Direct Debit and Receipt of Invoice.

Flashover

I have volunteered to help a couple in their eighties with managing their energy costs.  The couple pay the full amount on the receipt of a monthly invoice [Gas and Electricity] which they have done for a number of years.  On checking unit costs and standing charges I discover they are being charged approximately 20% more than if they paid by Direct Debit.  Is this normal?  Are these rates negotiable?

la531983

No that doesnt sound normal at all, Quarterly Pay On Receipt Of Bill is around 7% higher but by the sounds of it they arent paying quarterly.

Please name the provider and the tariff. Also name the supply areas as some areas are more expensive by default.

Alnat1

This is normal, as the energy companies prefer people to pay by either fixed or variable DD.

As this couple are used to paying more in winter for the big bills, it would probably save them quite a bit if they could set up a variable DD and this will allow to company to take the billed amount each month, usually around 2 weeks after the bill is issued.

la531983

Alnat1 said:

This is normal, as the energy companies prefer people to pay by either fixed or variable DD.

As this couple, usually a couple of weeks after the bill is issued. are used to paying more in winter for the big bills, it would probably save them quite a bit if they could set up a variable DD and this will allow to company to take the billed amount each month

20% higher doesnt sound normal, hence the request for further info above.

Robin9

Do tell us more about how the couple use their energy -  we hear here of people using their immersion and focal point fires when they have gas central heating.

Ectophile

Flashover said:

Are these rates negotiable?

No.  The energy supplier will publish prices for direct debit, pay on receipt of the bill, or a prepayment meter.

Paying on receipt of the bill will be the most expensive.