Direct Debits are often used by customers to pay for their energy. However, they can sometimes result in inaccurate billing, especially when combined with your supplier’s estimated meter readings.
If you fail to provide frequent meter readings to your supplier, you may find yourself paying too much, or not enough each month for your energy – which can lead to your account becoming in debt, or in credit.
When going into the winter months, your supplier may look to increase your direct debit in order to cover the extra energy that you will be using to heat and light your home. Alternatively, in the summer months, your supplier may look to reduce your direct debit to reflect the reduced amount of energy you will use.
Why is my new rate is more expensive than my old one?
It's also important to remember that if you're at the end of your fixed term contract, the market may not be able to beat your current fixed rate as it'll be 12 months old. In this instance we'll switch you to the next cheapest rate on the market.
Your supplier will usually notify you in writing at least 10 days before altering your direct debit payments, or on your bill, so it’s important to keep an eye out for any potential increases.