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

chubby728

I had a previous experience with a company called gas4business which went bust in about 2010,and when I received an inflated bill from GB energy taking me from 450 credit to 200 debit I suspected the worst as this is exactly what the gas4business did. After 15 months of wrangling with OFGEM, liquidaters etc. we got zero, except for hugely inflated bills from rip- off british gas,So people, be warned.Expect little help from ofgem, and accept no deals from a new supplier. Definitely cancel your D/D's NOW.

rozel

I am in the "unfortunate" position of being over £350 in credit and my direct debit for £130 goes out tomorrow!!! Help what should I do?

After reading a plethora of information including the Ofgem stuff (I noticed this well before the news broke yesterday evening, when I logged on to my account to take a look at my current bill around 12 noon), I am guessing that maybe people will struggle to get their credit back IF THEY HAVE LEFT ALREADY. Those that did not come out may fair better.

When I signed up I had to pay my direct debit in advance - in my case 28/06/2015 - supply started 07/07/2015 - this was normal for them to do this although I read that many people were upset about having to do so. However I went with them. So I calculate right now I am owed £350 + 1 month's supply. I'm thinking by cancelling my direct debit I am not "leaving" so I should still have any "protection" that Ofgem negotiates. (Or will I?) I am therefore very tempted to cancel now, so that cancellation is effective for tomorrow's payment from my bank account. That would reduce what I'm owed.

If Martin Lewis suggests we should not cancel our direct debits straight away - tomorrow - then fair enough, but I think I'll take my chance and cancel later today.

But what do people think who are in a similar position? Should I cancel or not?

Thanks for any help/advice

roz

chubby728

Try anything but do not rely on Ofgem

System

dinglebert wrote: »

Im in the already moved but have nearly £280 credit club. Moved as soon as I got the 30% price increase notice. First thing I have done is to ask the bank to recall this months direct debit. However, bank are saying that if they don't get their money back they will take it from me again anyway. Just have to hope ofgem can help otherwise I'll end up as a general creditor with no hope of seeing the money again.

This is going to a real test for OFGEM. I have already e-mailed consumeraffairs@ofgem.gov.uk copy to my MP pointing out that many of us are looking at financial loss because we were waiting for final bills. I am not sure that Ofgem's SoLR approach will guarantee that this money is paid back.

postcode

Last time I downloaded a bill it showed me at £110 in credit. I have cancelled my direct debit that would normally be coming out tomorrow and just hope there is some way of getting that money back. At least they won't be taking another £34...:(

rnager

Similar to, I imagine, quite a few MSE switch club members who are electricity only I joined GBenergy in November.

I am tempted to just switch now, I don't have any money in credit with them, so what is to stop me? Thoughts gratefully accepted

Wilt

If Ofgem manage to pull this credit balances guarantee off it will be some feat - from what I have read so far it seems that they will be asking the new supplier to cover the credit.

What company in their right mind would do this when their new customers will be on deemed contracts and can (probably will) leave immediately? The vast majority of GB Energy Supplies customers are active switchers so it will be difficult to recoup the losses via people who never switch.

I suspect there will be a catch...

facade

As I posted on one of the other threads, I reckon that having paid for Novembers energy, and with them taking the DD on Friday, I'm around £150 in credit.

I'm in two minds about initiating a switch tomorrow, best quotes I get now are £1500 PA for EON and £1130 PA for NPower. If I wait a month I reckon NPower will match EON, so even if I kiss the £150 goodbye, I will still be £220 better off moving to NPower now than waiting while they hike their prices.

chubby728

CANCEL NOW You have nothing to lose

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Wilt wrote: »

IThe vast majority of GB Energy Supplies customers are active switchers so it will be difficult to recoup the losses via people who never switch.

I suspect there will be a catch...

Quite

The OFGEM platitudes seem to be directed at people whose biggest fear is being cut off, whereas our biggest fear is having to pay 0.001p more per kwh than we have to, which is why we switched to GBE

Whoever takes it on knows we will switch the second we can, so it is in their interest to drag their feet, my credit works out at about 6 weeks of GBE energy, if they can force me to use a full month of their energy at twice the price, I will owe them money, not have a credit balance. Worse, if they can sting me for every unit used since my last "read", which includes my November usage, I will need a mortgage to pay them, even taking all my payments to GBE into account.

So to reiterate the single most important question

Can we switch now? (Not should we, can we?)