Hello.
I’m getting a bit fed up with with OVO increasing our monthly direct debit - especially after we paid a £200 lump sum in. We’re on the Simpler Energy Variable Plan having come in from SSE.
Is it feasible to set up a monthly bank transfer & to cancel monthly direct debits?
PS. The new OVO Fixed Plan costs are shocking hence not wanting to go anywhere near those.
Best answer by Jeffus
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Updated on 26/06/23 by Abby_OVO
Check out this helpful topic on Direct Debits:
Hello.
I’m getting a bit fed up with with OVO increasing our monthly direct debit - especially after we paid a £200 lump sum in. We’re on the Simpler Energy Variable Plan having come in from SSE.
Is it feasible to set up a monthly bank transfer & to cancel monthly direct debits?
PS. The new OVO Fixed Plan costs are shocking hence not wanting to go anywhere near those.
Hi
I don't work for OVO, i am just a customer like you. A few of us post where we think we may be able to help. I don't have access to your account.
You can switch to paying on demand where you simply pay your bill once you get it.
You would need to phone OVO to do this.
Just be aware the tariff rates are more expensive if you pay on demand rather than pay by direct debit.
You shouldn't just cancel your direct debit yourself as this will cause no end of issues for you.
Given the increase in tariff if you don't pay by direct debit, i am not sure i would recommend that, but clearly up to you.
Ofgem are due to release the next price cap around the 26th of August, although it doesn't change until October. OVO will give you at least 10 days notice of what the actual change means for you.
For anyone transferring from SSE, I recommend checking the Future Annual Consumption on this page on the website not the app.
https://account.ovoenergy.com/plan
This is what OVO estimate you will use over the next year and this ultimately drives the direct debits. Check to see if it is reasonably close to what you typically use in a year historically. It is automatically updated an OVO see how much you use.
Hope this helps?
Hello Jeffus.
Thank you for the detailed answer. I won’t cancel the direct debit until I have a monthly bank transfer set up - if that’s feasible.
Thanks again, Jeffus.
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Hello Jeffus.
Thank you for the detailed answer. I won’t cancel the direct debit until I have a monthly bank transfer set up - if that’s feasible.
Thanks again, Jeffus.
Good luck whatever you do.
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Strictly speaking, I don’t think OVO supports Standing Orders and I’m not aware of any supplier that does either. The only way you can do a monthly fixed rate bank transfer with OVO is via Direct Debit - any other payment method will cause your account to be put on the variable rate Simpler Energy tariff on a pay on-demand basis and you’d be asked to pay the full amount every month.
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Strictly speaking, I don’t think OVO supports Standing Orders and I’m not aware of any supplier that does either. The only way you can do a monthly fixed rate bank transfer with OVO is via Direct Debit - any other payment method will cause your account to be put on the variable rate Simpler Energy tariff on a pay on-demand basis and you’d be asked to pay the full amount every month.
Good point, I think he is just asking to pay on receipt of bill. I didn't hear any mention of fixed amount or standing order.
This page specifically mentions bank transfer, which could of course be done monthly on receipt of a bill i assume?
I think that is all the poster is asking?
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Yup, bank transfers are available if you’re paying on receipt/on-demand. However, OVO does also offer the Fixed Direct Debit regardless of tariff type and making a card payment is faster than a bank transfer while also giving you instant confirmation.
I’d personally only recommend doing bank transfers in cases where you’re unable to use any other method, since it takes up to 5 working days to process in some cases and won’t show up at all until OVO has processed it.
Hello.
I’m getting a bit fed up with with OVO increasing our monthly direct debit - especially after we paid a £200 lump sum in. We’re on the Simpler Energy Variable Plan having come in from SSE.
Is it feasible to set up a monthly bank transfer & to cancel monthly direct debits?
PS. The new OVO Fixed Plan costs are shocking hence not wanting to go anywhere near those.
You say tarrif will rise if paying on demand but this contradicts another forum co tributer who states the tariff rate is the same however you pay. Also, ovo state that if you cancel your direct debit ( they simply don't answer the phone quick enough, I.e. within half an hour) they send an email asking how you want to pay from now on. I'm doing g that as 350 quid from my 740 quid pension is simply unsustainable for me.
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I can confirm that I’ve seen cases across a lot of suppliers where paying on-demand is more expensive than paying via Direct Debit. This also appears to be the case with OVO based on historical information that I gathered a while ago.
Can I cancel my direct debit for a fixed amount and just pay direct debit for what I use?
I would like to just pay each month for what I’ve used that month (I understand that will cost more over the winter). I’d ideally like to keep it via direct debit but if not just be issued with bills.
Is this possible? Is it a different tariff? I read through FAQ but the only thing I could find is it’ll cost around £129 a year extra but with no info about how this is calculated.
I have tried online chat but I couldn’t get an answer he just kept saying you can view your bills online.
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Hi
I’m afraid OVO doesn’t support Variable Direct Debits anymore. If you want to pay for only what you use in a particular month, you’ll need to cancel the Direct Debit and go onto Simpler Energy On-Demand. Be warned that you will lose your Direct Debit discounts and any fixed rate deals that you may be on. It may cost you around £200 a year more as well.
Thanks for the answer.
I am not on a fixed rate deal. How do you tell if have a direct debit discount?
Is Simpler Energy on Demand a different cost to Simpler Energy (my current tariff)? If it is do you know where I can find the cost of that tariff?
Thanks for your help
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I don’t know where the details are I’m afraid, but you would be notified automatically if the tariff is about to be changed as a result of cancelling the DD. To be honest, you’re probably better off leaving things as they are but it’s ultimately your decision, and yours alone.
Thanks for your help.
Without knowing the details I don’t know if I’m worse/better off or not.
I’ll have to give in and call to find out I think!
Thanks
Hey @mwrutherford,
Welcome to the OVO Online Community.
I can see you have met two of our community volunteers
Just wanted to step in to clarify we have two Simpler Variable Plans one where you pay on demand and one paid by direct debit. You get cheaper rates on the Simpler Variable paid by direct debit.
It’s your choice how you pay but we would recommend continuing to pay by direct debit, as it’s cheaper, avoids a large spike in bills over the winter period and is automated.
Here’s a helpful guide which explain how OVO’s direct debit reviews work:
Here are some extra resources you might find helpful:
Here’s the latest information on rising energy prices, and how we can help
This page has all the information that we and our call centre team have on the Energy Bills Support Scheme right now.
If you’re struggling financially or you’re worried about your energy bills, we’re here to support you. Find out about the different ways we can help here.
Hope this helps!
im going to cancel my direct debit!
Im very careful with my gas/electricity use, its an eco thing and one of the reasons im with OVO. However, im obten told to increase my DD even though i am quite a bit in credit and to be honest, its annoying me!
Im quite happy to pay for what I use, im no free loader, however, i want to start paying monthly for only what i use, as per my smart meter. So if my meter is smart, why isnt OVO?
Ive tried phoning, but not enough staff on and i get bored waiting, the BOT is just that and again, i get bored of waiting for a human…… my time is precious.
What are your thoughts on my approach?
if thats not possible, ill look for another provider that is ‘smarter’
Cheers
Andy
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If that’s what you want to do, then you are of course perfectly allowed to cancel the Direct Debit. It’s not what I’d recommend but ultimately no-one here can stop you.
Be warned that the prices will be a bit more expensive when you pay on-demand.
Ok thanks for your reply.
So the limited options whilst with OVO are
maybe even option 3. Ask for a rebate every month of my excess ‘pot’, annoying but maybe satisfying as well ;-)
Thank you.
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Option 4 is calling 0800 0699 831 which is open for another hour. The Collections Team can be busy, but are able to freeze your Direct Debit for three months.
OK I'll retry phoning them. There have been far too many energy companies go bust and I sint want them owing me money
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OVO is in a strong financial position and you’re pretty safe. There’s also the Ofgem Safety Net anyway, which would protect your credit balance if your supplier fails.
Even if OVO did collapse, it’d be way too big for a Supplier of Last Resort process, so it’d go to an Energy Supplier Special Administration Order, which keeps a failed supplier running like normal while the administrators figure out what to do.
Hey
Welcome to the OVO Online Community.
Thanks for your really important question, understandably this is a hot topic right now on the forum.
As
They will also be reviewed regularly to ensure that customers don’t go into debt. Check out this great guide on how to get to grips with the direct debit calculator on your online account.
Here are some similar threads which you might find helpful:
You can contact support on web messenger to find out the difference between the rates of Simpler Energy on demand and Simpler Energy with direct debit.
I hope this helps!
As
@Blastoise186 pointed out we don’t do variable direct debits, direct debits aim to get your balance to £0 by the end of your contract, or look forward by a year if you’re on the variable rate, Simpler. This helps to avoid large spikes in bills over winter.
Please don’t take us for fools. The reason OVO won’t support variable direct debit is that we the customers are lending them our money as by definition a fixed DD will always have a positive balance.
Any chance of answering the original question?
but the only thing I could find is it’ll cost around £129 a year extra but with no info about how this is calculated.
By the way don’t bother calling collections. I spent 80 minutes getting through to them yesterday to have the call answered by an agent who was about as useful as a chocolate teapot. His “advice” included a threat that cancelling my direct debit could affect my credit rating!!!!!!!!!
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OFGEM publishes the maximum charges in tables, based on zero consumption, and then 3,100 units of electricity, and 12,000 units of gas. Assuming that suppliers charge the maximum for the standing charge (most do) it’s then possible to work out the likely standing charge daily figure and the unit rates too. However, there are maximum figures for two fuels, 13 regions, and 3 methods of payment, plus economy 7/10. So the devil is in the detail.
So here goes. Assuming suppliers charge the maximum amount for the standing charge, from October 2022, pay on receipt of bill for Gas the standing charge is 17.7% higher (applies everywhere) than if you pay by Direct Debit. Electricity standing charge is between 12.1% and 16.1 % higher depending on your region. Unit rates for both fuels are at least 5.3% higher. The average OFGEM dual fuel customer will pay an additional £215 per annum.
I don’t know whether suppliers have actually published their rates yet, because OFGEM does allow them some wiggle room in setting their own rates, but internally they know what they will be and are no doubt using that information to revise Direct Debits going forward. However, there would in normal circumstances be another OFGEM increase in the price caps in January 2023, but pending the Government announcement expected on 8th September, we don’t have a clue about how the support will be structured or implemented, how things will work in the future remains a big unknown.
hi so i changed my direct debit to £100 a month not realising it would need 6 working days to change it so they tried to take £125 out my account and i only had £100 in there so theyve put it back into my account does that mean theyll take the money out of my account balance as its in the +s or will they just retake it out my bank account TIA
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OVO will probably try again in a few days. Please make sure you have £125 available until then.
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