Octopus 12 Month Fix

MP1995

As others have said with Octopus you can change your DD to whatever you like. Other suppliers it's a bit more of a back and forth.

wrf12345

Or phone them up and ask to go on variable direct debit, just pay what you use - but good to see they will let you lower the DD online, very rare, I think, most let you increase it only and you have to contact them and all but beg to get it lowered - even then they will try to increase it every three months. With higher interest rates these companies are happy to stack up lots of "free" money whilst telling the consumer they are doing it so the consumer does not get into debt.

TheElectricCow

Lillysanity said:

So I could sign up to the higher £134.05 12 month fixed rate amount then immediately  reduce my monthly payment to £129,81 ?

Yes, with Octopus it’s entirely up to you if you want that level of control. You could even go as far as to set it to £1 if that’s what you really wanted to do, but of course if your chosen payment amount doesn’t cover your actual bills you’d fall into debt and would still have to make up the difference later on. 

When you take a fix you’re not fixing the payment, only the unit rate and standing charge. Depending on your usage, your payment may need to go up or down at any point throughout the term of the fix.

Although it is worth keeping in mind they may end up taking the first payment at the quoted rate, especially if there isn’t enough time for the  updated amount to be processed before it is taken from your account.

BarelySentientAI

Lillysanity said:

Strangely my annual usage has been decreasing year on year as I am cutting my usage as are most people. All energy companies over inflate predicted future usage. 

Most people are not cutting their usage.

The annual fluctuation in most people's usage is almost entirely driven by weather patterns in winter.

Why is your guess of next winter's weather any better than the energy suppliers' guess?

Given that the energy suppliers are specifically instructed to avoid customers having a debt balance, don't you think that it is actually sensible (and required) of them to guess on the conservative side? 

wrf12345

"Given that the energy suppliers are specifically instructed to avoid customers having a debt balance, don't you think that it is actually sensible (and required) of them to guess on the conservative side?"

Except BG will try to increase the DD even if you are well in credit, and repeat the attempt every three months, and when you chat on-line they won't reduce the DD or stop the increase unless you have a ten minute argument with them and stand your ground, when they will refer it to their line manager. A hassle rather than the end of the world but I am much happier with the variable DD on Octopus, which BG do not have on their new accounting system - and not sure if I would trust them with it even if available. I think Ofgem have also told the energy companies not to increase DD's unless actually necessary, and multiplying actual usage by two three times to improve their cash flow isn't what they meant by necessary - I think! Those over 66 will also get the govn freebie in Oct/Nov, last year £500, which is never taken into account when doing the average DD over a year but ties in nicely with variable DD - I actually used the dosh to superinsulate my detached residence rather than give it to the gas company, thanks to a relatively mild winter that I was predicting was going to turn Siberian!

Lillysanity

wrf12345 said:

"Given that the energy suppliers are specifically instructed to avoid customers having a debt balance, don't you think that it is actually sensible (and required) of them to guess on the conservative side?"

Except BG will try to increase the DD even if you are well in credit, and repeat the attempt every three months, and when you chat on-line they won't reduce the DD or stop the increase unless you have a ten minute argument with them and stand your ground, when they will refer it to their line manager. A hassle rather than the end of the world but I am much happier with the variable DD on Octopus, which BG do not have on their new accounting system - and not sure if I would trust them with it even if available. I think Ofgem have also told the energy companies not to increase DD's unless actually necessary, and multiplying actual usage by two three times to improve their cash flow isn't what they meant by necessary - I think! Those over 66 will also get the govn freebie in Oct/Nov, last year £500, which is never taken into account when doing the average DD over a year but ties in nicely with variable DD - I actually used the dosh to superinsulate my detached residence rather than give it to the gas company, thanks to a relatively mild winter that I was predicting was going to turn Siberian!

Given that I am over £200 in credit after the winter months & all energy companies state that actual readings are more accurate than estimates the fact that they are accepting the lower kwh usage on a quote then saying it is no longer available stinks. We have had a very cold wet winter with heating on every day up here. 

tim_p

Might be a good time to switch then, you’re obviously not happy and you’ll get that £200 back. Seems a win win.