MSE News: GB Energy goes bust, 160,000 customers affected

LucoTF

Welp. Goodbye GB Energy, I will remember you fondly. So much cheaper than E.on, I've saved hundreds this year My thoughts are with the staff facing financial uncertainty just before xmas.

I've cancelled my DD and had the latest payment reversed (thanks barclays for making it easy), but even then I'm still £150 or so in credit - I'm sure we'll burn through that before the end of January, especially when my account is transferred back to one of the big 6...

firecre

I don't get paper statements and now the website is suspended I can't access my account to see what I am owed if anything! What is the point of keeping the DD live and waiting to be switched, only to have to switch again?

Hoof_Hearted

I think the advice not to cancel DD payments is mistaken. What's the betting those in credit continue to get DD's taken?

facade

westv wrote: »

But that doesn't explain why everybody will be stuffed with an uncompetitive rate - which is what we are told could happen.

fredandwilma wrote: »

Because, as a "new" or migrated customer, you'll be placed on a standard tariff, from which you can then switch, i should imagine?

And this "standard tariff" will apply from the second GBEnergy went bust, so if it is double what we were paying, (not unreasonable if you were on the capped rate from last February like me) in the "2 weeks" it takes to tell you about it, plus the 16 days ( is it?) it takes to switch you will have run up a very hefty bill, that neatly wipes out the months credit you had, and then some.

I suggest we follow the very helpful energy saving advice that I got from EON:

Can you read this? if yes turn the lights off
Are you shivering with cold? if not turn the heating down.

This should minimise how much energy we use between now and the time that we can switch.

The creative reading of your meters won't work, as they will never accept that you used 190% of normal last month at GBE rates, and only 10% this month at the higher one.

Serves us right for entering readings every month on request, we've built up a usage profile.

phillw

Hoof_Hearted wrote: »

I think the advice not to cancel DD payments is mistaken. What's the betting those in credit continue to get DD's taken?

I'm in two minds about this. If you built up a credit balance then I doubt you are the type of person who is desperately short of money and want to keep every penny earning interest. The people taking the company over need to maintain cash flow, because otherwise they'll go bankrupt too. Cancelling the DD could be seen as a breach of contract and they could then impose fees, they are waiving the termination fees if they breach the contract not if you do.

But I see the arguments the other way too. I think it has to be a personal decision and you have to have a strategy for dealing with the problems that arise.

facade wrote: »

And this "standard tariff" will apply from the second GBEnergy went bust, so if it is double what we were paying, (not unreasonable if you were on the capped rate from last February like me) in the "2 weeks" it takes to tell you about it, plus the 16 days ( is it?) it takes to switch you will have run up a very hefty bill, that neatly wipes out the months credit you had, and then some.

It would be unfair if they put you on a tariff that was double what the rest of the market was charging without telling you what it was, but if you could switch immediately then your months credit will get eaten up quite quickly by your new provider. How your new tariff compares to your old tariff is largely irrelevant though, it's gone now as it bankrupted the company. You win some and you lose some, if you have had 9 months at a vastly reduced price then you shouldn't be too upset.

boatman

westv wrote: »

But that doesn't explain why everybody will be stuffed with an uncompetitive rate - which is what we are told could happen.

Think its more to do with advanced pricing. Whoever takes over will have had a rough idea how much to buy for their own customers, and would have done it a while back, they would not have expected another 160,000 customers.. Kind of puts the wholesale energy suppliers in a strong bargaining position..

lydriver

I switched to GB Energy in August, they took the initial payment but no DD since then, Emailed them but only received a 'we're dealing with your ticket' reply
Got an email last week saying 'your bill is ready', DD to be taken next week for 2.5 months worth of elec/gas

just leave the DD as is?

veryintrigued

phillw wrote: »

Cancelling the DD could be seen as a breach of contract and they could then impose fees, they are waiving the termination fees if they breach the contract not if you do.

Poppycock.

From their website:

GB Energy Supply is no longer trading

Therefore you no longer have a contract with them.

phillw

veryintrigued wrote: »

Poppycock.

From their website:

GB Energy Supply is no longer trading

Therefore you no longer have a contract with them.

You're very rude. If you read further down, it says:

"During this process, all customer contracts will be honoured, so please rest assured that your supply will not be affected."

As they have given you written notice that they are honouring the contracts then you should be in a good position to say that they should be charging you at the old rate until the new provider gives you notice of an increase and then you can decide whether to switch away (and once you disagree with an increase and switch away they can't increase the price). You lose that bargaining position if it's you that breaks the contract. It's up to you whether you think it's worth taking that position or not.

I assume the receivers have been called in and they have stopped trading, it doesn't mean that the contracts immediately disappear. Have you checked your T&C to see what it says will happen to the contract in the case of them ceasing trading? It may be transferrable.

veryintrigued

phillw wrote: »

You're very rude. .

Poppycock is an informal noun for someone stating nonsense.

You stating that "Cancelling the DD could be seen as a breach of contract and they could then impose fees" is just that.

Am sorry if that offends you.