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Cancel direct debit & use account credit

Hello.
I have built up a fairly large credit on my Npower account. I recall somebody mentioning that if you cancel your DD the payment will come straight out of the account credit. If I do this i have about 3 or 4 months without paying from my bank account.

I'm aware this may mess with the annual amassment but I'm planning to switch providers when I've used up the credit anyway, because I'm on a regular basic tariff.

Has anyone heard of this?

Thanks

Comments

  • brewerdave
    brewerdave Posts: 8,779 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    IF you stop the DD without informing NPower you may be in breach of their ts and cs. However, if you are on their standard variable tariff, they can't threaten you with a more expensive tariff:rotfl:.

    Be ready for many phone calls!!
  • grumbler
    grumbler Posts: 58,629 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    RossHan wrote: »
    I recall somebody mentioning that if you cancel your DD the payment will come straight out of the account credit.
    Your running account balance is a result of your bills (debits) and payments (credits). If you cancel the DD, the payment fails and your credit balance gets smaller. As simple as that.



    Is it not simpler to call Npower and ask them for a refund and a reduction in your DD?
    Also, check the T&C as some fine can be possible for a failed DD.
  • p00hsticks
    p00hsticks Posts: 14,532 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    RossHan wrote: »
    I'm planning to switch providers when I've used up the credit anyway, because I'm on a regular basic tariff.


    Surely if you switch now NPower will refund you any credit balance as part of the switching process ?
  • wavelets
    wavelets Posts: 1,164 Forumite
    1,000 Posts Combo Breaker
    RossHan wrote: »
    Hello.
    I have built up a fairly large credit on my Npower account. I recall somebody mentioning that if you cancel your DD the payment will come straight out of the account credit. If I do this i have about 3 or 4 months without paying from my bank account.

    I'm aware this may mess with the annual amassment but I'm planning to switch providers when I've used up the credit anyway, because I'm on a regular basic tariff.

    Has anyone heard of this?

    Thanks

    No, I've never heard of this. (and if I has, it would be from an unreliable source)

    Why have you overpaid your energy account? :huh:
    You can claim any credit back and/or use it to reduce your monthly payment.

    https://www.moneysavingexpert.com/utilities/lower-energy-direct-debits/
  • Robin9
    Robin9 Posts: 12,858 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    RossHan wrote: »
    .............because I'm on a regular basic tariff.................
    Thanks


    Why are you on the basic tariff ?

    There will be a box on your bill which will tell you what there best tariff is .

    All it takes is a call to nPower.
    Never pay on an estimated bill. Always read and understand your bill
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