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Why such a large increase in my recommended Direct Debit?


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@Mw2870
No, I'm on a 2 year fixed rate tariff but it doesn't run out for another 12 months.
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Hi @Susiebird - I've moved your posts over to this thread where you can find more information on why Direct Debits are reviewed and increased.
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@Susiebird There goes my theory out of the window!
Does the info on this link help at all?
https://www.ovoenergy.com/help/direct-debit-review
Hi,
I am a new customer to OVO from April 2018, my DD has been £66 per month since then, when winter has hit and I started to use gas central heating ... OVO has recommended that my monthly DD is increased to £370 per month. Which is over 5x the current.

This is was above the -£80 debit that I incurred on my latest statement (which I pad off as a direct payment)

I am happy to increase to £150 per month and see how that works, It online, the minimum I can enter as an updated payment is £370 per month.

I think their algorithm is way out .....

I don’t want to lose the discount for Self Service .... not contacting the call centre etc ...

Any advice on my next steps with this please,

Thank you
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I've moved your query over here, @denzo, you may find the answer you need here.

If not, I'm sure @Transparent or @Mw2870, would be happy to help! 🙂
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Has reading this Forum Topic helped @denzo?

OVO actually have three different algorithms to assess estimated usage under different circumstances. One or more of these is used to inform the DD calculations, and also includes assessments of fuel increases for the winter months.

But the accuracy is only as good as the data which is fed in!
I faithfully supply monthly meter readings to ensure that OVO's algorithms are using as little estimation as possible.

However, I've also changed a portion of my heating demand during the last 6 months by installing a (wet) solar heating panel, which supplements the gas boiler. It took OVO's algorithms 3 months to get back in sync with my gas usage. During that time I deliberately kept my DD payments artificially high just to see how long it took before the re-calculation took effect.

So if we're going to provide any better advice about the large increase in DD payments which you've been asked to acknowledge, we'd need to know factors like regularity of meter readings and how your actual usage compared with what you declared when you signed up to OVO's tariffs in the spring.
Hi. I need to increase my DD, which is fine, but the level you recommend is way to high. I have 12 months left on my contract. Using your figures for estimated future cost, adding my current debit, and spreading that over 12 months yields a figure below £115. Your recommended new DD is £153. This would lead to an overpayment of around £450 over the year, which is well over 30%. This seems wholly unreasonable. What can I do to reset these payments at a level appropriate to both OVO and myself, rather than at the suggested rate which overcharges me to provide a substantial cushion for OVO. This strategy of overcharging monthly payments was the main reason I left my previous supplier - please let me know how you will address this
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I've moved your query over here, @james111222, as we already had a topic on this. Take a look at the best answer at the top, this may help you out here!

If you've got a debit balance on your account, this will need to be cleared within 3 months, not 12.

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