DD FOR ENERGY

Susan1942

My energy provider is Octopus and have found them to be an excellent provider.
My current situation.is that I am on a variable rate 
Previously I had a DD of £119.
That changed a good few months ago and now I.have a DD that I pay the bill in total each month.  This means that I paid £310 one month and £360 this was back Match/April.
Over the past 3-4 months I have paid £98 £77 and £74.
I have got economy 7 heaters as I live in a retirement property so no gas heating 
Last week Martin Lewis said that paying monthly costs an extra 9%. There is no way that I want to pay with this method especially given the current situation.
I emailed them saying I.didnt want to pay by this method if I was paying an extra 9%. 
They have just told me the method of paying but not explaining whether I am paying this 9%
I have written to them again asking the question..I have explained should this be the case I want to return to a set DD monthly like before.
I am able to pay the monthly bills of larger amounts so that is not a problem but an extra 9 % I most definitely do not want to pay.
Can anyone help.me with this.
How would I know if I have actually been charged more whilst of my current situation.
Thanks 
Sue 

molerat

As long as you are paying by DD you should be getting the DD discount.  You need to check your unit rates against those for paying by other methods. https://octopus.energy/tariffs/

I believe that Octopus did not previously charge extra for non DD payment anyway but will be from October.

lisyloo

Usually the DD discount is still in place for a variable DD
the 9% Martin is referring to May well be for cash/cheque (although I don’t have context)
fixed and variable DD usually both attract a DD discount.

if you want to confirm then ask them if your variable direct direct qualifies the direct debit discount.

lisyloo

As above you can also check the rates.
the 9% is usually loaded into the rates.

Alnat1

You will still be getting the DD rate because you ARE paying by DD. You have chosen a variable amount over a fixed amount.

Susan1942

Many thanks to everyone.  I have checked and they speak about not paying by DD and how it costs them to manage these account.  They talk about a saving if you change to DD.  So like you said I am still paying by DD so looks like the rate I am on is priced the same with no charge added.  Sue 

macman

Both methods are DD. One is a fixed DD, the other is a variable DD. The problem with the latter is that you will be paying much more through the winter months when the heating is on, rather than averaging it out across the year as with a fixed DD.

Susan1942

Thanks for the information.. I am not concerned about paying more during the winter months.  I was really concerned about paying a 9% charge because I have been on a variable DD since earlier this year.  I have emailed Octopus again this morning and I will see what they have to say.  
Thanks again Sue 

QrizB

Susan1942 said:

Thanks for the information.. I am not concerned about paying more during the winter months.  I was really concerned about paying a 9% charge because I have been on a variable DD since earlier this year.  I have emailed Octopus again this morning and I will see what they have to say.  
Thanks again Sue 

Sue I think from previous discussions that you've got storage heaters. Do you know how much energy you use in a year on the cheap night rate, and how much on the daytime rate? (You might have told us this before, apologies if you have.)

macman

Susan1942 said:

Thanks for the information.. I am not concerned about paying more during the winter months.  I was really concerned about paying a 9% charge because I have been on a variable DD since earlier this year.  I have emailed Octopus again this morning and I will see what they have to say.  
Thanks again Sue 

You are not paying anything extra, because you are still paying by DD!
If you were being surcharged, then you would have seen it reflected in a higher unit rate or a separate non-DD surcharge.

Susan1942

Yes I do have storage heaters. My night time use is 75-80 % 
I don't have a fire or any other source of heating.
One of the heaters has got a fan and that can be used to boost the heating but I very rarely use it.  I open the vents on the heaters in the evening and that usually gives me the heat I need.
Thanks for all for your advice
Sue