This EON *NEXT*

Candy53

Hi everyone,

I'm with Eon, and I received the email telling me I was being moved to this EON Next.

I have always paid quarterly with my card online. Now, I will have to pay monthly. This means putting readings in every month, and paying every month.

I have just realized something else.
Paying quarterly, I pay 5% Vat x 4, so that makes it the 20% per year. But, by paying monthly, I will still be paying the 5% for each bill, bringing the full year's Vat bill to 60%!

Fuel bills are high enough without having to pay all that extra Vat!


Candy. 

Robin9

Candy53 said:

Hi everyone,
h.

I have just realized something else.
Paying quarterly, I pay 5% Vat x 4, so that makes it the 20% per year. But, by paying monthly, I will still be paying the 5% for each bill, bringing the full year's Vat bill to 60%!




Candy. 

You misunderstand . If say you had a quarterly bill of £120  - VAT payable would be £6.  If £40 a month - month 1  is £40 plus £2; month 2 is £40 plus £2 and month 3 £40 plus VAT £2   - total £126 as before.

[Deleted User]

You are not paying 20% VAT on domestic energy. You pay 5% VAT on the charges raised during the billing period irrespective of the length of time between statements. It follows that if your monthly charges come to £30 then you will pay £1.50 VAT. If your 3 monthly charge was £90 then you would pay £4.50 in VAT.

E.oN Next is E.oN’s new billing system purchased from Octopus Energy.

SalveForOldSores

I've just been moved onto the Eon Next Account at the end of July.

I didn't request, or consent for this to happen.

This was engineered in the computer software, such that when I went to sign-in to get details of my quarterly bill, (Under the old Eon account) I was directed  to the set-up procedure for new EON Next account, without any real explanation of the consequences and, there was no choice allowed and no way back to the old account.

Upon signing-up for the new account, there was no mention of any revised terms and conditions, neither was my attention drawn to the fact that existing manual payers (I had  previously paid Quarterly by electronic bank transfer up to this point) would in future be required to pay monthly.

It was only when  they sent the E-Mail containing the  combined first monthly bill and annual statement (A month later, at the end of this last working week) ,that it become apparent that people such as my self would be required to pay monthly - In my view that's a change in the terms and conditions of the supplier/consumer contract.

The latest bill also advises that it should be paid within 7 days.

Being an OAP and with challenged health circumstances, I'm not keen to be, in effect, forced by the inconvenience of making manual monthly payments to now pay my monthly direct debit, over which I have no control as to amount deducted or the timing of the deduction. My cash flow isn't robust enough to tolerate any top-down corporate randomness as to dates of debits or amounts, even though they claim they will give you 5 days notice of application of each DD.

So, I'm now considering paying manually by electronic bank  transfer for the next three months and maybe in the future setting-up a standing-order, varied at the six-month to take account of varying summer/winter consumption.

Also, I noticed that  the first Eon Next bill is estimated . . . .  and that, on taking a meter reading myself, found that  the Eon Next estimate over-estimated monthly consumption of electrical units by 18%, equivalent to £9.53 a month or £114.36 a year. And remembering that this is summer and anticipating that the divergence may get worse as winter approaches, my first action was to submit a revised meter reading.

Interesting to see what happens.

[Deleted User]

SalveForOldSores said:

I've just been moved onto the Eon Next Account at the end of July.

I didn't request, or consent for this to happen.

This was engineered in the computer software, such that when I went to sign-in to get details of my quarterly bill, (Under the old Eon account) I was directed  to the set-up procedure for new EON Next account, without any real explanation of the consequences and, there was no choice allowed and no way back to the old account.

Upon signing-up for the new account, there was no mention of any revised terms and conditions, neither was my attention drawn to the fact that existing manual payers (I had  previously paid Quarterly by electronic bank transfer up to this point) would in future be required to pay monthly.

It was only when  they sent the E-Mail containing the  combined first monthly bill and annual statement (A month later, at the end of this last working week) ,that it become apparent that people such as my self would be required to pay monthly - In my view that's a change in the terms and conditions of the supplier/consumer contract.

The latest bill also advises that it should be paid within 7 days.

Being an OAP and with challenged health circumstances, I'm not keen to be, in effect, forced by the inconvenience of making manual monthly payments to now pay my monthly direct debit, over which I have no control as to amount deducted or the timing of the deduction. My cash flow isn't robust enough to tolerate any top-down corporate randomness as to dates of debits or amounts, even though they claim they will give you 5 days notice of application of each DD.

So, I'm now considering paying manually by electronic bank  transfer for the next three months and maybe in the future setting-up a standing-order, varied at the six-month to take account of varying summer/winter consumption.

Also, I noticed that  the first Eon Next bill is estimated . . . .  and that, on taking a meter reading myself, found that  the Eon Next estimate over-estimated monthly consumption of electrical units by 18%, equivalent to £9.53 a month or £114.36 a year. And remembering that this is summer and anticipating that the divergence may get worse as winter approaches, my first action was to submit a revised meter reading.

Interesting to see what happens.

No consent needed. It is nothing more than a change of technology platform and a subsidiary company within the E.oN Group. However, by the sound of it there should have been better communication about the change. If they have changed your terms and conditions which you deem to be to your disadvantage, then you should be allowed to switch suppliers without penalty. 

Gordon1313

Same thing has happened with me. I live and work abroad most of the time and have always paid quarterly, immediately that I get the bill online. I was told to set up this EON Next account which I did. I have been receiving monthly EON emails saying I owe them G&E and just assumed it was a scammer so deleted them.
So far EON have charged me two late payment fees of ten pounds each for not paying within the 7 days.
Having read their T&C it appears they are only thinking of me by billing me monthly. In order to not receive a large quarterly bill. (Nothing to do with getting their money as soon as they can and hopefully nail people for a late payment fee.
I have emailed EON for them to explain why they never told me the billing frequency was changing and to reply within 7 days. I don't expect a reply looking at the 94,000 other complaints that they have yet to deal with.
This is sharp practice by EON to penalize people for not using direct debit, so then they can then scam you out of hundreds a month by hugely inflating an estimate of what you may pay.
Avoid EON if you are changing suppliers. This company is a disgrace.

tomvilla21

Billing quarterly isn’t viable for any business. This will be across the board with all energy supplier soon enough. People’s circumstances change and then receive massive quarterly they simple can’t afford so having a monthly bill gives us an idea of how much to expect and can plan easier. 

Why wouldn’t you pay by direct debit? It is the cheaper option and have a smart meter which will stop any estimated bills and your set won’t have to do a thing!

On a brighter note if you do contact them about late fees and not be an !!!!!! they may remove the late fees even more so if you do set up a direct debit

mumf

I have always paid quarterly.I had a bad experience with direct debit some years ago,and refuse to let some company dip into my bank as they please. However, this new system will work for me. I shall simply set up a phone alert,submit a reading and pay the bill each month.

[Deleted User]

Gordon1313 said:

Avoid EON if you are changing suppliers. This company is a disgrace.

That is one point of view and one that you are certainly entitled to.  However as a recent joiner to Eon Next I am unable to agree your point of view.  I'm not sure why paying a monthly bill (either by DD or by settling a monthly statement) is any more difficult than paying say your monthly credit card bill.  Don't forget if you fail to pay your credit card bill on time then you get clobbered with a late payment fee.  For the extra cost of paying quarterly v monthly I know I'd be more than happy to spend a few minutes each month settling up with them on time.  Perhaps there are other firms out there (such as Scottish Power) that may provide the kind of service you are missing from Eon Next.  Good luck

PennineAcute

Let's assume your total annual bill is £1200 inc VAT (5%)

£1200 over 12 months is £100

This £100 is made up of £95.29 pre vat and £4.71 VAT (5%)

Multiply both of these by 12 gives

£1143.48 pre VAT and £56.52 VAT (5%)  - This gives a total of £1200 inc VAT (5%)

So, you are not paying extra by paying monthly.

QrizB

Gordon1313 said:

I have been receiving monthly EON emails saying I owe them G&E and just assumed it was a scammer so deleted them.
So far EON have charged me two late payment fees of ten pounds each for not paying within the 7 days.

And the moral of this story, if you hadn't worked it out already, is don't delete emails from your energy supplier requesting payment.