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Energy bills regular monthly direct debits

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I live on a (very) low income and, in order to budget more easily, I want to pay the same amount in bills every month. My energy bills - of course - fluctuate throughout the year and in the winter become unaffordable - I have heard this referred to as "fuel poverty". Does anyone know of an energy tariff where you can pay the same amount every month (based on your usage in the previous year) and then, after 12 months, you sort out the debit/credit and start again. This kind of tariff would be soooo helpful to me but I can't find a company who offers one. Energy companies talk a lot about fixed tariffs but it is energy prices fixed for them, not bills fixed for the customer. Can anybody help me?

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  • Kitchen_Sink
    Kitchen_Sink Posts: 230 Forumite
    Sixth Anniversary 100 Posts Combo Breaker Name Dropper
    edited 5 March 2020 at 6:44PM
    I live on a (very) low income and, in order to budget more easily, I want to pay the same amount in bills every month. My energy bills - of course - fluctuate throughout the year and in the winter become unaffordable - I have heard this referred to as "fuel poverty". Does anyone know of an energy tariff where you can pay the same amount every month (based on your usage in the previous year) and then, after 12 months, you sort out the debit/credit and start again. This kind of tariff would be soooo helpful to me but I can't find a company who offers one. Energy companies talk a lot about fixed tariffs but it is energy prices fixed for them, not bills fixed for the customer. Can anybody help me?
    Almost all suppliers offer this type of payment plan - look for monthly payment by direct debit tariffs.

    Ignore Symbio who, by deefault, reconcile every month as opposed to at the end on the contractual period (although they may agree the method you prefer by individal agreement).

    Also, some of the newer, small suppliers my not allow you to be in debit, so check the terms carefully if you want to chose one of these.

    Otherwise, all suppliers will monitor your monthly payment to ensure you do not build up a big credit or debit over the contractual period. This is typically every 6 months. But if your inital annual estimated usage is about right, there should be no reason to change the payment.

  • Gerry1
    Gerry1 Posts: 10,848 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    edited 5 March 2020 at 6:52PM
    It sounds like you're on Variable Direct Debit or Pay on Receipt of Bill (which is usually more expensive) but want to be on Fixed Direct Debit.  Most suppliers only offer Fixed Direct Debit (except for Pay on Receipt of Bill and pre-payment) so I don't understand why you can't find anything.
    Bear in mind that Fixed Direct Debit can be a problem if you don't send monthly meter readings: if you've used more than expected your DD will rocket after the meter reader calls, once to claw back the arrears and once more to reflect how much you're really using.
    I trust you're claiming Warm House Discount, Cold Weather Payment etc?
  • Read this thread johnathansrange.
    Disclaimer : Everything I write on this forum is my opinion. I try to be an even-handed poster and accept that you at times may not agree with these opinions or how I choose to express them, this is not my problem. The Disabled : If years cannot be added to their lives, at least life can be added to their years - Alf Morris - ℜ
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