Cancelling Direct Debit

ordnancesurvey84

I'm wondering if someone can advise me.

I was until recently a customer of Orbit Energy - with whom I had built up a credit balance.

Since leaving, I've now cancelled the direct debit I had with them, as I don't particularly want to be paying two suppliers simultaneously.

They've not yet produced my final bill, so their systems are still expecting a monthly direct debit payment later this month. They've sent me an automatically generated email because they've been made aware of the cancelled direct debit - with the warning that "It’s important you have a payment method setup. If you miss a payment we may register a default on your consumer credit file, which may harm your future ability to apply for loans and mobile phone contracts."

I just wondered if this is something I need to be concerned about given that the company no longer provides my energy and that I'm actually in credit. 

Thanks

jbuchanangb

With some suppliers, they use the valid DD authorisation as the mechanism to refund any credit balance. If this has been cancelled, then you may have to ask them to issue a cheque.

Streaky_Bacon

ordnancesurvey84 said:

I was until recently a customer of Orbit Energy - with whom I had built up a credit balance.

They've not yet produced my final bill, so their systems are still expecting a monthly direct debit payment later this month. They've sent me an automatically generated email because they've been made aware of the cancelled direct debit - with the warning that "It’s important you have a payment method setup. If you miss a payment we may register a default on your consumer credit file, which may harm your future ability to apply for loans and mobile phone contracts."

A missed payment is not the same as a default, so I am not sure why they are saying that they would put a default on your account.

Also, there is a question of which firms are actually allowed to report payments to credit reference agencies.

I am not clear on this, but I believe that they may need to be registered with the FCA, and Orbit Energy do not seem to be registered.

If a company does not provide monthly payment history normally, then I don't think that they can just start when you have a missed payment.