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I have a fixed tariff - different payment amounts have been going out of the account every month - why?

  • 3 October 2017
  • 8 replies
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I started a better energy fixed contract with Ovo in the summer but according to the statements every month it is not fixed as different amounts have been going out of the account every month. Why is this?
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Best answer by Anonymous 4 October 2017, 16:42

Hello Ian

I think you have a misunderstanding about fixed rate energy contracts. Fixed rate means that the cost each unit (or kWh) of electricity and gas that you use will remain the same for the period of your contract, however the amount you are charged each month will change depending on how many units (kWh's) of electricity and gas you use. In general you will use less in the summer (and your bills will be lower) and more in the winter (your bills will be higher).

I hope this helps.

Phil_H
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8 replies

Hello Ian

I think you have a misunderstanding about fixed rate energy contracts. Fixed rate means that the cost each unit (or kWh) of electricity and gas that you use will remain the same for the period of your contract, however the amount you are charged each month will change depending on how many units (kWh's) of electricity and gas you use. In general you will use less in the summer (and your bills will be lower) and more in the winter (your bills will be higher).

I hope this helps.

Phil_H
Ah okay - my confusion is then why I am paying £83 a month if that isn't what I am being billed? Thanks!
Hi again

Ovo look at how much electricity and gas you are likely to use over the whole year and set the payments cover this. This means that in the summer your payments are likely to be more than you use, and in winter a little less.
In my case my monthly payments are £80 and I use about £55 in July and £110 in January, the surplus in the summer helps cover the extra electricity and gas used in the winter. I have also built up a surplus in my account but OVO are very good and pay me more interest on this than I can get from my savings account at my bank! If the surplus gets too big I can request a refund on the website.
I opened a '' better energy' fixed one price for twelve months account four months ago. I had put in uswitch our meter readings for the previous year and OVO came out best. I have the emails stating the offer called 'FIXED PRICE' ONLINE ONLY. so why did I recieve an email today saying they want to up my direct debit! If this was next year and we were up for renewel sure.. But we're not
Help please
Hello

I hope I can help, I am also on the better energy fixed tarrif which in my case was fixed for 2 years.

I think you may have mis-understood how a fixed price tarrif works. A fixed price tariif means that the price of each unit (or kWh) of electricity and gas will remain the same during the period of your contract.

However during the contract the amount of electricity and gas you use will change. In most cases you use more units or kWh in the winter and less in the summer.

Your direct debit can therefore change depending how much electricity and gas you have used each month. In addition Ovo will adjust the direct debit to ensure that your monthly payments will cover your estimated usage during the period of your contract. If you are using more electricity or gas than originally estimated the direct debit will increase.

To better undertand how much you are using a good place to start is your monthly statement from Ovo, not only will this show how much electricty and gas you have used in the last month but also what you are likely to use for the rest of the year. There is also lots of useful information on the website which shows both usage and your payments over the year.
It said fixed, they knew our readings from last year they are the same as this year. I beginning to think they under quoted to get our custom and are now uping the price.. I have the readings I put into uswitch and we are on course to use about the same.. How can you suddenly decide in the summer to hike prices? You knew how much we used yearly and you under quoted.. Not okay
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@Dether1 I'm sure if you contact Customer Services they will agree to keep your direct debit the same if you have the details of your usage. You can email them on hello@ovoenergy.com or call 0330 303 5063.
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@Dether1, @Phil_H, @PeterR1947 - I've moved your posts over here!

It said fixed, they knew our readings from last year they are the same as this year. I beginning to think they under quoted to get our custom and are now uping the price.. I have the readings I put into uswitch and we are on course to use about the same.. How can you suddenly decide in the summer to hike prices? You knew how much we used yearly and you under quoted.. Not okay

The initial Direct Debit is based on information you provide when you sign up to us, so we wouldn't have under quoted you. Potentially the usage figures you used are incorrect, we can look into this. You can send us a message on Facebook or Twitter with your name, DoB and account number or use the details in Peter's message.

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