EDF direct debit increase

dunstonh

But the supplier does not dictate a FDD to me at a level I don't agree with - which seems to be a continuous issue for many posters on here.

Which is something I have never had an issue with.   However, I know my usage very well and set my DD to what I know it should be.         

Most threads where people have problems with monthly amounts changing against their will usually result in us finding out that person hasn't been paying enough and got behind and/or they don't have a clue about their use and that the monthly amount wasnt in the right ballpark.

pseudodox

dunstonh said:

But the supplier does not dictate a FDD to me at a level I don't agree with - which seems to be a continuous issue for many posters on here.

Which is something I have never had an issue with.   However, I know my usage very well and set my DD to what I know it should be.         

Most threads where people have problems with monthly amounts changing against their will usually result in us finding out that person hasn't been paying enough and got behind and/or they don't have a clue about their use and that the monthly amount wasnt in the right ballpark.

And whilst a FDD of 12 equal parts suits many people it does also mean many on that system have no idea how much energy they use month by month & also there are those who think it is an "all you can eat tariff" which of course does not incentivise them to cut their consumption to a realistically affordable level.

It does not matter to me how cold next winter is - I can only afford a limited amount of kWh at their current cost & will use no more than my self-imposed allowance.  I know how to keep warm, although do not take the extreme measures of HertsLad on this forum.

dunstonh

pseudodox said:

dunstonh said:

But the supplier does not dictate a FDD to me at a level I don't agree with - which seems to be a continuous issue for many posters on here.

Which is something I have never had an issue with.   However, I know my usage very well and set my DD to what I know it should be.         

Most threads where people have problems with monthly amounts changing against their will usually result in us finding out that person hasn't been paying enough and got behind and/or they don't have a clue about their use and that the monthly amount wasnt in the right ballpark.

And whilst a FDD of 12 equal parts suits many people it does also mean many on that system have no idea how much energy they use month by month & also there are those who think it is an "all you can eat tariff" which of course does not incentivise them to cut their consumption to a realistically affordable level.

It does not matter to me how cold next winter is - I can only afford a limited amount of kWh at their current cost & will use no more than my self-imposed allowance.  I know how to keep warm, although do not take the extreme measures of HertsLad on this forum.

personally I will use as little heating as is necessary to avoid divorce.  Divorce is more expensive

And from a money point of view, it makes no difference to whether I pay monthly averaged or each month variable as over 12 months, it would be the same.     However, I do understand that many people need to budget as they cannot handle that.

Years ago, I was in banking (when banks were banks and wooden panelling was order of the day).   We used to encourage budget accounts (number 2 current accounts) where people would take their committed bills, irrespective of frequency and divide them by 12, if annual, and pay a monthly standing order from their 1 account to the 2 account just after payday and all their committed bills came out of the 2 account.    It was aimed at those that needed support budgeting.  And it worked.  They knew what they had left after the standing order was what they could spend that month.

dealyboy

Just to point out ... If you are an EDF customer you can find the annual total number of units estimates on which they base their 'fixed' DDs at the end of a bill or in the 'Change Tariff' --> 'More details' page. In my case they are both wildly inaccurate with the online ones being the more accurate; from my experience it appears there is a long lag before these catch up with a current usage profile.

Of course they will be estimating future prices and feed these into an algorithm in order to determine a 'static' DD.

At least they are not like my ex supplier Symbio who operated a variable DD inflating it to cover three times the actual usage at peak.

Edit: BTW @HertsLad is my hero.

Qyburn

dunstonh said:

Years ago, I was in banking (when banks were banks and wooden panelling was order of the day).   We used to encourage budget accounts (number 2 current accounts) where people would take their annual committed bills, irrespective of frequency and divide them by 12 and pay a monthly standing order  from their 1 account to the 2 account just after payday and all their committed bills came out of the 2 account.    It was aimed at those that needed support budgeting.  And it worked.  They knew what they had left after the standing order was what they could spend that month.

We started doing that a couple of years ago, a standing order from our main current account into an instant access saver with the same bank. Annual bills like insurance, winter storage (boat) and irregular bills like oil or replacement appliances get drawn from there.

pseudodox

"And from a money point of view, it makes no difference to whether I pay monthly averaged or each month variable as over 12 months, it would be the same.     However, I do understand that many people need to budget as they cannot handle that".

Exactly!  Except at any one point the energy company do not have one penny more of my money than the cost of what I have actually used and money I am building up that will become due is in a savings account.  Every penny of interest is a gain and this is MSE afterall.  I find it suits me to have lower summer energy bills as I have other expenses in the summer - car service/MOT, insurance, boiler servicing, holidays.  Larger winter bills are the norm in a cold climate so I don't see mine as high.

Divorce is a great way to save money and have total control of not only your heating but also your life!! 

BTW we should not be arguing about the "best" way to pay or the "best" way to keep warm in winter.  We should simply be giving everyone who has a query the options open to them and point out the advantages/disadvantages of each.  It is then up to them to choose the way that best suits their lifestyle, financial circumstances etc,  It is called choice and what suits one does not suit everyone.