Why has my suggested Direct Debit increased again after renewing?

  • 21 August 2019
  • 9 replies
  • 333 views

Our plan expires 03 Oct and we received a renewal offer on 12 Aug. In our case the 12month fix was £117 per month and the 24month £121. After consideration today (21Aug) we decided to proceed and when opening the offer e mail, we now find the offer has increased to £ 124 and £ 128 respectively, an increase of nearly 6% over the already increased offer of 12th Aug which incidentally included the statement " Since you last fixed your prices, unit prices have gone up so unfortunately this year's bills will cost more". Has anyone else experienced this and does anyone think such a large increase is justified just 9 days after providing an already increased quote ?

9 replies

Same here. Quite surprised at at initial increase (approx 10%) then a further £4 pm. on top!
wholesale gas prices are down this year too.
Userlevel 6
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Hi @nigeldgriffiths,

The figure you're seeing is just a suggested monthly payment amount. This is based on your average consumption and the new prices. If you click the relevant 'renew' button online, your Direct Debit won't be increased. It will remain at the current amount for the time being.

If you have a credit balance on your account at the moment, you can use this to offset the difference in unit rates should you choose to renew. You can monitor it by giving regular meter readings and checking your balance on future statements. If you notice your credit is decreasing, you can always increase the Direct Debit accordingly in the 'Payments' section of your online profile.

Hope this helps,
Nancy
Hello Nancy,

Just a little bit puzzled why your suggested monthly payments ie £117 and £121 on the 12th August and £124 and £128 on the 21st August should differ.

Are you able to confirm the gas and electric unit prices and also the gas and electric standing charges used in your calculation for the figures calculated for both the 12th August and 21st August are identical and have not changed and thus are still as quoted in your letter attachment to your 12th August e mail and would of course apply if to my renewal if I proceed.

Regards

Nigel
Fao Nancy ( your guiding light(bulb))

Nancy,
Since the above question, I have discovered that in between your original renewal quotation letter of 12th August and my attempt to renew on the 21st August, that your gas and electricity unit charges had been considerably increased . There had been no notification that an increase had been made and only became apparent to me when I noticed the monthly renewal suggested payments had been increased by nearly 6%. Is this not questionable practice to any customers let alone loyal renewing customers?
Yours
Nigel
Fao Nancy ( your guiding light(bulb))

Nancy,
Since the above question, I have discovered that in between your original renewal quotation letter of 12th August and my attempt to renew on the 21st August, that your gas and electricity unit charges had been considerably increased . There had been no notification that an increase had been made and only became apparent to me when I noticed the monthly renewal suggested payments had been increased by nearly 6%. Is this not questionable practice to any customers let alone loyal renewing customers?
Yours
Nigel

I
I’m with you on this Nigel, seems Ovo are going down the same route as “Big Six” in confusing customers with price hikes.
i don’t want to subsidize green energy further than I am through paying for government subsidies. OVO are “giving “ six months
free green energy ,but fail to tell us if we can opt out after that period.
I am now looking at alternative options.
Rant over.
Regards
Lazza.
Lazza

I too have looked at alternatives and have found a new supplier with a good customer service record and saved my self £250 per year for an identical deal. Figures say it all !!

Regards
Well done Nigel, I’ll be following you soon.
all the best,
Lazza
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Hey @nigeldgriffiths, we wouldn't notify you of a price increase when you are in a fixed plan, there would be no impact on the rates you are fixed into.

It's bad luck that the rates had changed when you decided to renew at the later date, they are subject to change.

We don't have the cheapest rates available, but we do feel we price fairly. We are very clear and open with our pricing and always notify our customers regarding rate changes that will effect our customers, ensuring our customers are able to make an informed decision.

If our rates are more favorable for you in the future please keep us in mind.

@Lazza120 you can opt out of the free add on at any point.

Thanks!

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