Apologies in advance for the phenomenally dull post 🙂
We're currently with npower and happy with the service, but with the recent/coming price hikes I'm want to check I'm not paying more than necessary. Question then: is it worth switching to direct debit (we currently pay quarterly)?
I object to DD on the principle that I don't like energy suppliers (or anyone else!) having my money and collecting interest on it - which always seems to be the way that DD payments end up! Is this reasonable or have I just inherited some tight-fistedness from my parents, and it's time to get in the 2000s and switch to DD for convenience and lower bills??
I've always paid by DD and my account seems to alternate between being in credit (summer) and debit (winter) 🙂
I like having a fixed amount coming off each month and I reckon the discount is worth more than any "lost interest".
It may be possible to have a quarterly variable DD. We have it with British Gas and still get the DD discount. They don't seem to publicise it much as an option...
Thanks for the feedback so far!
[b]scotroutes[/b] - which provider are you with? They actually sound reasonable and able to handle the idea that variable energy usage doesn't directly map onto a fixed monthly payment (GASP)
Fixed monthly direct debit here. IIRC there is a 2% or so DD discount, or was something like that, so any lost interest is made up by discount. Them having your cash over summer months is one of the ways it works I guess.
Might not be available in your area but we are with a smaller company called Ovo who take a fixed amount every month but pay us 3% APR interest on credit in the account, and we can change the fixed payment easily if we are paying too much or not enough. So we get better interest than having the cash in a bank, and a cheaper energy tariff because we are on a DD scheme.
Or just fix the level of your DD at a price you feel comforatble with, that is under what you expect to use and settle the balance at every quarterly bill.
Get the DD discount, AND the interest too, (though that'll be peanuts from a current account)
They don't do the Scottish Highlands certainly, just checked. 🙁
Useful pointer though..
Ovo are very very good for me at least. Interest on credit balance, meter reading app, no hassle when changing DD amounts.
SamB - that's with e.on
OK, declaring an interest here as I work for them, but..... also, E.ON have just brought out a new 1 year fixed tariff, V5 version. It's a bit cheaper than V4 and still gets the discounts and loyalty bonus. If you're an existing customer you can change to it without penalty even if a current fixed deal isn't due for renewal.
[quote=tthew ]OK, declaring an interest here as I work for them, but..... also, E.ON have just brought out a new 1 year fixed tariff,
And a 2 year.
I thought is was something like a 5 or 6% discount for DD?
I'm with nPower, pay about £200/yr in leccy, and the DD is a £40/yr saving.
