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Outfox withholding 2.5 months of credit

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I’m £100’s in credit with Outfox so last month I asked for a refund. They agreed to refund £400 taking me down to 1 months worth of credit on my account. I thought that was reasonable given we’re heading in to winter even though over the past two winters we’ve managed to build up credit during that period too. However, when my refund arrived it was just £160. When I rang, I was told that they’re now keeping 2.5 months of credit and refused to honour the original agreed amount. I insisted they give me my money back but they have point blank refused.  Can they do that?! Is it legal?! 
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  • dreamypuma
    dreamypuma Posts: 1,349 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    I’m £100’s in credit with Outfox so last month I asked for a refund. They agreed to refund £400 taking me down to 1 months worth of credit on my account. I thought that was reasonable given we’re heading in to winter even though over the past two winters we’ve managed to build up credit during that period too. However, when my refund arrived it was just £160. When I rang, I was told that they’re now keeping 2.5 months of credit and refused to honour the original agreed amount. I insisted they give me my money back but they have point blank refused.  Can they do that?! Is it legal?! 
    Assuming your not subject to any early terminations charges, switch.

    Before you do, understand your actual annual usage, so that any switch is calculated accurately and huge credit balances aren't built up with the new supplier.
    My farts hospitalize small children :o
  • I understand that I can switch but I’d rather have the refund that was agreed than go through the switch process and delay getting my refund. Are they allowed to withhold my money or are they legally obliged to provide the refund?
  • Nick_C
    Nick_C Posts: 7,602 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Home Insurance Hacker!
    2.5 times your monthly payments seems reasonable at this time of year if you are a typical user.  

    I pay OTM £65 a month, and am currently in credit by £168.  However, I'm expecting my next four monthly bills to total £380, leaving me with a £48 credit in April.

    Have you accurately forecasted your charges over the winter period?
  • I’m not a typical user as I have both solar pv panels and solar thermal panels and run up credit in winter as well as summer. I have had my DD reduced accordingly so my summer zero usage should more than cover any winter debit. That’s the whole point of paying the same DD all year so that extra winter usage is covered. 
    It’s my money, how can they refuse to give it back to me especially as it still leaves over £100 credit on my account? What’s next? 6 months credit? A year? 
  • Nick_C
    Nick_C Posts: 7,602 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Home Insurance Hacker!
    But presumably you are a typical user in that you buy more fuel in winter than you do in summer?

    I would suggest you do a monthly forecast of your expected bills over the next 12 months, showing the monthly credit balance you expect to have each month after you have been refunded whatever amount you are currently claiming.  That's what I did when I asked for a refund.

    Any payment scheme to a fuel supplier is essentially an agreement.  You can't force them to accept your terms; they can say they don't want you as a customer.  They can't force you to accept their terms; you can find a different supplier.

    But OTM are very cheap, and the best way forward would be to persuade them that what you are proposing is reasonable and leaves your account with a reasonable credit when winter ends - enough to cover one month's payment.
  • Gerry1
    Gerry1 Posts: 10,848 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    You could always initiate a switch.  When you get the 'Sorry you're leaving us, are you sure?' email, you can say you'll stay with them if they will refund your credit.
    If your bluff fails you can still cancel the switch within 14 days, so nothing will be lost.
  • Petriix
    Petriix Posts: 2,296 Forumite
    Ninth Anniversary 1,000 Posts Photogenic Name Dropper
    You shouldn't ever be in debit. With solar, the increase in winter usage will be more, not less. 2.5 months credit is the right ballpark for the beginning of December, or arguably a little low. I have roughly that much credit and will just about be at zero by March.

    Is your direct debit roughly 1/12 of your annual usage? If not then you should adjust it. You haven't given exact figures but it seems like you're quite high users. The time to ask for a refund would be in the Spring.
  • dreamypuma
    dreamypuma Posts: 1,349 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    edited 2 December 2020 at 6:06PM
    I understand that I can switch but I’d rather have the refund that was agreed than go through the switch process and delay getting my refund. Are they allowed to withhold my money or are they legally obliged to provide the refund?
    Sometimes, some battles are not worth the energy. Not sure about OTM, but some supplier drag their heels with refunds (I'm looking at Shell / First Utility here). At least after a switch the refund is less grey and has defined timescales.
    My farts hospitalize small children :o
  • Verdigris
    Verdigris Posts: 1,725 Forumite
    1,000 Posts Third Anniversary Name Dropper
    I had to remind OTM to refund my credit after I left them, a couple of years ago. Just a matter of messaging them and they stumped up.
  • The owners are in trouble. 
    They are up in Leicester Crown Court next year.
    The whole family. 
    Loads of customers having problems with the annual fund raise. Happens every year with this company. 
    Admittedly, not the mass attack on every customer like 2018. Instead, picking off small batches of customers at a time. 
    Delayed refunds. Refund shortfalls. Estimated bills & readings. Hiked Direct Debits far outstripping usage. Useless customer services and long wait times on the phone. 
    Can’t understand why people bother with this company for the sake of saving £2 per month. Just forego ONE cappuccino on the morning on the way to work.
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