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Power account credit amount.

(25 Posts)
tanith Thu 07-Nov-24 07:47:34

What’s a reasonable credit to build up for the Winter bills?
I’ve got more than last Winter and 4 mths credit but who knows how bad the Winter will be. Martin Lewis recommends 2 1/2 months is the right amount.
What’s yours and have you asked for money back?

LunarBeam Thu 07-Nov-24 08:00:01

I’d say having around 3 months' worth is solid, especially with energy prices being so unpredictable lately. If you’re already sitting on 4 months’ credit, you’re likely in a good spot even if it’s a harsher winter. But it doesn’t hurt to check in with your provider about refunds if you’re consistently over. Just make sure they don’t lower your monthly payments too much after that; otherwise, you’ll end up back where you started.

NotAGran55 Thu 07-Nov-24 08:09:48

I would look at your average usage over the last 3 winters to get a rough idea how much your credit will cover this year - bearing in mind the change in the unit costs.

We pay the exact monthly bill by variable direct debit, so no credit build-up.

Georgesgran Thu 07-Nov-24 08:14:19

I’ve let mine build up to a silly amount (IMO) of £700. Octopus say I ought to have 3 months in hand, so I’m leaving it all there because the winter weather is just an ‘unknown’. My monthly payment has gone down to £175. However, I’m aware that by law, consumers are entitled to have the entire credit balance repaid when requested.
GSM (much missed here) would’ve said to have it back and keep it aside to top up monthly shortfalls.

There’s always differing opinions when this topic is raised.

Whiff Tue 12-Nov-24 05:55:18

I have build up a lot of credit over the summer and every time my energy company wanted to reduce my payments have emailed them and explained why I want it stay the same. Because of building the credit up means I can have my heating on as much as I want it this winter and not have to worry about the bills. Not like last winter when only had my heating on for 3 hours a day and my joints suffered. Became a pensioner this year only have my state pension but was able to claim some pension credit . So had the warm home discount £150 that was credited to my account and had a letter saying I would get £200 winter fuel allowance. I was awarded PIP for both parts at enhanced levels after going to PIP tribunal and only because the Brain Charity got me a solicitor pro bono. Took over a year to get too tribunal. But had been fighting for disability benefits since 1988.

This year is the first year since my husband died nearly 21 years ago I haven't worried about money . But still very careful with it can't change a habit of a lifetime .

David49 Tue 12-Nov-24 07:16:25

I use Octopus and you can set your own payments on the website, change as often as you want, I try to stay £100 in credit, it depends how high your bill is, mine is around 2 months electricity only. If it’s gas as well 2 1/2 could be quite a lot more than most could allow to sit in the account unused.

karmalady Tue 12-Nov-24 07:37:11

I am £163 in credit, I pay £92 a month and have today lifted that to £101 a month. I have a new fixed rate so cost will be cheaper than last year and I may well reduce back to £92 in a few months. Octopus

M0nica Tue 12-Nov-24 07:45:58

We just pay each monthly bill as it arises. In our own accounts we put a standard amount aside each month for bills. That way all the excess money we build up in the summer stays in our bank account, and on occasion even earns us a penny or so in interest.

tanith Tue 12-Nov-24 07:59:30

Thanks for your thoughts, I think like Whiff I will leave my credit where it is and not worry about how much my heating is on although I’ll still be careful.

Grantanow Thu 14-Nov-24 14:10:14

This month I swapped supplier after reading MSE's advice for a cheaper fix and received my credit of £800 a few days later. Better in my account than the original supplier's.

Allira Thu 14-Nov-24 14:11:48

GSM (much missed here) would’ve said to have it back and keep it aside to top up monthly shortfalls.

At 4.5% interest!

Charleygirl5 Fri 15-Nov-24 09:04:45

I have around £400 in my Octopus account and pay £106 monthly. I am sure this will be a harsh winter so I will leave everything as it is but like others, and do not intend to feel the cold. I switch it on as and when I need it but I am careful.

ayse Fri 15-Nov-24 09:13:25

I’ve just let Octopus reduce my payments but only in the short term. I like to keep a healthy credit balance so I can turn the heating on without worrying about the cost. It’s a bit of an insurance policy for the unexpected.

henetha Fri 15-Nov-24 10:08:20

I'm over £200 in credit, and inclined to let it stay there. I think Ovo said that my bill will rise by £9 per month this winter.

Moonwatcher1904 Sun 17-Nov-24 12:09:54

I've nearly £400 in credit with EON. My DD is £138 a month which more than covers our monthly usage. We are all electric in a studio flat and have underfloor heating. We don't use the heating much unless it's really cold but are glad to have built up the credit for the really cold months.

biglouis Sun 17-Nov-24 12:25:12

I have over £700 credit built up with Eon and am leaving it where it is at present. You can go on the site and just tick a box to claim a refund now. Last year I was over £1000 in credit and had to jump through all kinds of hoops to get £600 refunded. I have to send them not only pictures of the readings but also pictures of the actual meters. It took 15 days for the amound to be credited to my bank.

These people are like robber barons and forget that we are customers. They are making money hand over fist. I should have got £300 in WFA this year but Rachel Thieves stole it from me. Fortunately being self employed from home I can claim a % of my heating/lighting/phone/broadband and council tax bills against business expenses.

cc Sun 17-Nov-24 12:27:54

Our power provider (Octopus) has a little graph that shows your projected usage and whether the sum you are paying will cover what you are using. If you can see that you will still be in credit for the whole year you can ask for a refund. Alternatively you can reduce the monthly amount and the graph changes to show you what would happen (reach this page from their Dashboard then "Review Payments"). It shows your payments, their charges and the monthly account balance.
I'm not sure if other providers do this? It's really useful.

Jackiest Sun 17-Nov-24 13:22:32

I would rather go back to the old method where they read your meter, tell you how much you have used and send you a bill.

crazyH Sun 17-Nov-24 13:34:49

Whiff - so pleased for you.

Celieanne86 Sun 17-Nov-24 13:40:42

Jackiest

I would rather go back to the old method where they read your meter, tell you how much you have used and send you a bill.

In my opinion this was the simplest and easiest method of paying for gas and electric usage and wish it would return

I am having estimates from British Gas for horrendous amounts for my two bedroom bungalow home and I owe them for estimated accounts when I have sent in regular monthly meter readings.

The amount they have suggested as a monthly payment is way beyond what I can afford out of my monthly pension and so different from my electric supplier who take my monthly meter readings and send me a bill within a couple of days a which I pay on, line, so easy and enables me to keep a record of usage.

I dread winter but at my age I’m keeping the heating on.

Bluesmum Sun 17-Nov-24 14:41:26

I would sooner have MY money in MY account!!! I do carry over a slight credit at the moment but if it builds up in the Summer I always ask for a refund. My bills don’t vary that much and I usually go to Australia in January to April, so miss the worst of the bad weather and the coldest months.

Daddima Sun 17-Nov-24 15:20:23

Scottish Gas sent me £250 credit, but have left my payments the same. I was surprised, because I usually have to ask for my credit around November. So, that makes up for the lack of Winter Fuel Allowance!

pascal30 Sun 17-Nov-24 15:31:42

I'm with EON and pay £78 per month .. I have £350 in credit and will leave it there to cover the winter.. I didn't have any problems recovering some excess credit with EON last year, it's a very simple process..

Madmeg Sun 17-Nov-24 20:12:31

Not quite the same issue - mine is with United Utilities. Since having a water meter fitted about 15 years ago our bills have rarely been much over £22 a month. Their recent bills increased our payments to £78 a month!! We went outside to read the meter underground and their reading was correct. But we are very frugal with water. We don't wash clothes as often and on a sensible setting. Toilets have an economy flush.We use a dripper system in the garden so no waste (plus a water butt) and only ever have quick showers. We use a dishwasher too, fully-loaded. Nothing has changed in years. They suggested we might have a leak so we tested that idea - no leak. HOWEVER, the meter has definitely increased substantially since the last reading 6 months ago, so their new estimated charges seemed technically correct.

The pleasant lady on the phone immediately reduced the monthly payment to £18 with no quibble. But the bill showed the correct previous reading so where has all this water gone?

I despair about the heating bill. That has just risen by 30% to over £300 a month!!!

M0nica Mon 18-Nov-24 15:54:42

Madmeg What kind of house do you live in that has such a high energy bill? We live in a very large 4 bedroomed 550 year old listed farm house, with gas central heating and two CH boilers. No wall insulation, a limited amount of double glazing, but a well insulated roof

According to Octopus, if we want to pay our fuel bills by monthly DD our monthly charge for next year will be £186 a month. This is for gas and electricity.