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When is an energy budget account not a budget account? Answer, when it's run by E.on energy.
We have been with E.on for over three years and, untill recently, not had a problem. Following the end of our last 12 mth deal we signed-up (July 2011) for their Saveonline 7 deal which is operated on a budget account to run untill end of June 2012.
Following all the price increases (why do all energy suppliers put their prices up by almost exactly the same amount?) we set our monthly payment at £120. This was an 18% increase over the previous payment. Last week we received a letter from E.on informing us that they were putting up our DD from £120 to £144 per month, a 20% increase!!
Having checked E.on's own data we are using 15% less energy this year than we did last year so, Mrs E.on customer services advisor, "The idea of a budget account is to spread the cost of energy usage over a 12 month period, the end result being (in theory) a zero balance, neither in debt or credit". "A budget account is not intended as a means for the supplier to milk it's customers for monies they do not owe". Mrs E.on customer services advisor would not budge, "We cannot alter the DD amount I'm afraid sir, it's been set by the system and we cannot adjust it". "Oh, really, in that case why has the system been able to adjust the £120mth upwards to £144mth?". "Well sir the idea is to bring your account into balance at the beginning of spring, after the higher usage through the winter". "Hold on a moment, the budget account runs for 12 months during which time we will pay for more energy than we use some months and less than we use in others, all balancing at the end of the term". BTW, our account, after three months of the new deal is £189 in credit.
To cut a long story short they would not budge so we dumped E.on. I advise all on budget accounts to watch your supplier as this seems to be a new trend. The cynic in me thinks they don't want people on the deal we were on as they don't make as much profit. They then sell that energy no longer suppied to the disgruntled customer to a new customer at a higher rate.....or am I just paronoid?
We have been with E.on for over three years and, untill recently, not had a problem. Following the end of our last 12 mth deal we signed-up (July 2011) for their Saveonline 7 deal which is operated on a budget account to run untill end of June 2012.
Following all the price increases (why do all energy suppliers put their prices up by almost exactly the same amount?) we set our monthly payment at £120. This was an 18% increase over the previous payment. Last week we received a letter from E.on informing us that they were putting up our DD from £120 to £144 per month, a 20% increase!!
Having checked E.on's own data we are using 15% less energy this year than we did last year so, Mrs E.on customer services advisor, "The idea of a budget account is to spread the cost of energy usage over a 12 month period, the end result being (in theory) a zero balance, neither in debt or credit". "A budget account is not intended as a means for the supplier to milk it's customers for monies they do not owe". Mrs E.on customer services advisor would not budge, "We cannot alter the DD amount I'm afraid sir, it's been set by the system and we cannot adjust it". "Oh, really, in that case why has the system been able to adjust the £120mth upwards to £144mth?". "Well sir the idea is to bring your account into balance at the beginning of spring, after the higher usage through the winter". "Hold on a moment, the budget account runs for 12 months during which time we will pay for more energy than we use some months and less than we use in others, all balancing at the end of the term". BTW, our account, after three months of the new deal is £189 in credit.
To cut a long story short they would not budge so we dumped E.on. I advise all on budget accounts to watch your supplier as this seems to be a new trend. The cynic in me thinks they don't want people on the deal we were on as they don't make as much profit. They then sell that energy no longer suppied to the disgruntled customer to a new customer at a higher rate.....or am I just paronoid?
