Tutorial

Direct Debits - What do I need to know?

Direct Debits - What do I need to know?
Jess_OVO
Rank
Userlevel 7

Updated on 01/03/22 by Jess_OVO

 

If you’re an OVO member on a fixed plan, you’ll pay for your energy by a Direct Debit, a month in advance. This payment method is also recommended for members on a variable plan as it’s the easiest way to manage your payments and spread the cost of your energy throughout the year.

 

If you’re joining OVO from another supplier and go for a fixed plan, your Direct Debit is set up before you switch. The initial amount you pay will be calculated based on the usage information you submitted when applying for a quote and the unit rates which are guaranteed for the length of your plan. If you’ve moved in to an house we supply, we might also use previous usage data for your new home to help suggest a suitable starting figure. Either way this initial Direct Debit amount isn’t fixed, even if your price per unit won’t increase on your current plan. 

 

As the amount you use may change, we’ll regularly check that the payment amount is enough to cover your ongoing energy costs and leave you with a clear balance at the end of your plan. 

 

Check out our Direct Debit “check in” process here or watch the video below for more info -

 

 

You can check your current Direct Debit amount and adjust this if needed on the ‘Payments’ page of your online account or OVO app (download for Android or iOS) -

 

Exact appearance may vary

 

There’s also some really helpful advice here in understanding the calculation we carry out when checking your Direct Debit amount -

 

Exact appearance may vary 

 

Is there any support available if I’m struggling to pay for my energy?

 

There is help available if you’re struggling to pay your energy bills – both from us here at OVO Energy and from government schemes and charities as well.  There are many ways we can help – such as setting up a payment plan for you, which spreads the cost of your energy to make it more manageable. If you want to find out about payment plans, you can request one online here – we’ll take you through what you need to do, and ask you for some details. Our dedicated team is also specially trained to support you. They can make sure you’re receiving any financial assistance from the government that you’re eligible for, and take you through payment support schemes that are available. 

 

You can find out more about these schemes and where to seek free, independent advice right here.

 

How easy do you find your Direct Debit calculations?

 

Got it sussed or still got questions? - Comment below, we’d love to hear how we can improve our Direct Debit process! :slight_smile:

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73 replies

Emma_G
Rank
Userlevel 5
My direct debit has just changed for the third time in less than 12 months, which is a little frustrating when trying to budget, but I do understand the reason why and always alter the amount when suggested I do so in order to have a £0 balance or be in credit at the end of my contract.
Lucy_OVO
Rank
Userlevel 5
My direct debit has just changed for the third time in less than 12 months, which is a little frustrating when trying to budget, but I do understand the reason why and always alter the amount when suggested I do so in order to have a £0 balance or be in credit at the end of my contract.



Good advice there, Emma_G! I appreciate how that can be frustrating (I feel the same when it happens to me!) but as the Direct Debit is based on consumption, there is a possibility that the Direct Debit will fluctuate.



Lucy
You guys know what’s watt
G
Rank
Can I check with you: If I switch to "Ovo Energy - Greener Energy Fixed (All Online)" does the fixed refer to the unit cost rather than the Direct debit amount? I am hoping that it is the unit cost and that you still evaluate usage and adjust the monthly amount accordingly.
spotlandrules
Rank
Userlevel 2
Can I check with you: If I switch to "Ovo Energy - Greener Energy Fixed (All Online)" does the fixed refer to the unit cost rather than the Direct debit amount? I am hoping that it is the unit cost and that you still evaluate usage and adjust the monthly amount accordingly.



Yes, this refers to fixed unit price. The DD amount will be variable, depending on your usage.
Disclaimer: I make it up as I go along.
D
Rank
I have recently joined OVO, and I am supposed to make my first payment on the 25th of april. however, I want my direct debit to be on the 1st of every month.

how can I change this?

thanks in advance.
Padwick
Rank
This page will help I'm sure... It explains how to change it.

https://www.ovoenergy.com/ovo-answers/topics/payments-and-statements/payments/how-do-i-change-direct-debit-details.html
Lucy_OVO
Rank
Userlevel 5
I have recently joined OVO, and I am supposed to make my first payment on the 25th of april. however, I want my direct debit to be on the 1st of every month.

how can I change this?

thanks in advance.



This page will help I'm sure... It explains how to change it.

https://www.ovoenergy.com/ovo-answers/topics/payments-and-statements/payments/how-do-i-change-direct-debit-details.html



Thanks, Padwick!



For your convenience, Dianna_OVO, I’ve merged your topic onto this existing topic that we have on Direct Debit queries. 🙂



Lucy
You guys know what’s watt
J
Rank
I recently changed OVO tariffs and the price I was originally quoted has already risen...from £69.00 per month to £98.00... this is quite a jump! My energy use hasn't increased significantly either so I'm a little confused and dismayed...please advise.
Lucy_OVO
Rank
Userlevel 5
I recently changed OVO tariffs and the price I was originally quoted has already risen...from £69.00 per month to £98.00... this is quite a jump! My energy use hasn't increased significantly either so I'm a little confused and dismayed...please advise.



Your Direct Debit will be heavily based on your consumption as this is a reflection of how much you’ll be spending. Your unit prices and standing charges will be factored into this too though as it will affect how much you’re paying per kWh and per day.



I’d suggest providing us with regular meter readings (to ensure your bills are an accurate reflection of your usage) as it might have been that we’ve been over estimating your usage which is why your Direct Debit has increased. If you’re then able to decrease your Direct Debit off the back of this, you’ll be able to do so on your My OVO account.



Don't forget that the Direct Debit will also take into account your projected spend for the year!



I’ve also moved your topic onto this thread as there’s already a bit of conversation around Direct Debits on here.



Lucy
You guys know what’s watt
N
Rank
Is your OVO direct debit payment set at a fair and sensible level? I don't think mine is. After paying £70 per month for exactly one year (for dual fuel) I've ended up slightly in credit - which means the monthly payment was about right. Despite this, OVO has now pushed up my direct debit payments to a whopping £96 per month, citing "price rises" as the reason. This is a 37 percent increase, which suggests that OVO plans to hike prices by this amount in the coming year. Surely we'll all shift suppliers if that happens? Shame. OVO feels like a good company. I know I can force down the level of monthly payments, but having raised the issue with the company I'm told they stand by their estimate: £96 a month to cover a total fuel bill of around £840 in the past year. Does anyone have similar experiences?
F
Rank
Hi there, just joined Ovo in my own brand new house after leaving the parental home. When i set up the account, I chose 2 bed semi and Ovo quoted me £82 a month via DD. It seems a lot to me, and now going through the new account wizard and refining my details (2 bed semi, 1 adult) it says I should pay around £40 a month.



Can I change my DD before my account starts in a few days time? Just the £42 a month extra is a lot to pay out when I know that I won't use as much as originally quoted.



Any help is much appreciated :)



Steven
T
Rank
Hi there. I'm not sure if its a good idea to fix the prices - though I'm sure its likely to go up! I'm concerned as the suggested monthly DD is higher than I pay now - I understand why - but my usage is below by current DD anyway. Any thoughts?
Darran_OVO
Rank
Userlevel 7
Hi there. I'm not sure if its a good idea to fix the prices - though I'm sure its likely to go up! I'm concerned as the suggested monthly DD is higher than I pay now - I understand why - but my usage is below by current DD anyway. Any thoughts?



Hi Tracy71



Thanks for posting your question on our new forum. Great to have you on board.



I have moved your question onto this one as there is already a lot of helpful information here on direct debits and contracts etc.



I hope its useful, if you need anything further, please comment below.



Darran
Did a reply solve your question? Then mark it as the correct answer!
M
Rank
Like Nicholas I also queried a whopping 33% increase when I owe £69 which will soon be cancelled out by the warmer months. All energy companies hike their prices in spring, it's a shame as Ovo were going to be the first energy company I placed business with for a second year. Even given the £60 exit fee (shameless tactic brought in since the govt forced companies to put people automatically onto the lowest tariff) I will still be quids in by changing supplier and the gentleman I spoke to in the call centre obviously couldn't explain the extortionate hike logically as I submit regular readings and haven't changed my usage.

At least he had the honesty to admit Ovo were no longer the cheapest - off to the comparison sites I go!
Mattj3135
Rank
Userlevel 6
Like Nicholas I also queried a whopping 33% increase when I owe £69 which will soon be cancelled out by the warmer months. All energy companies hike their prices in spring, it's a shame as Ovo were going to be the first energy company I placed business with for a second year. Even given the £60 exit fee (shameless tactic brought in since the govt forced companies to put people automatically onto the lowest tariff) I will still be quids in by changing supplier and the gentleman I spoke to in the call centre obviously couldn't explain the extortionate hike logically as I submit regular readings and haven't changed my usage.

At least he had the honesty to admit Ovo were no longer the cheapest - off to the comparison sites I go!



Whilst it is a shame you are thinking of leaving the OVO family, OVO do encourage customers to check they are on the best tarrif for them and if it means switching to another provider so be it. It's great that OVO actually tell you when it would be cheaper elsewhere!



Hope you come back to the OVO family at some point - good luck with the switch, hope you get a decent deal
stateofit
Rank
Userlevel 3
Energy prices are always up and down, it's a highly volatile market.



Since June last year the Wholesale cost of Gas is up around 30% and Electricity is up way over 30%... This means that if you take out a new contract/tariff right now, or renew onto a new one, you kinda hafta suck up the higher rates... I checked my own increase this year after I renewed and although I too have had to increase my direct debit, the rise in rates with OVO is Exactly in line with the rise in the Wholesale costs, and I can't really bring myself to complain about that, not to OVO at least...



Some energy companies play games with prices, offering cheap deals for new customers by over-charging the loyal ones. OVO don't do that, they set prices at the lowest level they can manage based on current wholesale prices and "cost to deliver", and give those rates to Everyone, and I really respect that. I'm not subsidising a marketing drive, and no-one's getting a better deal than me cos they arrived more recently or pretended they were switching suppliers.



It's about integrity, and I say it's worth a few extra quid a month.



And just watch, when energy prices drop, as they inevitably will, I cast-iron guarantee you that OVO will be among the very first to drop their rates...
You can't have everything. Where would you put it...?
Mattj3135
Rank
Userlevel 6
You've hit the nail on the head @stateofit 🙂





Can't beat OVOs openness and transparency
robinj
Rank
I've been using Ovo for 3 years and found them very good. Up until December last year everything was fine. I used to change the Direct Debits so I paid less in the summer and more in the winter. In December Ovo started changing the Direct Debits without consulting me and getting it totally wrong - in fact taking too little and later too much. Eventually after complaining they fixed it.



Now they have the settings wrong. They suggest too large a figure and I am unable to reduce the amount as we approach summer and the amount should reduce. They just want take more. And trying to claim back what they hold does not work either.



I am very happy with Ovo, but this continuous screw up, going on for months does not help. Just put is back the way it was before Nov last year and stop messing around with something that was working.
Tim_OVO
Rank
Userlevel 7
I've been using Ovo for 3 years and found them very good. Up until December last year everything was fine. I used to change the Direct Debits so I paid less in the summer and more in the winter. In December Ovo started changing the Direct Debits without consulting me and getting it totally wrong - in fact taking too little and later too much. Eventually after complaining they fixed it.



Now they have the settings wrong. They suggest too large a figure and I am unable to reduce the amount as we approach summer and the amount should reduce. They just want take more. And trying to claim back what they hold does not work either.



I am very happy with Ovo, but this continuous screw up, going on for months does not help. Just put is back the way it was before Nov last year and stop messing around with something that was working.



Hi Robin,



It’s a shame to hear that you’re not happy with our suggested Direct Debit changes. Here’s an OVO Answers page which explains how we work out the ideal amount: https://www.ovoenergy.com/ovo-answers/topics/payments-and-statements/payments/how-do-you-work-out-my-direct-debit-amount.html.



In short, we want you to end your contract with a £0 balance, and we want you to keep the same Direct Debit amount throughout the year. This also happens to be what most of our customers want.



@Emma_G - you're one of our fav Pay monthly forum users - any suggestions for @robinj:?:?



Tim
Carbon neutral - we need a community to get there! My green tech: Aclara SGM 1411-B smart meter, Chameleon IHD6
Emma_G
Rank
Userlevel 5
Hi @robinj



I understand how frustrating it is when direct debits change, but am sorry to hear you have had so many problems.

The amount I pay has changed a few times since I became an OVO customer a little over a year ago, but I have always made the change in the hope of having a zero balance (or being in credit) at the end of the period.

Have you queried why the amount you pay cannot be reduced to be an amount you are more comfortable with?

The only other thing I could add that may help explain why the amount has increased and cannot be altered would be to do with an increase in energy costs - none of us like it, but it happens. I am not always aware that the cost of gas and electricity has increased, but then find out that is the case when the direct debit increases.



I hope your issue is resolved, and will keep following this thread to try to help wherever I can



Emma
robinj
Rank
Another month has now gone by and you contiinue to get it wrong. The replies above say "its because the prices have gone up". Ok so the prices have gone up, but I am saying you are calculating the payments incorrectly and as each month goes by you continue to get it increasingly wrong. This is obvious to me but you continue to profit from your incorrect calculations.



You get a lot right with your service but continually taking money which is not owed (ie cheating your customers) and when I complain just saying its right and its because the prices have gone up. You need to do the calculation based on the fact that in the summer people use less gas and then you will stop making these mistakes.



Put it back how it was before Nov 2016 when I could make adjustments to the standing order which make sense or allow me to get a refund.
Mattj3135
Rank
Userlevel 6
@Emma_OVO can you pick this up please?
Lucy_OVO
Rank
Userlevel 5
@Emma_OVO can you pick this up please?



I’ll pick this one up @Mattj3135 :)



Sorry to hear this is still ongoing @robinj. I’ve sent you a PM so that I can help further.



Lucy
You guys know what’s watt
Mattj3135
Rank
Userlevel 6
You're a good egg @Lucy_OVO



Thank you
robinj
Rank
@Lucy_OVO Still waiting for the PM that has not been sent

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