npower huge price rise!

jewelleryangel

Hi,

Seems there's a few people who have issues with NPower like myself!

Does anyone know if energy companies are allowed to just push up your prices without prior warning?

I feel like over the past 18 months or so I've been with npower, all I have had is hassle!

When I first joined them back in September 2012 (first time moving out of my parents so first time I'd had to deal with energy bills etc), they said it'd cost me £36 a month, which I was fine with. I paid the first month, and then received a letter from them stating that they had reviewed my usage and were putting my bill down to £12 a month. Me not knowing much about energy prices and living on my own in a 1 bedroom flat I thought they know better than me so went along with it. They took an reading in January 2013, which they didn't inform me about at the time, although the welcome letter I'd received at the start had said that they take 6 monthly readings to ensure bills are accurate.

Anyway, come July 2013, I receive a letter from npower telling that by paying £12 a month I had actually underpaid by £145, and they were putting my bill up to £48 a month to recoup the cost. I spoke to Citizens advice, who said I was entitled to a fair payment plan and then I rang npower and shouted down the phone at them and they agreed that I would pay £36 a month, £30 for my monthly electric and £6 a month to pay back the £145 under payment.

I've been paying this since July with no problems. I checked my bank account this morning and noticed that this month they had taken £60 out of my account which I wasn't expecting. I remembered they had asked me to register an online account with them but I had not done this yet, so I went and registered and the site said I could view my bill, so I opened it up. Apparently due to my underpayment last year, they want me to now pay £60 a month for 5 months so that they get all their money back for the underpayment by July. Apparently if I pay them the remaining £97 underpayment within the next 14 days they'll reduce my bill to £41 a month!

I had no letter telling me they were putting my bill up by so much or why. I had a letter telling me prices were changing, but which actually said that the new price for standing charge would be £0 (?), and then the other week I had an email from them telling me some tariffs would be having price decreases and a £12 rebate in the Autumn! Can they actually get away without giving me prior warning?

I think I am going to pay them their £97 back (I'd rather be £97 in my overdraft than owe them anything), and then switch to another supplier! I just can't believe they seem to be able to get away with doing whatever they feel like! Surely by the fact I couldn't afford £48 6 months ago would make them realise I can't afford £60 now!

Angry npower customer :mad:

scaredofdebt

How did they arrive at the initial £36 a month?

I suspect you've used more energy that anticipated and that's why the "price" has gone up, but without all the info it's hard to say.

If you pay on DD then most tariffs have a discounted daily standing charge of 0 for Electricity.

It doesn't really matter what you can afford, if you use the energy then you will have to pay for it, but have they billed recently to actual meter reads? If not this is largely academic.

Nada666

There has not been a huge price rise. There has been a significant price rise (you appear to have not been near a television or radio for many months if you were not aware prices were rising.)

The change in the size of your instalment is a completely separate phenomenon. You are being ridiculous and unreasonable. To demand 24 months instead of 12 or 6 months is excessive - this was granted (interest free). Instead of this prompting you to behave like a grown up and monitor your meters to ensure it doesn't happen again you have apparently continued to use as much as you like without any thought of how to pay for it.

If your actual usage is as low as the amounts you suggest you will be hard-pressed to find a cheaper tariff than those from npower. Switch if you like but you will end up paying a higher price and you will have exactly the same situation from your new supplier in nine or fifteen months unless you bother to monitor your spend.

Fair enough to half ignore things when you first moved in but why did you not change your behaviour following the alert in July 2013?

jewelleryangel

scaredofdebt - The previous tenant was with npower, so I am assuming they either followed their lead or it was their usual starting point for the size of flat I live in.

Nada666 - Please don't make out like I don't watch the news or listen to the radio when you know nothing about me!

I would also like to point out that I didn't request 24 months, they suggested it be paid back at that rate.

The issue and my question wasn't even about my energy usage, I was merely asking whether companies are allowed to change prices without giving prior notice. I'd appreciate not being insulted for asking a simple question!

jobdone1

You agreed a monthly dd is how i understand and also believe all calls are recorded. Under the dd guarantee you can get you bank to recall the money under the dd guarantee. They have to give notice of your dd payments i think its 14 days but don't quote me on this. I hope you get this sorted out i feel for you its a massive struggle for many people to keep up with the ever rising cost of energy.

bengal-stripe

jobdone1 wrote: »

Under the dd guarantee you can get you bank to recall the money under the dd guarantee. They have to give notice of your dd payments i think its 14 days.......

jewelleryangel wrote: »

.....noticed that this month they had taken £60 out of my account which I wasn't expecting. I remembered they had asked me to register an online account with them but I had not done this yet, so I went and registered and the site said I could view my bill, so I opened it up.

These days quite a few tariffs (the most advantageous ones) are internet-only. If the OP has subscribed to an on-line tariff, the communication does go via the net (by looking at your account on-line), not through the mail.

If the company, as I presume, has given the the required notice for a change of DD on-line, then this is all that is required for an internet-only account. If the OP has failed for some 18 months to register internet access and does not know about the current position of the account, she has nobody but herself to blame.

jobdone1

bengal-stripe wrote: »

These days quite a few tariffs (the most advantageous ones) are internet-only. If the OP has subscribed to an on-line tariff, the communication does go via the net (by looking at your account on-line), not through the mail.

If the company, as I presume, has given the the required notice for a change of DD on-line, then this is all that is required for an internet-only account. If the OP has failed for some 18 months to register internet access and does not know about the current position of the account, she has nobody but herself to blame.

People come on here for help not to be nasty and criticise.

bengal-stripe

jobdone1 wrote: »

People come on here for help not to be nasty and criticise.

OP didn't come here for help, she came to criticise (npower)!

SwanJon

The first thing to relaise is that the DD is not the price.
The Price will be in your contract (this is what the price rise letters were about.)
The DD is to spread the cost of your usage over the year.
If you use more then you will need to pay more.

jewelleryangel wrote: »

I rang npower and shouted down the phone at them...

Shouting at the poor agent at the end of your phone is never going to do you any good. They will be less inclined to go out of their way to help you.

jewelleryangel wrote: »

...and they agreed that I would pay £36 a month, £30 for my monthly electric and £6 a month to pay back the £145 under payment.

jewelleryangel wrote: »

I would also like to point out that I didn't request 24 months, they suggested it be paid back at that rate.

Looks like they 'agreed' to lower your DD to get a shouty customer off the phone.
Had you been paying their original suggestion you would have paid an extra £12 per month over the year instead of £24 extra for the second half of the year.

There's a lot to get your head round when you get your first place. One of which is dealing with utility companies.
Online accounts can make this a lot easier as it puts you in control. Take regular readings and enter them on the website. This will mean that your DD will refelct your consumption much more closely, and any estimates they need to make (price changes etc) will be more accurate.

Taking readings lets you see how much you are using, and if you can't afford what you are using then you need to use less.

If you are really struggling with paying the bills you can choose to go onto a prepayment meter. If they force you onto one of these they will charge you a couple of hundred pounds so you need to decide if this is for you.
Prepayment meters cost the same as paying when the bill comes in, so you won't get the DD discount.

Deep breath and good luck.

jewelleryangel

I was only asking a question about whether they have warn you about price changes, I didn't just come on here to criticise, I was merely trying to give some background.

Anyway, it turns out they got my estimated meter reading completely wrong and they think I've used about 450kwh more than I have (which is a lot considering their projected figure for the next year is 2500kwh), so I've now sent them a real meter reading last night so hopefully they won't be asking me to pay £60 a month now

Bluebirdman_of_Alcathays

jewelleryangel wrote: »

I was only asking a question about whether they have warn you about price changes, I didn't just come on here to criticise, I was merely trying to give some background.

Anyway, it turns out they got my estimated meter reading completely wrong and they think I've used about 450kwh more than I have (which is a lot considering their projected figure for the next year is 2500kwh), so I've now sent them a real meter reading last night so hopefully they won't be asking me to pay £60 a month now

Glad it's sorted, submitting regular meter readings is the best way to ensure you get proper and accurate billing. :beer:

A number of people on here have worked/currently work on the front line for utility companies. Admitting you shouted down the phone to a CSA probably isn't the best way to endear yourself to them.