EBICo - as good as it seems?

melbury

So I guess that for £220 odd it is worth considering switching. Do you think the switch would be any easier because of the fact that Southern Electric basically manage the Ebico accounts? It is a shame though, I have been very satisified with Ebico and was really hoping that their prices would drop a bit in September. But I suppose £220 is quite a significant amount to save.

Cardew

melbury wrote: »

So I guess that for £220 odd it is worth considering switching. Do you think the switch would be any easier because of the fact that Southern Electric basically manage the Ebico accounts? It is a shame though, I have been very satisified with Ebico and was really hoping that their prices would drop a bit in September. But I suppose £220 is quite a significant amount to save.

£220 is, as you say, a lot.

The other advantage is switching now is that the Southern electricity prices are fixed until 30 November 2008 - and it seems probably that prices will rise again soon.

Terrylw1

melbury wrote: »

So I guess that for £220 odd it is worth considering switching. Do you think the switch would be any easier because of the fact that Southern Electric basically manage the Ebico accounts? It is a shame though, I have been very satisified with Ebico and was really hoping that their prices would drop a bit in September. But I suppose £220 is quite a significant amount to save.

If it is classed as a change of supply it won't be any easier than switching to/from any utility. The reason being that on a change of supply there are industry agents outside of these companies who manage your meter and reading data. So, the CoS process takes just a long. However, getting bills closed should be a bit smoother.

melbury

After much soul searching about switching because of the £200 saving I could make, I have decided to stay put with Ebico. It is just so nice not having a direct debit for fuel going out each month, which can change on the whim of the supplier. Of course I can write a smaller cheque in the summer than the winter and nobody has my money in advance.

So I am sticking with Ebico. After all, they seem to be the only company that you don't read anything bad about on here, so that has got to be worth something.

Cardew

There are still plenty of firms(including SE) who have quarterly payment tariffs that are much cheaper.

The main reason for DD's changing so much is that people switch so frequently(often after being lured by an artificially low DD) and there is no history of consumption; and that people simply do not check their bills and do not correct estimated readings.

Terrylw1

Agree with Cardew. There is simply not enough data until you have had a customer for 12 months and even then if they are just estimated bills, still not easy to estimate a DD.

Suppliers have always set averages in their systems which work on seasons and averages as they know of them. This dictates your DD & bill estimation until they have a pattern of firm readings over the course of the seasons.

So, to avoid DD over estimation the solution is simple. Get a firm reading on each bill for 12 months. Switching means you go back to square one. Suppliers have the option to use the Data Collectors previous 12 months for estimation but it is extremely complex in the elec market to do due to all the data correction that frequently happens.

Also, in the first year you have one up on your Supplier if you can prove your seasonal consumption in the previous year. Prove that to them and they can take you at your word and monitor it. Otherwise, you are handing them the reins.

benjdr

Terrylw1 wrote: »

So, to avoid DD over estimation the solution is simple. Get a firm reading on each bill for 12 months. Switching means you go back to square one. Suppliers have the option to use the Data Collectors previous 12 months for estimation but it is extremely complex in the elec market to do due to all the data correction that frequently happens.

So say I switch to SE and have to pay by monthly direct debit. How can in ensure they take the correct amount each month? Would I need to ring them each month and give the a reading? How far in advance will the bill come before the money is taken from the account?

Cardew

benjdr wrote: »

So say I switch to SE and have to pay by monthly direct debit. How can in ensure they take the correct amount each month? Would I need to ring them each month and give the a reading? How far in advance will the bill come before the money is taken from the account?

The intial DD will be based on an estimation from information you provide on previous consumption - or(if that is not available) what they expect the average to be for your type of property.

That incidentally is where most of the initial problems occur. The agents in the comparison websites and utility companies are on commission and want your custom. To get your custom, and importantly that commission!, they will fix your DD at an artificially low level. Hence big debit balances build up and this is compounded by consecutive estimated meter readings that the customer doesn't correct.

If you know what your annual consumption is likely to be, you will normally have very little problem - armed with that information it ain't rocket science for them to work out your annual bill and base your DD on that figure.

Initially with any company you will need to check your meter readings against any estimated bills and keep them informed.

However if customers took some responsibility for their gas and electricity accounts, and carried out basic checks, it wouldn't be a problem if you ran up a large debit balance. You simply look on it as an interest free loan!!

melbury

Cardew wrote: »

There are still plenty of firms(including SE) who have quarterly payment tariffs that are much cheaper.

The main reason for DD's changing so much is that people switch so frequently(often after being lured by an artificially low DD) and there is no history of consumption; and that people simply do not check their bills and do not correct estimated readings.

Thanks Cardew but Southern Electric don't offer the quarterly payment on their price fix 2008 option - the only method of payment that comes up is DD.

Cardew

melbury wrote: »

Thanks Cardew but Southern Electric don't offer the quarterly payment on their price fix 2008 option - the only method of payment that comes up is DD.

Yes I appreciated that, but they still have other tariffs that are still much cheaper for you(than Ebico) with quarterly payment.

However given you know your annual consumption(as stated in an earlier post) you can easily work out your annual bill and a DD based on that figure should not be subject to any change; and if they do change it they have to notify you in advance.