Payment of energy invoices by direct debit?

2BorNot

I get the impression that it is possible to find energy contracts where you pay on receipt of an invoice with the payment being taken by direct debit.  However, I have not been able to find any. Can anyone help with this?

Alnat1

Often called Variable Direct Debit and occasionally something like Whole Bill Monthly by some companies.

Who are you with, as a few don't offer this service at all.

MforumSManE

I have a variable direct debit arrangement with Octopus.

I send reading 1st of the month, they send invoice and take payment around 17th of month.

Alnat1

I'll also mention that the option isn't something you can click to switch and is rarely publicised on websites. You have to phone/email and ask to be switched to the variable monthly payment method.

2BorNot

Thanks for these comments. I'm with Eon for electricity (smart meter) and British Gas for Gas (old meter). On variable tariffs and thinking of moving but would like to change to variable DD if at all possible.
Why isn't MSE pushing for more availability of variable DD contracts given all the hassles caused by fixed ones?

bagand96

Fuse Energy bill like this as their default.  Statement sent covering the last month and the DD is taken a week or so later for that amount.  Their rates are pretty competitive for my region too.

MWT

2BorNot said:

Why isn't MSE pushing for more availability of variable DD contracts given all the hassles caused by fixed ones?

It works for people who can handle the much larger winter payments, but doesn't suit those who need to spread those payments over the rest of the year. 

It may get harder to find suppliers willing to work this way as Ofgem enforces higher liquidity tests on them, which it is harder to meet if customers are able to pay 100% in arrears.

mmmmikey

I have a variable direct debit with EOn and the whole amount is paid off monthly.

Robin9

Edf ................

MyRealNameToo

2BorNot said:

Thanks for these comments. I'm with Eon for electricity (smart meter) and British Gas for Gas (old meter). On variable tariffs and thinking of moving but would like to change to variable DD if at all possible.
Why isn't MSE pushing for more availability of variable DD contracts given all the hassles caused by fixed ones?

Because for most fixed DDs create much less hassles and gives people certainty over what their bills are going to be -v- unexpectedly getting a big bill which you have to be able to pay in full. 

Suppliers dont like it because they need to hold more of their own funds to meet the liquidity requirements to avoid the risks that they can't afford to pay for the energy their customers have used 

2BorNot

Doesn't seem to me to be a justifiable reason to totally deny those who want it.