Compare energy prices
Ask our Expert
How do I switch back to direct debit from a prepaid meter?
Hi Chris,
Last year we had to move over to a prepayment meter for both our gas and electric because we were suddenly landed with a massive bill from E.ON. They hadn’t notified us that we needed to increase our monthly direct debit and we had a bill for £1,800. As we didn’t have the money to clear the debt at the time, they insisted we move to a prepayment meter as our only option. We have since been paying an amount each week, as well as topping up our meters.
The debt is nearly clear and I called E.ON to try to see how we could move back onto a direct debit plan. They told me that we cannot do this under their terms and guidelines and to call them back in 12 months’ time.
Having looked on a number of website forums, it now appears that to move over to any plan we have to change our meters and pay around £400 per meter for them to be changed.
I can’t believe this, and this wasn’t at all suggested to me at the time it was imposed upon me that I had to move over to a prepayment meter.
Do you have any advice or suggestions that could help us?
Julia McNally, via email on Wednesday 28 December, 2011
Our expert replies...
Thanks for your email, Julia.
Rather than contact E.ON on your behalf, I contacted the energy regulator Ofgem.
The internet forum which said it would cost £400 to switch meters is misleading as some energy companies don’t charge a fee for this. Alas, E.ON has told Ofgem it charges £50 to remove a prepayment meter and replace it with a credit meter. Theoretically, as there is no price cap on this particular service, E.ON can charge any fee it chooses but, when questioned by Ofgem for a report on suppliers’ approaches to debt management and prevention in June 2010, E.ON said it charged £50.
Ofgem always urges energy companies to implement “best practice” which, as British Gas (www.britishgas.co.uk), EDF Energyand SSE (formerly Scottish & Southern Energy) switch customers’ meters for free, this means “best practice” within the industry for this particular service is not to charge for it.
If you still owe E.ON money but are very near to paying it off, Ofgem recommends you call E.ON and come to an accommodation to pay back the rest as part of a direct debit arrangement with your monthly or quarterly bill. If E.ON refuses to do this and you are unhappy with the arrangement you should make a formal complaint to E.ON.
If E.ON either doesn’t respond within eight weeks or it addresses your complaint in a way that means you are still dissatisfied, you can then contact the Energy Ombudsman and ask it to intervene and help settle the case by lodging a complaint with it.
With a lot of companies, telling them upfront that you’re willing to get the Ombudsman involved if the situation isn’t resolved to your satisfaction often galvanises them into action.
Photo courtesy of Kai Hendry.
Ask us a question
If you have an energy query please email ourexpert@energychoices.co.uk
Comments
|
|