As a new customer and one who has normally paid my bills quarterly I have a question as regards to the direct debit method. I was under the impression that your monthly payment can change for example if you use more energy, I was also under the impression if you used less than what you pay monthly that difference gets refunded. Well ive only had two bills, the first one because of being a new customer was a fair bit short of my monthly debit amount but the full amount was taken, now for this month I received an e-mail asking for my meter readings which I submitted, on checking my account I notice it said as I had not submitted my meter readings they had used an estimate, then underneath it had my submitted readings which were less. The correct monthly amount was taken out in this instance but it shows my account as £69.00 pounds. So is this amount an overpayment from the first month plus the difference between the estimate and reading for the second month? If so I thought this got re-credited? I'm not quite sure how this system works. Thanks.
Best answer by Tim_OVO
Similar question from both of you @sjcsystems @Roman Chmura
Your smart meters send us your readings so we always bill you accurately. These charges are outlined in your statements. Your Direct Debit is a fixed amount that aims to cover this usage all year round. It will remain fixed unless it looks like a change is needed, which is what most customers want.
The issue is that your usage won't tend to be equally spread across each of the 12 months of the year. Most of your costs will be in the winter. Customers don't want to have a high Direct Debit in the winter and a low Direct Debit in the summer. People's income tends to be fixed all year round, and a Direct Debit that stays the same is ideal. This will mean building up credit in the summer and eating into that credit in the winter.
You can view and change this Direct Debit at any point via My OVO here
More info on how we calculate Direct Debits here.