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EDF increasing DD despite me still being in credit

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  • PeterGrPeterGr Forumite
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    As I'm in credit I'd like to switch to a PAYG type contract and earn some £ interest during summer months while putting extra by for winter, but not sure if that will have higher costs per unit/s.
    The standard credit tariff rates would increase your annual charges by approx. £20 per month.  The interest you earn over any credit for the next 6 months will be much less than the higher charges.  Staying as you are and at £200 per month you'll have additional credit of something like £140 by your next review.  Your DD for the winter months will be adjusted if rates fall significantly, or you'll get a refund of some of your credit.
  • dunstonhdunstonh Forumite
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    EDF are increasing my dd from 153 to 219 a month.  My account is around £150 in credit.  
    So, the reality is that you are not in credit by much for this time of year and could be in shortfall by May.  
    It has been a very mild Autumn and Winter and you would expect a higher credit relative to your monthly payment.
    Plus, prices are set to rise in April.

    Does this seem reasonable? 
    Yes.

    surely my highest usage in the last year is just about over and they're going to owe me a lot more this time next year? 
    Feb-April can be some of the coldest months of the year.
    They will also be modelling on a typical Autumn/Winter for the year ahead.  Not mild as 2022 was.  Despite that mild weather you are only just barely in credit.


    I think I did a quick calculation the other week and we use around 4320kwh electric and 6111kwh gas per year.
    So, add about 20% to your heating source as 2022 was very mild.

    i supect you are not actually paying enough at £219 and if Autumn/Winter 2023/24 is more typical or colder then you are likely heading for a shortfall
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • edited 5 March at 3:29PM
    Scot_39Scot_39 Forumite
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    edited 5 March at 3:29PM
    dunstonh said:
    EDF are increasing my dd from 153 to 219 a month.  My account is around £150 in credit.  
    So, the reality is that you are not in credit by much for this time of year and could be in shortfall by May.  
    It has been a very mild Autumn and Winter and you would expect a higher credit relative to your monthly payment.
    Plus, prices are set to rise in April.

    Does this seem reasonable? 
    Yes.

    surely my highest usage in the last year is just about over and they're going to owe me a lot more this time next year? 
    Feb-April can be some of the coldest months of the year.
    They will also be modelling on a typical Autumn/Winter for the year ahead.  Not mild as 2022 was.  Despite that mild weather you are only just barely in credit.


    I think I did a quick calculation the other week and we use around 4320kwh electric and 6111kwh gas per year.
    So, add about 20% to your heating source as 2022 was very mild.

    i supect you are not actually paying enough at £219 and if Autumn/Winter 2023/24 is more typical or colder then you are likely heading for a shortfall
    People underplay the importance of outside temp.

    Looking back over last 4 years - my spreadsheet only goes back monthly that far can see clear differences year to year but also month to month.

    Keep on meaning to add ave temp and wind speeds.

    But say 2022 cf 2021 - mild Oct and Nov saw kWh savings, we're wiped out for me  by the 7-10 day cold snap early mid Dec, and that quarter billing / cap period overall within 10kWh of 2021.

    And cold snaps aren't necessarily over.  The beast from east / and for south Storm Emma was around this time 5 years ago. I was on a clients site in Wales when the snow hit - feet not inches in places.

    "Ne’er cast a clout, Until May is out."

    It's been a while - just over a decade maybe - but  parts of uk even seen snow in early May.

    In other words, you might still need your winter coats / layers - winter hasn't gone yet.
  • Alnat1Alnat1 Forumite
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    "ne'er cast a clout 'til May be out" actually refers to May (hawthorn) blossom rather than the month.

    In the last decade or so, the blossom has been coming out earlier, often in April.
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  • Scot_39Scot_39 Forumite
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    Alnat1 said:
    "ne'er cast a clout 'til May be out" actually refers to May (hawthorn) blossom rather than the month.

    In the last decade or so, the blossom has been coming out earlier, often in April.

    I lifted it from iirc a paper decade or so ago when had late snow - in early May.

    And assumed it meant the month.

    Thanks for the correction.
  • edited 5 March at 4:07PM
    Scot_39Scot_39 Forumite
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    edited 5 March at 4:07PM


    As I'm in credit I'd like to switch to a PAYG type contract and earn some £ interest during summer months while putting extra by for winter, but not sure if that will have higher costs per unit/sc.


    Unless EDF do variable direct debit - on the direct debit rates - that might be costly.

    You may end up paying a unit and SC penalty.

    And then have no summer  credit to soften next winters bills.

    3% interest on short term online on a few £100 - tiny for the hassle ?


    Not done the maths yet for Apr ofgem figures - but for Jan - Mar including impact of big epg discount - pay on receipt is nearly 10% more expensive for electric at least.


    Edit
    @in_spired2

    See tables at 

    https://www.gov.uk/government/publications/energy-price-guarantee-regional-rates/energy-price-guarantee-regional-rates-january-to-march-2023

    So Northern 30.35p on DD, 33.66p on standard credit (pay on bill).  10.9%

    Or NW 34.71 to 38.26p = 10.2%.

    Edit end

    And that's 2/3rds your annual bill
  • Eldi_DosEldi_Dos Forumite
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    Scot_39 said:
    Alnat1 said:
    "ne'er cast a clout 'til May be out" actually refers to May (hawthorn) blossom rather than the month.

    In the last decade or so, the blossom has been coming out earlier, often in April.

    I lifted it from iirc a paper decade or so ago when had late snow - in early May.

    And assumed it meant the month.

    Thanks for the correction.
    A clout here means a cleaning cloth, does that mean I can save energy by cutting back on that till the end of May, whatever version of the calendar I use.
  • Scot_39Scot_39 Forumite
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    Eldi_Dos said:
    Scot_39 said:
    Alnat1 said:
    "ne'er cast a clout 'til May be out" actually refers to May (hawthorn) blossom rather than the month.

    In the last decade or so, the blossom has been coming out earlier, often in April.

    I lifted it from iirc a paper decade or so ago when had late snow - in early May.

    And assumed it meant the month.

    Thanks for the correction.
    A clout here means a cleaning cloth, does that mean I can save energy by cutting back on that till the end of May, whatever version of the calendar I use.
    Dusting may save you money - you can turn the heating down a bit for an hour (depending on # fiddly bits like pictures, ornaments etc) - or just contribute a bit more from body heat.

    And the oh doesn't seem to accept energy prices as a good enough reason for me to hoover the stairs less frequently.

    Which to me is 5-10 mins -  more effort than an hour out on the bike.  But then I guess I just hate hoovering.
  • jvjackjvjack Forumite
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    in_spired2  said   "EDF are increasing my dd from 153 to 219 a month.  My account is around £150 in credit."
    I got my 6 monthly bill with new Direct debit this week. It says new DD is for next 6 months only. Does your show similar. Looks like yours is over the whole year. 
  • EssexHebrideanEssexHebridean Forumite
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    I will call them and tell them £200 a month.  My own calculations at current prices come to that.  I check my meters regularly (more often than once a month) and calculate how much i've used, so no chance that I'll end up owing them hundreds... any extra I've used can go in my savings account instead of theirs and I can pay them from my savings+interest if things do go to titzupville regarding the constantly changing prices and caps etc.  (I have non-smart meters - I see £ on the ihd for gas and that meter communicates with edf, but electric one hasn't worked with ihd or sent EDF a reading since they installed it - I have to send in my own readings)

    As I'm in credit I'd like to switch to a PAYG type contract and earn some £ interest during summer months while putting extra by for winter, but not sure if that will have higher costs per unit/sc.

    I don't have an app, so definitely the cost / amount of energy used is on my last bill.

    If I knew what the charges per unit / sc will be at later points in this year, it would be easier to calculate with more accuracy.  I just don't want to get a bill in a year's time where they owe me four or five hundred pounds because they're  taking the wrong amount.

    cheers :)

    Sounds like a plan. I think rather than pay as you go though you mean what some suppliers call a variable direct debit - EDF call it “whole amount monthly” - and you sound like a good candidate for it because you’ve already done the sums, and you’ll be starting it at a good time of year too. It means you continue to pay the unit rates that apply to direct debit payments so you’re not paying more than you need to - and as you say you can ringfence the average monthly amount in a savings account ready for the higher winter bills.
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