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Energy fixed monthly tarfiffs

Everytime l switch energy providers - l tend to get a really good rate for the first 6 months and then it gets hiked up despite having credit - is there a company that just charges you for what you use each month? Ours has doubled from £58 to £107 . -even though we have £137 in credit?

Comments

  • G_M
    G_M Posts: 51,977 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    What kind of energy?


    Oil? Solid fuel? LPG?
  • Cardew
    Cardew Posts: 29,063 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Rampant Recycler
    mel_l wrote: »
    Everytime l switch energy providers - l tend to get a really good rate for the first 6 months and then it gets hiked up despite having credit - is there a company that just charges you for what you use each month? Ours has doubled from £58 to £107 . -even though we have £137 in credit?


    I suspect you are confusing 'good rate' with an initial low direct debit payment.


    It is common practice to be given an initial low DD to lure you to a supplier. Then if this DD payment doesn't cover your predicted annual spend it is increased.


    Also being in credit only has meaning if it is when a bill is produced. Our DD payments are credited to our account monthly, but this account is only debited quarterly. e.g. I could be £400 in credit today, but tomorrow get a bill for £450 debited and my account has a £50 debit balance.


    You have been paying £58 a month(presumably for gas/electricity) that would be an annual amount of £696 which is way below the UK average. so paying 6 months @ £58 and 6 months @ £107 will mean an annual payment of £990 which is still below average.


    If the increase in DD is not justified by your predicted consumption, then contact the energy company and discuss.
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