Switching - When to cancel Direct Debit with existing supplier?

EdGasket

I have applied to switch energy suppliers from E.On to EDF. This switch is expected to go through in about 3 weeks time. Should I cancel my Direct Debit with E.On now or wait until after the switchover has completed by which time a further monthly payment will have been taken and will probably have to be refunded as I am already in credit.

Is it OK just to cancel the Direct Debit and settle up as a one-off payment or refund? Do I get charged if E.On tries to use the direct debit and finds it has been cancelled?

spiro

Do not cancel DD until after the final bill has been paid.

brewerdave

spiro wrote: »

Do not cancel DD until after the final bill has been paid.

Even after the final bill has been settled,some utility companies STILL send out a snotty letter when you cancel DD(are you listening EDF!!):rotfl:

EdGasket

spiro wrote: »

Do not cancel DD until after the final bill has been paid.

Thank you for the advice but can you explain why? I do not like the thought of a further month's payment going out of my bank unnecessarily when I am already in credit with the existing supplier and then the new supplier also helping themselves to a month's payment from my bank account.

What would be the problem with just cancelling the direct debit with my existing supplier right now?

Nada666

EdGasket wrote: »

What would be the problem with just cancelling the direct debit with my existing supplier right now?

You get rebilled the last three or six months WINTER usage without the direct debit discount - an extra 6% to pay on 70% of your annual bill. Or you are rebilled on the standard tariff - an extra 1x% to pay.

It is easier to just leave the debit in place until after the payment date after the second fuel has switched and eventually receive the larger lump sum refund than risk messing them about.

E.ON_Company_Representative:_Helena

Morning EdGasket

I'm sorry I've only just seen this post

Agree with the others here

It is best really to leave the Direct Debit in place until you've received your final bill, this will tell you when the refund will be sent to your bank, or when we'll take anything outstanding.

If you're due a refund and you cancel the Direct Debut, It'll have to be done via a cheque, this can be a bit slow in the snail mail.

Also, you will miss out on your Direct Debit adjustment on the final bill.

Although the choice is of course yours, it's just what we recommend.

Hope this helps to explain.

Helena

2010

I cancelled my DD with Scottish Power and like all the big 6 they dragged out paying a refund for about 8 weeks.
After contacting them a number of times about my refund, one day I spoke to someone who actually knew waht she was talking about and the refund was paid within three days via BACs.
To say if you cancel your DD they can only pay you a refund by cheque is nonsense.
They have your bank details and if they say they don`t give them to them again.
All the big 6 delibrately drag out paying refunds.

jrio

If you iknow you're going to be in credit without the final payment, or only a small amount over, I would cancel. I usually do this because as stated the energy companies are in no hurry to refund any credit on the account.

The only company that tried to then add an extra charge was Scottish Power, and that was removed after I contacted them. I'm not in the business of lending companies money for a couple of months interest free.