Just need some reassurance on the £400

CanNeverThinkOfAUsername

Good Evening,

Just need some reassurance please, just want to make sure i understand it correct. I currently pay £70 per month DD (was £5, i changed it so its higher than the £66/£67), and make extra card payments with my cashback credit card. If i understand it correctly i will...

Pay £70 via DD, get a refund of £66 (then £67) back into my bank account, but my energy account will show a credit of £70.

Have i got that correct please? (I'm with Octopus)

[Deleted User]

Not quite.  Looking at the Octopus site, they'll change the DD themselves to only take £4 or £3 but still credit £70 to your account.

CanNeverThinkOfAUsername

Ahhhhh, thank you. Glad i checked now, haha!

[Deleted User]

It seems about 50/50 whether suppliers do it the way you thought in your first post, or the way I put in mine.

E.ON Next & Octopus are changing the DD amount.

British Gas & EdF are giving a refund after taking the normal DD amount.

I've only checked those four so far myself (because they're the most commonly asked about here).

Spoonie_Turtle

Incidentally the original wording on the government page very strongly implied it was intended as a discount on DD, but was later updated to say discount on DD or refund into bank account.  Apparently some suppliers can't cope with discounting a DD.

CanNeverThinkOfAUsername

You was 100% correct @[Deleted User]. Just logged in and today they have updated my DD to £3 per month.

t0rt0ise

It would be better if BG and whoever else gave the refund *before* they take the DD as the whole point is that some people won't have the money to pay the DD in the first place. But that's just my take on it. It will be interesting to see how it actually works.

[Deleted User]

t0rt0ise said:

It would be better if BG and whoever else gave the refund *before* they take the DD as the whole point is that some people won't have the money to pay the DD in the first place. But that's just my take on it. It will be interesting to see how it actually works.

Yeah, it’s not a great arrangement for someone struggling with cash flow problems.

They claim it’s because people would understand it better than getting their DD changed, but that doesn’t mean the timing has to be DD first and rebate second.  It’s not like they need to worry that the £400 will bounce.

Leew89

Eon have already applied a discount of £67 to my upcoming DD. Looks like they're ready to go.