double payment on switching

Aldi

Hello Folks,
I am in the process of switching my gas and electricity from Pure Planet to Igloo Energy.
I have had e-mails from both wanting meter readings.
Pure Planet have sent me a final account but the Direct Debit comes out tomorrow.
Igloo say they will begin supplying my energy on Tuesday 4/9. Their Direct Debit begins on 4/9!
Effectively i will be paying Igloo in advance for energy not yet used. I will also be facing my final bill in the same week from Pure Planet.
Is this normal? I will be skint if this happens! Igloo don't work weekends so i am waiting until tomorrow to see if they reply to my e-mails.
Should i cancel my direct debit to Igloo?
Thanks

PennineAcute

It's the norm for the smaller providers. As per Igloo's T&Cs, they are have right to charge you for any missed payments, so I would not cancel the direct debit.

t0rt0ise

Yes this has just happened to me with two different suppliers. I've left it but if I couldn't afford it I would cancel the DD of the leaving supplier.

brewerdave

Would have been too late to cancel DD anyway - a Monday transaction would have already been in the system on Sunday for Monday payment. To prevent a DD being paid it needs to be cancelled well in advance - I reckon on 5 working days, not sure what the banking system actually needs.


As to paying two suppliers? Unfortunately that's the downside of chasing cheap deals - these small suppliers are always chasing cash flow.

EnergyRookie

Aldi wrote: »

Hello Folks,
I am in the process of switching my gas and electricity from Pure Planet to Igloo Energy.
I have had e-mails from both wanting meter readings.
Pure Planet have sent me a final account but the Direct Debit comes out tomorrow.
Igloo say they will begin supplying my energy on Tuesday 4/9. Their Direct Debit begins on 4/9!
Effectively i will be paying Igloo in advance for energy not yet used. I will also be facing my final bill in the same week from Pure Planet.
Is this normal? I will be skint if this happens! Igloo don't work weekends so i am waiting until tomorrow to see if they reply to my e-mails.
Should i cancel my direct debit to Igloo?
Thanks

Look on the bright side, when you switch again in 12 months time or so, you may switch back to a supplier that bills in arrears againn, and then you will have a month where you may not have any DD to pay that month for energy :money:

And, if I'm to believe the posts by many on many of the other threads on this sites (which I don't) you will also get £500+ in accrued credit refunded. Not sure why you are not getting the £500+ credit refunded this time if you are switching at the end of the summer period, rather than having a final bill to pay ... or maybe the posts by those who suggest £500+ credit is normal are not correct :cool:

It always seems to be the suppliers that have gone bust where people suggest they are all £500+ in crediot with them. If that was surely the case, I'm not sure the supplier would have gone bust in the first place. Still, who am I to question the veracity of other MSEers?

EnergyRookie

t0rt0ise wrote: »

Yes this has just happened to me with two different suppliers. I've left it but if I couldn't afford it I would cancel the DD of the leaving supplier.

I would ask the the supplier to arrange a re-payment plan I could afford, and if that was not possible, ask thye bank for an overdraft. (Too late now though!)

If you cannot afford a payment, then you will be even less able to afford a payment that has a failed DD charge added to it.

It amy also adversely affect your credit history files.

If I really was that bad at budgetting, I might even consider getting PPMs installed. Yes, it may cost more than the cheapest credit tariff, but it would mean I wouldn't need to worry about paying a fuel bill again.

t0rt0ise

EnergyRookie wrote: »

I would ask the the supplier to arrange a re-payment plan I could afford, and if that was not possible, ask thye bank for an overdraft. (Too late now though!)

If you cannot afford a payment, then you will be even less able to afford a payment that has a failed DD charge added to it.

It amy also adversely affect your credit history files.

If I really was that bad at budgetting, I might even consider getting PPMs installed. Yes, it may cost more than the cheapest credit tariff, but it would mean I wouldn't need to worry about paying a fuel bill again.

I have cancelled DDs in the past and never had a failed DD charge added. More likely that they'd put someone on a higher tariff I'd have thought. If it gets close to the next DD date before I've had my refund, I will cancel it. They won't owe me £500 and I have to say that it's very rare that someone on here claims they are owed that much, but I expect them to owe me about 70 quid.

And also it's quite sad that you aren't able to imagine any circumstance that others might find themselves in whereby paying a double charge upsets the budgeting. Thank goodness that I am more empathetic.

EnergyRookie

t0rt0ise wrote: »

I have cancelled DDs in the past and never had a failed DD charge added.

Not all suppliers charge for failing to pay a direct debit.

But according to post #2, Igloo do, or at least reserve the right to.

t0rt0ise wrote: »

More likely that they'd put someone on a higher tariff I'd have thought. If it gets close to the next DD date before I've had my refund, I will cancel it. They won't owe me £500 and I have to say that it's very rare that someone on here claims they are owed that much, but I expect them to owe me about 70 quid.

I recently questioned the same large (imho) accrued credit on their energy account, but was told by another MSEer that is was quite normal.

https://forums.moneysavingexpert.com/discussion/60121682 (post#31 onwards)

You never know what to believe with posts by some MSEers :cool:

t0rt0ise wrote: »

And also it's quite sad that you aren't able to imagine any circumstance that others might find themselves in whereby paying a double charge upsets the budgeting. Thank goodness that I am more empathetic.

I understand and sympathise with those in such a situation, and have given what I consider to be appropriate advice to anyone so affected.
As others have already mentioned, it is a known possibility that you may need to settle a final bill, and or/have 2 separate direct debits to pay when you swich supplier and circumstances dictate.

I also mention how, at least according to one MSEer, 1000's may receive a windfall of the return of £500+ accrued credit when switching.

It's quite sad you are unable to understand and take my comments in the spirit intended.
But it seems this place is full of people wishing to criticise those attempting to assist others with their queries