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Neon Reef to British Gas?!

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  • Coys
    Coys Posts: 38 Forumite
    Tenth Anniversary 10 Posts Name Dropper Combo Breaker
    Hmm. I just tried it (link) and it failed as it said I already had a DD, but Account Details still says payment by cash/cheque.

    I hope there's a DD option to pay the actual bill each month rather than a (usually overestimated) fixed sum.
  • brewerdave
    brewerdave Posts: 8,727 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    According to BG, they "will take on both customer credits and debts". (See https://www.britishgas.co.uk/solr/neon-reef.html under "Your Neon Reef account balance".)
    I was expecting NR to tell me how to pay the trivial debit balance in my final bill (since I already cancelled the DD), but presumably it will now be transferred to my BG account instead. It's not there yet. (And nor is the correct opening reading on 20 Nov.; it just shows an estimate for 3 Dec.)
    Be prepared for a s**t storm - some customers have already settled their indebtedness either by card payment or DD. High probability that some of these debts will reappear on BG accounts !!!
  • jrawle
    jrawle Posts: 619 Forumite
    Part of the Furniture 500 Posts Name Dropper
    Coys said:
    Hmm. I just tried it (link) and it failed as it said I already had a DD, but Account Details still says payment by cash/cheque.

    I hope there's a DD option to pay the actual bill each month rather than a (usually overestimated) fixed sum.
    I cancelled my Neon Reef DD as soon as they went under, so it couldn't have been transferred to BG in any case. I set up a whole bill direct debit with BG a couple of weeks go, but I had to do so via the live chat; there is no option to set up this type of direct debit via the website. You have to type what you want to discuss into the chat before it connects you to a real person, and it kept saying they were too busy. So I typed, "I want to leave British Gas", and it connected to an agent straight away. They had no idea what I'd told the robot, and were happy to set up the DD.
  • CRISPIANNE3
    CRISPIANNE3 Posts: 1,476 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    edited 11 January 2022 at 1:14PM
    I originally set a dd up via their chat line for my mum in law.  Twice it failed because they failed to capture her name correctly. She then received a threatening notice from BG advising they were ready to take debt recovery action. Also they then applied a £13.00 fee for failed direct debits. However she did not owe them anything as all failed payments had been made via debit card. 

    We  explained because of their incompetence she was now being penalised. In the end they refunded the £13.00 late payment fee. 
  • booshya
    booshya Posts: 170 Forumite
    100 Posts Name Dropper First Anniversary
    edited 11 January 2022 at 1:49PM
    Coys said:
    Hmm. I just tried it (link) and it failed as it said I already had a DD, but Account Details still says payment by cash/cheque.

    I hope there's a DD option to pay the actual bill each month rather than a (usually overestimated) fixed sum.
    BG still hope to transfer DD mandates over from NR (if you'd not already cancelled it - many had!)

    Yes, you will be able to set up a DD mandate direct with BG if you wish.
    (in your case, I suggest you contact BG to clarify your situation as you can't both have a DD in place and be expected to pay by cash/cheque)

    You shouldn't be able to set a DD with BG at this time - they will let you know when that will be possible.

    In the meantoime, if you are on the BG Welcome to British Gas tariff (the one ex-NR customers were placed on), you will currently be paying the same lower DD default tariff charges even though you are paying by cash/cheque on receipt of bill :)




  • Coys
    Coys Posts: 38 Forumite
    Tenth Anniversary 10 Posts Name Dropper Combo Breaker
    !!!!!!? Maybe as a result of me trying to set up a DD online with British Gas, I've just received a letter saying "we've cancelled your Direct Debit like you asked...".

    Tried again online and this time it seems to have worked, though it's chosen a much lower monthly amount.
  • Shedman
    Shedman Posts: 1,574 Forumite
    Tenth Anniversary 1,000 Posts Photogenic Name Dropper
    According to BG, they "will take on both customer credits and debts". (See https://www.britishgas.co.uk/solr/neon-reef.html under "Your Neon Reef account balance".)
    I was expecting NR to tell me how to pay the trivial debit balance in my final bill (since I already cancelled the DD), but presumably it will now be transferred to my BG account instead. It's not there yet. (And nor is the correct opening reading on 20 Nov.; it just shows an estimate for 3 Dec.)
    Interesting one this...I legally owe Neon Reef the outstanding debit balance (as I did not have any contractual relationship with BG at the time the supply was provided) and not BG so, unless BG have an agreement in place as something like a collection agent to collect the outstanding debit and pass it back to NR or NR administrators have sold the debt onto BG, I'm wondering about the legality of this?   Not that I'm unduly bothered as I would have to pay to NR anyway but just curious of legal position.
  • Coys
    Coys Posts: 38 Forumite
    Tenth Anniversary 10 Posts Name Dropper Combo Breaker
    Coys said:
    !!!!!!? Maybe as a result of me trying to set up a DD online with British Gas, I've just received a letter saying "we've cancelled your Direct Debit like you asked...".

    Tried again online and this time it seems to have worked, though it's chosen a much lower monthly amount.

    ... and a week after setting up the DD, and confirming it online, I received a letter from BG saying they've stored my credit card details for future payments. What a shambles.
  • MWT
    MWT Posts: 10,273 Forumite
    10,000 Posts Fifth Anniversary Name Dropper
    Shedman said:
    Interesting one this...I legally owe Neon Reef the outstanding debit balance (as I did not have any contractual relationship with BG at the time the supply was provided) and not BG so, unless BG have an agreement in place as something like a collection agent to collect the outstanding debit and pass it back to NR or NR administrators have sold the debt onto BG, I'm wondering about the legality of this?   Not that I'm unduly bothered as I would have to pay to NR anyway but just curious of legal position.
    The detail will be in the administrators report, but you can be sure that it will be legal, either with BG acting as a collections agent, or a classic sale of the debt to BG.

  • brewerdave
    brewerdave Posts: 8,727 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    MWT said:
    Shedman said:
    Interesting one this...I legally owe Neon Reef the outstanding debit balance (as I did not have any contractual relationship with BG at the time the supply was provided) and not BG so, unless BG have an agreement in place as something like a collection agent to collect the outstanding debit and pass it back to NR or NR administrators have sold the debt onto BG, I'm wondering about the legality of this?   Not that I'm unduly bothered as I would have to pay to NR anyway but just curious of legal position.
    The detail will be in the administrators report, but you can be sure that it will be legal, either with BG acting as a collections agent, or a classic sale of the debt to BG.

    Got "excited" yesterday because the BG website wouldn't show my plan /balance due to some updates but back to the "same old" today -no sign of the NR debt being transferred, no info. on when the first bill will be produced - and BG STILL nagging for me to reduce my DD as they think I will be in credit at the plan end. I t would be very easy to do - and end up owing !!
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