We'd like to remind Forumites to please avoid political debate on the Forum. This is to keep it a safe and useful space for MoneySaving discussions. Threads that are - or become - political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

British Gas direct debit discount?

Juliejenn
Juliejenn Posts: 8 Forumite
Seventh Anniversary First Post Combo Breaker
I was under the impression that paying by direct debit for fuel was cheaper than paying in other ways so I asked BG, via their chat service, how much the discount was and how it was worked out. I was transferred to BG from Peoples energy last year and the tariff I'm on ends 30 June. 

After a lot of exchanges with various customer service advisers, most saying it definitely was cheaper but some saying the discount was off the unit cost and others saying the discount was just off the standing charge. No one gave me a clear answer about how much it would be and how it was worked out. So I raised a complaint and was then told that there wasn't a discount for paying by dd at all!!

 Unbelievable that around 5 staff had said there was although no one could tell me how much it was. I find it hard to believe what any of them have said and am unable to find anything in writing about paying by dd being cheaper. Does anyone know if it actually is cheaper or not before I decide what to do next?

Comments

  • pochase
    pochase Posts: 3,449 Forumite
    1,000 Posts First Anniversary Name Dropper
    edited 27 June 2022 at 3:20PM
    There is a discount on paying by direct debit, and it is for both, standing charge and unit rates. The discount is not a percentage off the rates, it is that different rate tables are used.

    Use  the following link

    https://www.britishgas.co.uk/GetAQuote/tariff-information

    and go through the quote for "direct debit" and pay "cash/cheque" and your tariff, for example Standard Variable (or whatever tariff you are on and you will see the different rates for different payment methods.
  • QrizB
    QrizB Posts: 14,048 Forumite
    10,000 Posts Third Anniversary Photogenic Name Dropper
    Here's an example from EDF; the first column is daily standing charge, the second is the unit price.
    You'll find the full table (with EDF's variable tariffs for all GB regions) at this link. BG's tariffs will be similar (except for E7 day and night rates).
    N. Hampshire, he/him. Octopus Intelligent Go elec & Tracker gas / Shell (now TT) BB / Lebara mobi. Ripple Kirk Hill member.
    2.72kWp PV facing SSW installed Jan 2012. 11 x 247w panels, 3.6kw inverter. 33MWh generated, long-term average 2.6 Os.
    Not exactly back from my break, but dipping in and out of the forum.
    Ofgem cap table, Ofgem cap explainer. Economy 7 cap explainer. Gas vs E7 vs peak elec heating costs, Best kettle!
  • Alnat1
    Alnat1 Posts: 3,569 Forumite
    1,000 Posts Second Anniversary Photogenic Name Dropper
    Maybe there's no discount for paying by DD but there are penalties if you pay by other methods.
    Barnsley, South Yorkshire
    Solar PV 5.25kWp SW facing (14 x 375 Longi) Lux 3.6kw hybrid inverter and 4.8kw Pylontech battery storage installed March 22
    Octopus Agile/Fixed Outgoing and Tracker gas
  • Juliejenn
    Juliejenn Posts: 8 Forumite
    Seventh Anniversary First Post Combo Breaker
    Thanks everyone. I thought there were different rates for different payment methods but am assured this is not the case by the person at B Gas who is meant to be dealing with my complaint. If its just down to calling it a discount as opposed to different rates that is the problem I don't know but cannot understand why I'm being told the unit and standing charge will be just the same regardless of how I pay. Do you know if it matters if it is a variable or fixed dd to get a reduced rate as I wasn't able to get an answer to this either?
  • Juliejenn
    Juliejenn Posts: 8 Forumite
    Seventh Anniversary First Post Combo Breaker
    QrizB said:
    Here's an example from EDF; the first column is daily standing charge, the second is the unit price.
    You'll find the full table (with EDF's variable tariffs for all GB regions) at this link. BG's tariffs will be similar (except for E7 day and night rates).
    Thanks, do you know where I can find the link to BGas tariffs in a similar format. I can't find it on their website anywhere.
  • pochase
    pochase Posts: 3,449 Forumite
    1,000 Posts First Anniversary Name Dropper
    There is nothing in the form of the EDF lists that I am aware off. Use the link I posted. You will be even be able to see the price exactly your tariff. Always possible that it is really a tariff that has the same prices for different payment methods.

    For example Octopus has the same price for direct debit and hash/cheque.
  • Juliejenn
    Juliejenn Posts: 8 Forumite
    Seventh Anniversary First Post Combo Breaker
    pochase said:
    There is nothing in the form of the EDF lists that I am aware off. Use the link I posted. You will be even be able to see the price exactly your tariff. Always possible that it is really a tariff that has the same prices for different payment methods.

    For example Octopus has the same price for direct debit and hash/cheque.
    I had a look at the link, thanks, but when I put my details in it only came up with 1 offer none of the others were available. It wouldn't let me compare payment methods for the one I was offered. It was the Fixed Aug23v1.
  • pochase
    pochase Posts: 3,449 Forumite
    1,000 Posts First Anniversary Name Dropper
    You need to choose the tariff in the drop down and use the second button


  • Juliejenn
    Juliejenn Posts: 8 Forumite
    Seventh Anniversary First Post Combo Breaker
    pochase said:
    You need to choose the tariff in the drop down and use the second button


    I did that thanks but when I logged into my account it says there's only 1 offer available for me when current 1 ends. Its the Fixed Aug23v. I looked up the people's tariff (which I'm on now)though and it showed a definite lower unit and standing charge price for paying by mthly dd. Wish I'd known as I've been paying quarterly. Still not sure why BG telling me there's no discount - I'm going to take them up over this after seeing the figures.
    Do you know if the reduced rates apply with a variable mthly direct debit as I'd rather just pay for what I use  mthly rather than have it spread over year.
    Amazing how this forum has been so much more helpful than BG!!
  • maisie_cat
    maisie_cat Posts: 2,124 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Academoney Grad
    I think when BG have taken over as SoLR for another supplier, they've sometimes initially made the "cash/cheque" tariff the same as the "direct debit" tariff; but it won't stay that way for very long. Presumably this is meant to give people a little time to set up direct debits.
    This is what happened to us when we transferred from NR, the DD was set up as soon as possible but I'd cancelled the NR DD. The rates for pre DD setup and post were the same.
Meet your Ambassadors

Categories

  • All Categories
  • 347.2K Banking & Borrowing
  • 251.6K Reduce Debt & Boost Income
  • 451.8K Spending & Discounts
  • 239.5K Work, Benefits & Business
  • 615.4K Mortgages, Homes & Bills
  • 175.1K Life & Family
  • 252.8K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16K Discuss & Feedback
  • 15.1K Coronavirus Support Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.