Does Octopus offer variable direct debit?

QrizB · 20 January at 9:21PM

juneanne said:

s mentioned I had an email from them stating it costs around £80 extra p.a.to pay by variable DD instead of fixed. Why would someone give me the wrong information? Will keep you posted.

Octopus have started using "AI" to answer some queries. We get quite a few threads onnthe forum where the AI has been very artificial but not particularly intelligent.
Sharing the email would be good. Remove any personal info first!

MikeJXE · 20 January at 10:07PM

juneanne said:

I watched Morning Live on BBC1 a few days ago and my ears 'pricked up' when one of the presenters said that paying by variable direct debit, as opposed to fixed direct debit, may cost more because it involves more work on the providers part. I have paid by variable direct debit for a few years now both with Utility Warehouse and currently with Octopus and at no stage has anyone from these companies advised me this would cost me more. I emailed Octopus this question and was astounded by the reply that paying by variable DD costs me around an extra £80 per year! What a scandal !!!! I've paid by variable DD so that I can keep a closer track on my consumption. Needless to say I have now reverted to paying by fixed DD. I wonder how many more people are unaware of this. If you are one of them ask your provider about it.

You can keep a better track on consumption if you record monthly/weekly/daily meter readings

Consumption of usage in kWhs is more accurate than ££££

Qyburn · 21 January at 8:22AM

juneanne said:

... I have paid by variable direct debit for a few years now both with Utility Warehouse and currently with Octopus and at no stage has anyone from these companies advised me this would cost me more. I emailed Octopus this question and was astounded by the reply that paying by variable DD costs me around an extra £80 per year!

We really need to get to the bottom of that £80. I pay Octopus by variable DD, as do many others on here. It doesn't cost even a penny more. Unit prices and standing charges are all exactly the same, so the cost is the same.

If anything someone paying fixed DD is more likely to pay more, initially anyway, as Octopus sets the DD above actual spend in order to built up a bit of credit.

QrizB · 21 January at 8:40AM

Qyburn said:

juneanne said:

... I have paid by variable direct debit for a few years now both with Utility Warehouse and currently with Octopus and at no stage has anyone from these companies advised me this would cost me more. I emailed Octopus this question and was astounded by the reply that paying by variable DD costs me around an extra £80 per year!

We really need to get to the bottom of that £80.

I imagine that whatever wrote the reply (artificial intelligence or natural) was assuming "pay on receipt of bill" which is regularly quoted as being £80 a year more expensive. Not MVDD which is price neutral.

It would be good to see the email.

Bendo · 21 January at 9:13AM

There is nothing to get to the bottom of, it's plain nonsense and wrong.

Qyburn · 21 January at 10:15AM

Bendo said:

There is nothing to get to the bottom of, it's plain nonsense and wrong.

True, but the poster received something leading them to believe this. So at the moment from their point of view their supplier, the party actually billing them, has said it would cosy £80 more. To counter that there just some anonymous Internet posters saying that's wrong. It would be better if we saw exactly what Octopus said, it may be a misinterpretation.

juneanne · 21 January at 10:47AM

After ringing Octopus this morning I spoke to someone who knew what they were talking about. The £80 annual saving would only be applicable if I was on a Standard Variable Tariff (and paying by either fixed or variable DD). As I am on a Fixed Tariff this saving does not apply.