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Charged for energy 8 months after contract ended

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I have today discovered that energy firm green energy has taken 147 out of my bank 8 months after I switched to another supplier. I logged into my old account and it says I owe them 496 from December 2017-March 2018 I was paying 76 a month after switching through uSwitch. How is a company allowed to agree a fixed price but then decide you owe them a completely different amount other companies amend the direct debit based on an average. I know I’m not the first this has happened to having read reviews on the same company. Does anyone have any advice how I can sort this. I have been in touch with my bank who have recalled the money into my bank but having spoken to the company they are certain I owe this money to them.

Comments

  • System
    System Posts: 178,344 Community Admin
    10,000 Posts Photogenic Name Dropper
    Andyk1981 wrote: »
    I have today discovered that energy firm green energy has taken 147 out of my bank 8 months after I switched to another supplier. I logged into my old account and it says I owe them 496 from December 2017-March 2018 I was paying 76 a month after switching through uSwitch. How is a company allowed to agree a fixed price but then decide you owe them a completely different amount other companies amend the direct debit based on an average. I know I’m not the first this has happened to having read reviews on the same company. Does anyone have any advice how I can sort this. I have been in touch with my bank who have recalled the money into my bank but having spoken to the company they are certain I owe this money to them.

    There is no thing as a fixed price energy contract. The elements of the contract that are fixed are the contract term; the upper limit of the standing charge and the unit price. Your monthly payment is based initially on 1/12 of your projected annual cost. If your projected cost was based on, say, 10000 kWhs/year and you use 12000 kWhs you will have to pay for this usage. Most suppliers review payments half way through the contract.

    When you switched suppliers, the two suppliers will have used industry Agreed Readings to open and close your accounts. The Final Bill will have given you information on the amount owed.

    The fact that you appear to have suffered poor customer service does not mean that the supplier will not pursue you for the amount owed. You need to check your bills and make sure that the two suppliers have used the same transfer readings. Only by checking your bills will you know if you owe your old supplier what is being claimed.
    This is a system account and does not represent a real person. To contact the Forum Team email forumteam@moneysavingexpert.com
  • Andyk1981 wrote: »
    I have today discovered that energy firm green energy has taken 147 out of my bank 8 months after I switched to another supplier. I logged into my old account and it says I owe them 496 from December 2017-March 2018 I was paying 76 a month after switching through uSwitch. How is a company allowed to agree a fixed price but then decide you owe them a completely different amount other companies amend the direct debit based on an average. I know I’m not the first this has happened to having read reviews on the same company. Does anyone have any advice how I can sort this. I have been in touch with my bank who have recalled the money into my bank but having spoken to the company they are certain I owe this money to them.

    Why do other suppliers have to amend a direct debit amount when you have previously agreed a fixed price with them? :huh:

    I didn't know green energy even offered a fixed price (as opposed to a fixed tariff) deal.

    You learn something everyday on MSE don't you? I'll have to check them out. Sounds good...
  • FestiveJoy
    FestiveJoy Posts: 229 Forumite
    edited 21 December 2018 at 8:48PM
    Hengus wrote: »
    There is no thing as a fixed price energy contract. ....

    Yes there are.

    British Gas, Eon, and Green Star Energy, to name just 3 suppliers, have all offered fixed, all you can eat, deals within the last 3 months ... and may still be available

    Terms applied.

    British Gas's Unlimited tariff required you to have a smart meter, as did Eon's Secure Bill tariff.
    Green Star Energy's Unlimited tariff had a cap as to how much you could use, hidden deep within their small print.

    It is important not to confuse Green Star Energy
    https://mygreenstarenergy.com/
    with Green Energy
    https://www.greenenergyuk.com/


    Edit:
    It looks like Eon still offer this tariff
    https://www.eonenergy.com/securebill

    Green Star Energy have removed their deal to new applicants
    https://www.mygreenstarenergy.com/uk-main/Help-and-Support/Existing-Customer-Tariffs/Unlimited

    I'm not sure if British Gas are still offering their deal to new applicants or not, but they also had a fair use policy included within their small print.
  • System
    System Posts: 178,344 Community Admin
    10,000 Posts Photogenic Name Dropper
    edited 21 December 2018 at 9:20PM
    FestiveJoy wrote: »
    Yes there are.

    British Gas, Eon, and Green Star Energy, to name just 3 suppliers, have all offered fixed, all you can eat, deals within the last 3 months ... and may still be available

    Terms applied.

    British Gas's Unlimited tariff required you to have a smart meter, as did Eon's Secure Bill tariff.
    Green Star Energy's Unlimited tariff had a cap as to how much you could use, hidden deep within their small print.

    It is important not to confuse Green Star Energy
    https://mygreenstarenergy.com/
    with Green Energy
    https://www.greenenergyuk.com/


    Edit:
    It looks like Eon still offer this tariff
    https://www.eonenergy.com/securebill

    Green Star Energy have removed their deal to new applicants
    https://www.mygreenstarenergy.com/uk-main/Help-and-Support/Existing-Customer-Tariffs/Unlimited

    I'm not sure if British Gas are still offering their deal to new applicants or not, but they also had a fair use policy included within their small print.

    Thank you - I am happy to be corrected. It would be interesting see whether E.oN’s tariff is in anyway competitive.

    Edit:

    But even for customers who use a lot of power, unlimited deals may not be the best-value option. Green Star Energy's unlimited tariff costs up to £1,779 a year if you are a high energy user — which is classed by energy watchdog Ofgem as someone using 17,000 kilowatt hours (kWh) of gas and 4,600 kWh of electricity each year.

    This is a staggering £593-a-year costlier than the cheapest deal on offer from Powershop (Top Shopper August 2018 Issue 1) at £1,186 a year.

    Source MoneyMail
    This is a system account and does not represent a real person. To contact the Forum Team email forumteam@moneysavingexpert.com
  • Former_E.ON_Company_Representative:_Malc
    Former_E.ON_Company_Representative:_Malc Posts: 6,558 Organisation Representative
    Part of the Furniture 1,000 Posts Name Dropper
    FestiveJoy wrote: »
    Yes there are.

    British Gas, Eon, and Green Star Energy, to name just 3 suppliers, have all offered fixed, all you can eat, deals within the last 3 months ... and may still be available

    Terms applied.

    British Gas's Unlimited tariff required you to have a smart meter, as did Eon's Secure Bill tariff.
    Green Star Energy's Unlimited tariff had a cap as to how much you could use, hidden deep within their small print.

    It is important not to confuse Green Star Energy
    https://mygreenstarenergy.com/
    with Green Energy
    https://www.greenenergyuk.com/


    Edit:
    It looks like Eon still offer this tariff
    https://www.eonenergy.com/securebill

    Green Star Energy have removed their deal to new applicants
    https://www.mygreenstarenergy.com/uk-main/Help-and-Support/Existing-Customer-Tariffs/Unlimited

    I'm not sure if British Gas are still offering their deal to new applicants or not, but they also had a fair use policy included within their small print.

    Our Secure Bill tariff is still available FestiveJoy for both existing and new customers but only through our telephone sales lines. It's not on our website or the Price Comparison sites.

    As Hengus says, there are more competitive tariffs on the market both with us and with the other suppliers. Comparisons will need to be done manually.

    It's only available as a single rate tariff even if customers have a two-rate electricity meter. The tariff carries exit fees too. These are £75 per fuel for changing supplier outside of the renewal window (open 49 calendar days before the end date until 20 working days after).

    Secure Bill is a one year Fixed Term tariff with 12 equal Direct Debit payments based on past usage. These payments will remain the same for the duration of the contract regardless of how much energy is used.

    Hope this is of interest FestiveJoy.

    Malc
    Official Company Representative
    I am an official company representative of E.ON. MSE has given permission for me to post in response to queries about the company, so that I can help solve issues. You can see my name on the companies with permission to post list. I am not allowed to tout for business at all. If you believe I am please report it to forumteam@moneysavingexpert.com This does NOT imply any form of approval of my company or its products by MSE"
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