Can I charge for being overcharged

248Matt

The energy companies, much like many, will charge me for late payments or not paying. Therefore when they have continually overcharged me and my account is in credit is there anyway I can charge them? I presume they overcharge most and earn alot of money on the accumulated interest. Why should they make money off my money?

GingerTim

No, you can't.

Kat78MFW

If OVO are taking on new customers, they offer interest on credit balances. I think it starts at 3% interest and increases each year as a loyalty reward. 

dunstonh

Therefore when they have continually overcharged me and my account is in credit is there anyway I can charge them?

No.  You decide your monthly payments and its normal to build up credit during the summer as you spread the cost that way.

I presume they overcharge most and earn alot of money on the accumulated interest. Why should they make money off my money?

If you don't like it then change to a tariff that matches the way you want to pay.   

Vincero

GingerTim said:

No, you can't.

That's not technically true... Practically it is not likely, but technically if you could get an energy provider to agree a contract with terms that stipulate interest or charges based on debt / credit for either party then sure it's possible. Good luck OP getting that, apart from maybe the OVO deal mentioned above...

Robin9

@248Matt   What do you mean by "overcharged" - the supplier has a tariff - are they charging you more than that ?

pochase

Most suppliers offer payment by variable direct debit, so you pay in arears what you used the previous month.

If you don't want to build up a credit that is your solution. Be prepared for very high bills in winter.

macman

Having your DD set too high is not 'overcharging'. Overcharging means your bill is wrong in some respect. Your DD has nothing to do with your bill, it's just an estimate of 1/12th of your annual spend.

Alnat1

The DD is simply money the energy company hold in a "pot" for you and will then take out the amounts owed on your bills over the year. They aren't overcharging, this is a free service, in fact they even give you around a 7% discount on your bills for doing it.

It works well for a lot of people who, if they kept the money in a "pot" at home, might dip into it and not have enough left when the bills were issued.

248Matt

So I moved to my current supplier two years ago prior to all the current increases. I was coaxed in with a £90 pcm from the MSE energy club. Then after 6 months it jumped to £150 pcm. I argued and complained but the company said thats whatvl they predict I'll use. I told them I predict I won't and they missold me the tariff to get me to change. However they wouldn't budget and just asked if I'd struggle to pay which I voiced was not the problem and yes I could but it's not the point. 

I was in £700 credit at one point and therefore they were wrong, so why can they up my payments to this much and I have no power over it other than leave and be charged. Daylight robbery/earning off my money and I have no say because its a 'company' and not a person in black and white stripes. 

GingerTim

How much are you actually using per month according to your bill, and how does that look against your direct debit? The £90/month rate would have been based on estimates you presumably gave them - and prices have increased considerably since two years ago, and are going upbat a rate of knots. From what you have written so far it is far from clear that you are being 'overcharged' at all.

Remember that the direct debit amount is essentially meaningless - you need to take your actual usage in kwh against the unit rates on your tariff to work out how much you should pay. If you give that info some knowledgeable person here will be able to help out.