & suppliers on a comparison site.