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  • caring landlord
    • #2
    • 17th Jun 09, 7:05 AM
    Scandal pre-payment meters
    • #2
    • 17th Jun 09, 7:05 AM
    As a landlord who rents out a shared property the pre payment meter is ideal as tenants come and go . No one is left out of pocket if a tenant leaves.
    BUT the system is scandalous
    I changed to 'Ebico' which helped a little.
    I have had an Energy Perfomance Certificate done last month which rates the property a C.
    Last week Southern Electric upgraded the meter and announced the costing would be doubled!!This should be an economical solution as bills are always paid upfront.Sort it OFGEM now .
  • comp-uter guy
    • #3
    • 17th Jun 09, 9:31 AM
    • #3
    • 17th Jun 09, 9:31 AM
    So what are the chances of us ripped off customers getting any money back? When we moved into our house the previous owners had prepay meters for gas and 'leccy (through E.ON and British Gas). We were told that we couldn't get them changed until we'd had the accounts open for a year (we were first time buyers so had not had accounts with power companies before). So through no fault of our own we have been overcharged. If the banks have to pay money back for wrongful selling of extra policies then shouldn't the energy companies have to do the same?
  • WeeSlavey
    • #4
    • 17th Jun 09, 9:47 AM
    Poorest in Society Pay Again
    • #4
    • 17th Jun 09, 9:47 AM
    My 82 year old mother has only ever had prepay meters. I phoned Scottish Hydro Elecric to say I wanted the meter removed so she could go on to a competitive tariff. They said she'd have to pay 45 to remove the meter and a further 145 deposit and stay with the company for a further year. I said that my mother had overpaid them for years so shouldn't have to pay for the privilege of leaving them. They said TOUGH! I'd appreciate any advice about whether they are within their rights to do this.
  • KimYeovil
    • #5
    • 17th Jun 09, 10:02 AM
    • #5
    • 17th Jun 09, 10:02 AM
    [...]I wanted the meter removed so she could go on to a competitive tariff. They said she'd have to pay 45 to remove the meter and a further 145 deposit and stay with the company for a further year.[...]I'd appreciate any advice about whether they are within their rights to do this.
    Originally posted by WeeSlavey
    Of course they are within their rights and it would be unjust if she did not have to pay. Charges and deposits for changing meters are entirely fair. If your mother did not have a prepayment meter would you be happy for her (and everyone else) to pay higher charges per kWh to give free swaps to others?
    • newlywed
    • By newlywed 17th Jun 09, 10:07 AM
    • 7,474 Posts
    • 24,349 Thanks
    newlywed
    • #6
    • 17th Jun 09, 10:07 AM
    • #6
    • 17th Jun 09, 10:07 AM
    Of course they are within their rights and it would be unjust if she did not have to pay. Charges and deposits for changing meters are entirely fair. If your mother did not have a prepayment meter would you be happy for her (and everyone else) to pay higher charges per kWh to give free swaps to others?
    Originally posted by KimYeovil
    I am on prepay with edf and was told I wouldn't have to pay to have the meter changed to a non-economy7 prepay meter. They were quite willing to swap it for free.

    DMP support thread (member #32)

  • KimYeovil
    • #7
    • 17th Jun 09, 10:12 AM
    • #7
    • 17th Jun 09, 10:12 AM
    I am on prepay with edf and was told I wouldn't have to pay to have the meter changed to a non-economy7 prepay meter. They were quite willing to swap it for free.
    Originally posted by newlywed
    Yes, many companies will do this. That does not make it fair (or free). All customers of EDF are paying extra for their energy to subsidise this largesse.
  • WeeSlavey
    • #8
    • 17th Jun 09, 2:00 PM
    • #8
    • 17th Jun 09, 2:00 PM
    Of course they are within their rights and it would be unjust if she did not have to pay. Charges and deposits for changing meters are entirely fair. If your mother did not have a prepayment meter would you be happy for her (and everyone else) to pay higher charges per kWh to give free swaps to others?
    Originally posted by KimYeovil
    My mother has subsidised others for years with the higher charges for electricity that she has had to pay. Did you not see the original article which states that people paying for electricity via prepayment have been ripped off to the tune of a lot of money for years? They have made a greater profit out of here over the years than you or I. She has subsidised my right to pay for cheaper elecricity by direct debit. That is what the scandal is.
    • 1carminestocky
    • By 1carminestocky 17th Jun 09, 2:15 PM
    • 6,450 Posts
    • 2,477 Thanks
    1carminestocky
    • #9
    • 17th Jun 09, 2:15 PM
    • #9
    • 17th Jun 09, 2:15 PM
    My mother has subsidised others for years with the higher charges for electricity that she has had to pay. Did you not see the original article which states that people paying for electricity via prepayment have been ripped off to the tune of a lot of money for years? They have made a greater profit out of here over the years than you or I. She has subsidised my right to pay for cheaper elecricity by direct debit. That is what the scandal is.
    Originally posted by WeeSlavey

    Totally agree with this. We all know the real reason that most energy companies charge for removal of a pre-pay meter is to discourage punters from doing it. Pre-pay has been a lovely little earner for them over the years.
    Call me Carmine....

    HAVE YOU SEEN QUENTIN'S CASHBACK CARD??
  • artortrees
    I too inherites pre payment meters but as a disabled person on benefits decided I could budget better with them so I didnt have to worry about bills coming in. Now it seems I have been paying far too much for far too long. Any chance of getting something done about claiming back these charges like the bank charges?
    • neil9313
    • By neil9313 17th Jun 09, 4:40 PM
    • 687 Posts
    • 206 Thanks
    neil9313
    Yes, many companies will do this. That does not make it fair (or free). All customers of EDF are paying extra for their energy to subsidise this largesse.
    Originally posted by KimYeovil
    Mmmmmmmmmm......a very sweeping statement, the fact they have been making millions does not come in to it then? :rolleyes:
    • Vestra
    • By Vestra 17th Jun 09, 4:46 PM
    • 798 Posts
    • 250 Thanks
    Vestra
    Oh we got an internal brief about this at work, obviously I can't post it but it said that these claims are not backed by the industry or Ofgem and they don't care. It also mentions that it costs more to maintain the prepayment network.
    • 1carminestocky
    • By 1carminestocky 17th Jun 09, 6:01 PM
    • 6,450 Posts
    • 2,477 Thanks
    1carminestocky
    As long as you haven't overcharged your punters by more than 87 then you have no worries, lol. Having said that, your regulator is OFGEM so you have no real worries anyway (you just have to read the npower sculpting thread to realise what i'm saying is true). Having said that, once the EU get the bit between their teeth....
    Call me Carmine....

    HAVE YOU SEEN QUENTIN'S CASHBACK CARD??
  • A fiend for life
    If there is to be recourse for a refund it should be given rather than applied for for the simple reason a significant proportion of people on prepayment meters might not get hold of this news.

    Be interesting to hear what the government has to say about it as part of that extra cost eats in to winter fuel payments.
    • Joyful
    • By Joyful 17th Jun 09, 6:05 PM
    • 2,269 Posts
    • 1,182 Thanks
    Joyful
    Prepayment meters break down so need Engineer visits much more often than credit meters. It also costs the Energy company every time someone tops up. Include sending replacement keys and cards and you can begin to see where the costs of maintaining Prepayment meters comes in. I personally think that the majority of companies will be able to back up their charges against their costs so I hope no one spends any money in anticipation of a windfall.
    ****Released the reins and am now Self employed****
    • 1carminestocky
    • By 1carminestocky 17th Jun 09, 6:06 PM
    • 6,450 Posts
    • 2,477 Thanks
    1carminestocky
    Prepayment meters break down so need Engineer visits much more often than credit meters. It also costs the Energy company every time someone tops up. Include sending replacement keys and cards and you can begin to see where the costs of maintaining Prepayment meters comes in. I personally think that the majority of companies will be able to back up their charges against their costs so I hope no one spends any money in anticipation of a windfall.
    Originally posted by Joyful

    Ofgem has quoted an 87 figure. You also have to remember there are savings for the energy company with pre-pay meters which offset some of the costs...
    Call me Carmine....

    HAVE YOU SEEN QUENTIN'S CASHBACK CARD??
  • lyndorset
    When I moved into my HA house, it had a prepayment meter, I was told I could change it, when I contacted the electricity company, they missed the appointment and then told me it would cost me 85.00 to change the meter and electric would not be any cheaper (!). So we decided to stick with the meter, we were VERY surprised at how much we were using, much more than our old house, but that had gas central heating & hot water, this one is all electric & did not have heating. Recently we have noticed, despite the only change in usage being a reduction in lights (all have economy lightbulbs) that our weekly spend has gone down by a massive 2/3 or more. However when we went on holiday for a week, we used more electric than when we were here?!

    Please is there anything I can do to get the overcharge back?

    Prepay should be cheaper than any other method, due to it being prepay! Not more in the first place and then overcharged on top.
    • Vestra
    • By Vestra 17th Jun 09, 7:01 PM
    • 798 Posts
    • 250 Thanks
    Vestra
    Ofgem has quoted an 87 figure. You also have to remember there are savings for the energy company with pre-pay meters which offset some of the costs...
    Originally posted by 1carminestocky
    Sorry if I'm being silly but what savings?
  • adprob
    My 82 year old mother has only ever had prepay meters. I phoned Scottish Hydro Elecric to say I wanted the meter removed so she could go on to a competitive tariff. They said she'd have to pay 45 to remove the meter and a further 145 deposit and stay with the company for a further year. I said that my mother had overpaid them for years so shouldn't have to pay for the privilege of leaving them. They said TOUGH! I'd appreciate any advice about whether they are within their rights to do this.
    Originally posted by WeeSlavey
    Hi

    I would double check on this. I had a paygo meter changed (by hydro) to credit without paying for a meter change and without paying a deposit. I know they ran a credit check before they agreed to take the meter out. I don't mean to be insensitive but does your mother have a good credit score? If she has never really had credit in her life, and a lot of people her age havent, then she could have virtually no score.

    Let me know how you get one.
  • adprob
    (i've posted this in another thread as well so apologies to those who get upset by tha)
    The problem with this news article is it is one group stating this without the backing of OFGEM or the Govt. Without these 2 onside it will be hard to get a refund. Also the relevant European legislation was only passed in 2006 so you would need to find out when your supplier came in line with this. Once you know this you would be able to claim (if you can) for the period between the legislation being passed and your supplier coming in line with it.
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