Massive DD increase Utility Point
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Clarasaves
Posts: 5 Forumite
in Energy
Hi, I'm with Utility Point on a fixed rate tariff where I pay more in winter than summer. I currently owe £48 over after 10 months with them. I had an email from them asking me to increase my direct debit by £70 a month. I phoned thinking this was a mistake but they are adamant I need to make this increase. I offered to pay the £48 by immediate transfer and increase the direct debit by a reasonable amount but they are insisting on their figure for the increased dd. Is there anything I can do?
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Clarasaves wrote: »Hi, I'm with Utility Point on a fixed rate tariff where I pay more in winter than summer. I currently owe £48 over after 10 months with them. I had an email from them asking me to increase my direct debit by £70 a month. I phoned thinking this was a mistake but they are adamant I need to make this increase. I offered to pay the £48 by immediate transfer and increase the direct debit by a reasonable amount but they are insisting on their figure for the increased dd. Is there anything I can do?
https://forums.moneysavingexpert.com/showthread.php?t=6058746
But if you are in debt this time of year, any sensible arguement to try and resist an increase is going to be difficult.
But if you offer to pay £48 now as a lump sum, that should reduce the monthly payments a little compared with not paying that lump sum.0 -
Have they provided an explanation of the new figure?
I had mine increased when I was quite a bit in credit. I wrote to them pointing out that with the increased amount I would be even more in credit by the end of the fixed term (assuming that my Oct. Nov, Dec usage was similar to my Jan, Feb, March usage) and asked them to confirm what they believed my annual consumption would be and how they had used that to calculate the DD.
A week later the DD was reverted back to the original amount, and a week after that I received an email telling me what their estimate was and reducing the DD by a further £20.
I would advise a similar route. Work out what you feel the DD should be, and give your reasons and then send an email asking them to review the matter, to tell you what they estimate your annual consumption will be, and to tell you how they are calculating the DD amount.
A supplier is entitled to change the DD amount, but also obligated to provide proper reasoning for it.0 -
I don't mind paying an increase but if I owe £48 over 10 months how can they justify an increase of £50 a month?0
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Thanks that's really useful0
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If you are in debt now after the summer months, if you continue to pay your current amount you will be in even more debt after the winter months.
In theory you should build up some credit over the summer months to cover your increased winter monthly energy costs.0 -
This is not a big jump - I think its £22 for 2 months as UP try to ensure that your account is in balance at the end of 12 months.
What is your actual annual consumption in kwh (not £'s) ?Never pay on an estimated bill0
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