Thinking of cancelling my electric direct debit

mr._prude

I'm on energy online pay monthly with Power NI

I have built up a large surplus credit in my account. With the £400 government help due in November, can I just cancel my direct debit for a few months so I can buy some oil?

Mnoee

You're better off calling them for a refund. Direct debit customers get a discounted rate, you'll lose that if you cancel it. 

https://powerni.co.uk/help/billing/can-i-get-a-refund

They probably won't refund it all, because the whole point of fixed monthly payments is that you pay extra in summer to cover winter - depends on how big your 'large surplus' is. 

400ixl

You should be somewhere between 1-2 months of DD in credit at this time of year for it to balance out over the 12 months.

So whatever refund you take should leave that amount of credit in the account. I wouldn't just cancel the DD.

MalMonroe

Hi, I would also phone them and discuss this. You can ask for your money back, certainly. And they are obliged to refund it. 

I'm with Octopus for both gas and electricity and they do not reward customers for having dual fuel with them, nor for paying with direct debit, since they say that all their customers receive cheaper, cleaner energy anyway and they do not penalise any customer for not paying by DD.

Because I have been consistently in credit for the last few months, I contacted them and said I wanted a refund and did not want to pay by DD any more but will submit meter readings at the end of each month (I was doing that anyway) and pay on receipt of the bill (which arrives by email almost immediately). 

I've received my refund and am now in credit again because of the £66 which the government has contributed. At the end of the month I'll pay any outstanding amount owed. Happy to leave that £66 as it is because I'm grateful for it and don't really consider it to be 'mine', if you see what I mean.

BUT your provider will have different ways of working. It's always sensible to phone them to discuss your situation before just cancelling a direct debit. Of course if it will be detrimental for you to do so, then you might wish to reconsider - maybe negotiate a smaller amount. 

guiriman

Call them and ask for your dd to be reduced. I can't remember if it was Power NI or someone else (was a few years ago now) but when I did similar they calculated what my likely bills would be for the next 12 months, took off my credit balance and divided what was left by 12 -> that figure became my new monthly direct debit

butterflymum

@mr._prude

Have you read https://www.bbc.co.uk/news/uk-northern-ireland-63477429 ?  Sounds like the powers that be still haven't figured out how/when the £400 (and if applicable the £100), will be paid. Maybe best not alter your DD too much just yet.

mr._prude

I just switched to Electric Ireland a few days ago, 13.5p kwh plus a £100 credit and my direct debits will reduce from £113 to £60 per month. Should receive a payment from Power NI of my surplus credit £300 to help pay for some oil.

I was on Ecomony 7 with Power NI, they reduced all rates but increased the Ecomony 7 day rate, so the day rate now costs 9.3% more than their cheapest standard rate. That was the final straw for me, after 21 years.