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MSE News: GB Energy goes bust, 160,000 customers affected
Comments
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veryintrigued wrote: »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.
Why are you being offensive just because you have a difference of opinion? Cancelling the DD would normally be seen as a breach of contract and GB energy have given you written confirmation that the contracts were still being honoured, transferrable contracts can be bought from the receivers and the buyers can enforce the terms.
How is any of what I'm saying nonsense? Someone who wasn't just trying to be offensive would counter the points and not just come out with insulting words.
But sure, do what you want. Switching is going to be hard as you can't do it without permission of your old supplier. If you cancel your DD and they don't honour the credit balance then you'll still owe them the money and won't be able to switch until it's paid. I'd take the haggling opportunity.0 -
Just done a quick calc for my account. Only thing haven't got is meter read when I switched from their variable to fixed tariff in Aug but immaterial as the kWh rate barely changed. Essentially have used approx £580 of elec inc SC and VAT up to yesterday and have paid them £510. Next DD due Mon 5 Dec £61 so even after that I'll still be in debit hence think will leave my DD as is for now rather than cancel especially as not entirely sure how credit record might be affected if cancel it when I owe them.0
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Here you go:Why are you being offensive just because you have a difference of opinion?
You offend easily...would normally....
Exactly....are the current circumstances normal?
Do you sensibly believe that a company 'no longer trading' would pursue its unfortunate ex customers for 'breach of contract' for protecting their interests? And do you think it would be upheld?insulting words.
Really?! Crikey...
Posts like yours aren't filling worried customers with knowledge - only with unnecessary further worry IMHO.
Over and out.0 -
veryintrigued wrote: »Do you sensibly believe that a company 'no longer trading' would pursue its unfortunate ex customers for 'breach of contract' for protecting their interests? And do you think it would be upheld?
No, but a company that buys a company in receivership could.
Telling customers to cancel their DD is irresponsible. If the new company doesn't buy GB energys contracts then your credit will disappear and you'll owe the new company money, which they can stop you switching away and pursue you in court for.0 -
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.
Might I respectfully suggest that you read the recently updated guidance from Ofgem:
https://www.ofgem.gov.uk/consumers/household-gas-and-electricity-guide/extra-help-energy-services/ofgem-safety-net-if-your-energy-supplier-goes-out-businessThis is a system account and does not represent a real person. To contact the Forum Team email forumteam@moneysavingexpert.com0 -
Telling customers to cancel their DD
Remind me where I or anyone else has done this phillw.which whatever happens with your contract will still leave them owing their new supplier.
Will it? Most of us are still in credit - you seem to know more than most what will happen to this credit.possibly leave a mark on their credit file
You're just incredible phillw. Most of us want to deal in facts (when they are known).0 -
Might I respectfully suggest that you read the recently updated guidance from Ofgem:
https://www.ofgem.gov.uk/consumers/household-gas-and-electricity-guide/extra-help-energy-services/ofgem-safety-net-if-your-energy-supplier-goes-out-business
I did, it's full of "we will try to" and "we hope to" as they can't guarantee anything about the new provider. If they don't appoint a supplier who will honour the current credit balances then cancelling your DD won't help as you'll still owe them the money, if they do then you'll get in line for a refund and it's going to be a nightmare getting through to them. If nobody at GB energy is approving switches, then you can't switch and when they are then it's going to be a nightmare as they'll have a huge backlog. I haven't seen anyone rule out buying up GB energy.
My understanding of all the possible outcomes is that there isn't anything worth doing, which is what Martin and offgem are saying.
Whatever happens, you are in a contract. It may be a "deemed contract" but it's still a contract. Most suppliers have cheaper tariffs for those on a direct debit, if you cancel your direct debit then it's fair to assume your new deemed contract will be a higher tariff than if you leave the direct debit active. Unfortunately when you cancel it there is not much you can do.
However if you leave the DD active and they take money without your permission, then you can get a refund from your bank.0 -
I did, it's full of "we will try to" and "we hope to" as they can't guarantee anything about the new provider. If they don't appoint a supplier who will honour the current credit balances then cancelling your DD won't help as you'll still owe them the money, if they do then you'll get in line for a refund and it's going to be a nightmare getting through to them. If nobody at GB energy is approving switches, then you can't switch and when they are then it's going to be a nightmare as they'll have a huge backlog. I haven't seen anyone rule out buying up GB energy.
My understanding of all the possible outcomes is that there isn't anything worth doing, which is what Martin and offgem are saying.
Whatever happens, you are in a contract. It may be a "deemed contract" but it's still a contract. Most suppliers have cheaper tariffs for those on a direct debit, if you cancel your direct debit then it's fair to assume your new deemed contract will be a higher tariff than if you leave the direct debit active.
Read it again especially the section if you've already cancelled your direct debit.....
You don't need to worry if you’ve already cancelled your direct debit. Wait until your new supplier has got in touch with you. They will help you set up a new account and will be able to tell you what will happen with any credit balance you may have with your old supplier.0 -
veryintrigued wrote: »Read it again especially the section if you've already cancelled your direct debit.....
They tell you not to worry and that is good advice. There is nothing you can do now if you have cancelled your DD, so worrying won't help. However if you haven't cancelled it then don't worry either as it's unlikely there is anything that you can do that will improve your position.
You're still protected by the direct debit guarantee. If they take money without your permission then you can get your bank to give it back.
You can try putting a switch through, but E.ON are refusing outright to even do the paperwork and if you find a supplier that will then it will be sitting in a queue. I'm not sure that having a pending switch sitting in a queue would ease my mind.
Personally I'd sit still and wait to see who was announced as taking GB energy customers over and then if they were competitive then I'd ask them to switch me retrospectively to their cheapest tariff from the date the GB energy tariff ends and explain how the DD was already setup and it wouldn't need them to do any additional paperwork, or I'll leave.
I suspect the original DD won't be of any use to the new supplier, but I wouldn't let that get in the way of a good haggling standpoint.0 -
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