Changing to a fixed price contract with Octopus.

john193

Having submitted my latest meter reading on 29th December, I opted for a fixed price 12 months contract @ 194.21 per month.
Octopus’ email confirmed that it would start on 30th December 2023, and that my credit balance (after meter reading) was 264.81. 

Checking my bank account today, I noticed that Octopus had taken out today 249.43 ( my previous variable tariff rate and payment date ie. 5th of the month).
When I queried why wasn’t my new rate of 194.21 taken out on either the 30th December or the previous payment date of the 5th of the month, the reply was that they needed 10 days to amend the direct debit and that the fixed payment of 194.21 would commence on February 5th.
I replied that this was contrary to the ‘deal’ agreed and also asked for a refund of the 264.81 and the 55.22 overcharge on today’s debit. I also disagreed with their needing 10 days to amend my direct debit- and when would the 12month contract now end?
I have since been ignored.
Any comments on the legality of their actions and opinions on this matter would be appreciated.

QrizB

john193 said:

Any comments on the legality of their actions and opinions on this matter would be appreciated.

It's legal. Changes to DDs have to be notified in advance, per the DD Guarantee.

john193 said:

Having submitted my latest meter reading on 29th December, I opted for a fixed price 12 months contract @ 194.21 per month.

You do not have a fixed price contract. You have a fixed tariff, and (from February) a fixed DD, but will incur variable charges based on the amount of energy used.

cymruchris

john193 said:

Having submitted my latest meter reading on 29th December, I opted for a fixed price 12 months contract @ 194.21 per month.
Octopus’ email confirmed that it would start on 30th December 2023, and that my credit balance (after meter reading) was 264.81. 

Checking my bank account today, I noticed that Octopus had taken out today 249.43 ( my previous variable tariff rate and payment date ie. 5th of the month).
When I queried why wasn’t my new rate of 194.21 taken out on either the 30th December or the previous payment date of the 5th of the month, the reply was that they needed 10 days to amend the direct debit and that the fixed payment of 194.21 would commence on February 5th.
I replied that this was contrary to the ‘deal’ agreed and also asked for a refund of the 264.81 and the 55.22 overcharge on today’s debit. I also disagreed with their needing 10 days to amend my direct debit- and when would the 12month contract now end?
I have since been ignored.
Any comments on the legality of their actions and opinions on this matter would be appreciated.

As above- totally legal - things take time to take effect, and the timescales given seem reasonable.

Make sure you look at what you've signed up for - as it won't be a fixed price contract that lets you use as much energy as you want for £194 a month.

They'll have set £194 based on your estimated useage over the year - but if it stays cold for longer and you use more energy, you'll have to pay more to settle your bills. If it gets unseasonably warm, and you use a lot less, then eventually they'll owe you money. Don't fall into the trap thinking that you've 'fixed' your energy at £194 a month and that's all you'll ever pay.

How much is your account in credit? If it's under a £100 - you'll likely use that up in the upcoming expected cold snap. If it's something daft like £900 - then yes you could ask for some of the money back.

john193

QrizB, Thank you.

I didn’t realise that it was a fixed “tariff.” Octopus refer to it as a new tariff AND a fixed price in on their website. So it’s a bit ambiguous at best.
I still don’t understand why they confirm a commencement at 30th December but take the previous inflated amount of 249.43 out on Feb.5th.
They certainly ensure maximised cash flow, eh?

Many thanks.

bristolleedsfan

john193 said:

QrizB, Thank you.

I didn’t realise that it was a fixed “tariff.” Octopus refer to it as a new tariff AND a fixed price in on their website. So it’s a bit ambiguous at best.
I still don’t understand why they confirm a commencement at 30th December but take the previous inflated amount of 249.43 out on Feb.5th.
They certainly ensure maximised cash flow, eh?

Many thanks.

14 day cooling off period just in case you change your mind.

Octopus always say can request a credit refund at any time, T+C merely say must remain in credit at all times.

Request a credit refund again by a method other than by email ?

Archerychick

You can request money back via your account login, I’ve done it several times and it’s always done 

john193

I did that for the £264 but the automated reply said that wasn’t enough and I’ll have to apply by email- still awaiting a reply.

Gerry1

You can always call them and switch to Variable Direct Debit, but beware of bigger bills in winter and smaller ones in summer.