Solved

My account is in debt - what will my monthly payments be?

  • 19 March 2018
  • 1 reply
  • 151 views

Hi, I've just begun my second year with OVO and my direct debit needed raising to £104 a month a couple of months ago.
I've now been advised to raise this to £125 a month which is fine, I have a smart meter and this makes sense.
But my account is currently in the red at -£350, will my new payments sort this out? Or will they expect me to pay this off immediately?
Any advise would be welcomed.
Thanks in advance
icon

Best answer by Transparent 20 March 2018, 13:40

Hi @Old haunted house,

To pay off a £350 deficit over 12 months would cost an extra £29 /month.

Since you appear to be halfway through a 2-year contract, in theory you would need to raise your Direct Debit by twice this amount. Half gets used to pay off the debt, and the other half takes your monthly payment to where it should've been all along.

If your D/D is now sufficiently increased then there's no reason why OVO would need you to pay off a lump sum. They will be able to see that the debt will have been taken care of by your end-of-contract. After all, if they'd notified you of the problem six months earlier, the monthly increase would have been far less!
View original

1 reply

Userlevel 7
Badge +2
Hi @Old haunted house,

To pay off a £350 deficit over 12 months would cost an extra £29 /month.

Since you appear to be halfway through a 2-year contract, in theory you would need to raise your Direct Debit by twice this amount. Half gets used to pay off the debt, and the other half takes your monthly payment to where it should've been all along.

If your D/D is now sufficiently increased then there's no reason why OVO would need you to pay off a lump sum. They will be able to see that the debt will have been taken care of by your end-of-contract. After all, if they'd notified you of the problem six months earlier, the monthly increase would have been far less!

Reply

    Cookie policy

    We use cookies to enhance and personalize your experience. If you accept you agree to our full cookie policy. Learn more about our cookies.

    Accept cookies Cookie settings