Fixed Tariff - stating in credit but in debt by end of tariff

Masonp

I’m on a fixed tariff and unfortunately this is ending in November this year. Now my account states I’m in credit by a few hundred but will be in debt by the time my tariff finishes and to increase my payments to prevent this. Surely if I’m on a fixed tariff then I shouldn’t be in debt in November? I should be charged at the rate of my fixed tariff and not the new extortionate prices. I’ve made a conscious effort to reduce my energy use as well, making sure everything that’s not being used is turned off. I will need to contact my supplier and question this but any advise beforehand will be much appreciated. 

xeny

Masonp said:

Surely if I’m on a fixed tariff then I shouldn’t be in debt in November?

The fix is the amount you pay per unit, not the amount you need to pay. If your payments don't cover the amount of units you're using x the cost per unit, you'll end up in debt.

MWT

Masonp said:

I’m on a fixed tariff and unfortunately this is ending in November this year. Now my account states I’m in credit by a few hundred but will be in debt by the time my tariff finishes ...

Which supplier are you with and when did you get your last bill?

Some suppliers bill quarterly or even 6 monthly, which means that although you may be in credit due to your monthly DD payments, when the next bill is deducted, their forecast is that it will be more than you will have paid into your account by then...

Cardew

Welcome to the forum.

All that matters is your meter reading(s) on the date in November when your fixed tariff ends. You will have a credit or debit balance based on the bill using those meter readings and the charges on that fixed tariff.

As indicated above, my account might show me, say, £500 in credit today, but next week a £600 bill is debited to my account and I will have a £100 debit balance.

Ofgem impose an obligation on suppliers to ensure that they do not have a large debit balance at the end of their fixed period. It sounds like that is what is happening in your case - your payments have been insufficient to cover your forecast consumption.

[Deleted User]

You'll be in debt if you've used more than the existing monthly payments were calculated based on.

Fixed tariff does not mean all you can eat.