OutFox the Market raising my direct debit even though i am on a fixed price contract

recci

I just got an email from OutFox the Market saying: 

We were recently in touch to confirm your new energy prices following the recent change to the Ofgem Price Cap. Details of these prices can be viewed here and will be effective from the 1st of October 2024.

To reflect the new energy prices we need to change your Direct Debit. Full details are included below.

Throughout this difficult period of unprecedented energy costs, we have held back from increasing Direct Debits for as long as we can to provide additional support for our customers.

I am on a fixed contract that I specifically went with to avoid the price increase, surly they cant do this? 

If they increase my direct debit due to this what do I do?

It seems none of these companies can run themselves...

MeteredOut

Which tariff are you on?

But remember, your Direct Debit is not paying your bill directly - it is not a fixed amount for the energy you use - its a credit towards your usage. So if, over time, you use more energy than was estimated when your DD amount was first set up, you won't be paying for all the energy used, and your supplier will increase the DD amount so you don't build up a large debit amount and get a bill shock later down the line.

So, they can increase your DD amount, but they should not be increasing your tariff rate (the amount you pay per kWh energy) if you are on a fixed rate.

It could just be a badly worded email.

recci

Fix'd Dual Jul24 v3.0 

Dual Fuel Only - Fixed

Ayr_Rage

The SC and Unit prices may be fixed on your tariff but if your DD is not covering your ACTUAL usage then it will be increased to do so.

The quoted DD amount does not give you an all-you-can-eat energy buffet, if you eat more the DD is increased as necessary.

recci

MeteredOut said:

Which tariff are you on?

But remember, your Direct Debit is not paying your bill directly - it is not a fixed amount for the energy you use - its a credit towards your usage. So if, over time, you use more energy than was estimated when your DD amount was first set up, you won't be paying for all the energy used, and your supplier will increase the DD amount so you don't build up a large debit amount and get a bill shock later down the line.

So, they can increase your DD amount, but they should not be increasing your tariff rate (the amount you pay per kWh energy) if you are on a fixed rate.

It could just be a badly worded email.

Its specifically says: We were recently in touch to confirm your new energy prices following the recent change to the Ofgem Price Cap. But i got no such email.

Brie

Check that they have raised your DD fairly. 

Get your bills for the last year to see how much fuel you've used.  Calculate that amount on your fixed tariff and divide by 12 to get the monthly amount.

My guess is that they will say you need to pay more than what you calculate.  And will spin some line about "keeping you safe financially".   Don't put up with their bull.  Keep repeating over and over "my calculations show that my DD should be £XX and you need to ensure that's what you take otherwise I will be raising a complaint". 

recci

Ayr_Rage said:

The SC and Unit prices may be fixed on your tariff but if your DD is not covering your ACTUAL usage then it will be increased to do so.

The quoted DD amount does not give you an all-you-can-eat energy buffet, if you eat more the DD is increased as necessary.

I understand that, I am actually £85 in credit. Did you actually read the email i posted?  The email is saying they are increasing the amount due to the recent Ofgem Price Cap increase. This is not correct. 

recci

Brie said:

Check that they have raised your DD fairly. 

Get your bills for the last year to see how much fuel you've used.  Calculate that amount on your fixed tariff and divide by 12 to get the monthly amount.

My guess is that they will say you need to pay more than what you calculate.  And will spin some line about "keeping you safe financially".   Don't put up with their bull.  Keep repeating over and over "my calculations show that my DD should be £XX and you need to ensure that's what you take otherwise I will be raising a complaint". 

I have only been with them 3 months and have never even submitted a meter reading yet. They dont know how much i have actually used to make any sort of Guestimate. 

Ayr_Rage

recci said:

Fix'd Dual Jul24 v3.0 

Dual Fuel Only - Fixed

Going by the way my energy company name their fixes, that would indicate it expired 3 months ago.

recci

Ayr_Rage said:

recci said:

Fix'd Dual Jul24 v3.0 

Dual Fuel Only - Fixed

Going by the way my energy company name their fixes, that would indicate it expired 3 months ago.

Na it doesn't expire until august 2025. says so in my account

MeteredOut

recci said:

Brie said:

Check that they have raised your DD fairly. 

Get your bills for the last year to see how much fuel you've used.  Calculate that amount on your fixed tariff and divide by 12 to get the monthly amount.

My guess is that they will say you need to pay more than what you calculate.  And will spin some line about "keeping you safe financially".   Don't put up with their bull.  Keep repeating over and over "my calculations show that my DD should be £XX and you need to ensure that's what you take otherwise I will be raising a complaint". 

I have only been with them 3 months and have never even submitted a meter reading yet. They dont know how much i have actually used to make any sort of Guestimate. 

I'd change that to: they don't know how much you have actually used so they HAVE made a guestimate.

Do you have a smart meter? If not (or if it is not sending readings), any reason why you've not submitted readings? The billing system will not necessarily know the basis on which your original DD was calculated (your projected usage?) and might therefore be applying a standard profile for your house size. ie it might be assuming you're using more energy than you actually are.

Many of the issue we see here can be traced back to a root cause of people not keeping on top of ensuring their supplier knows how much energy they are using.