On 26/03/2021 15:17, Scott wrote:
On Fri, 26 Mar 2021 14:26:19 +0000, Scott
wrote:

On Fri, 26 Mar 2021 14:19:41 +0000 (GMT), "Dave Plowman (News)"
wrote:

In article ,
Scott wrote:
On Fri, 26 Mar 2021 11:19:06 +0000 (GMT), "Dave Plowman (News)"
wrote:

In article ,
Scott wrote:
Why a monthly direct debit? Mine produces a bill every three months
and collects the sum due by direct debit.

They are effectively giving you credit for more time than monthly. Which
is going to cost you more. I don't think any of the best deals do
quarterly.

I think the counter-argument is that you are paying the correct amount
instead of allowing the supplier to pick a higher amount then refund
you - or not - at the end of the year.

My monthly DD is based on my use the previous month. Meters are read
monthly. And I can check on my account whether there is any long term
discrepancy.

That is just as good - possibly better from the budgeting point of
view. I think the criticism is where suppliers estimate a whole year
and set an average, which is typically higher than the actual usage,
leaving a credit at the year end.

PS I have found the paperwork. It's called 'variable direct debit'. I
cannot find any any specific mention of frequency of payment but it
says '1st day of the month' so I assume it is paid monthly.
EDF tells me that "Pay As You Go" is a new way to pay if you have a
smart meter. I assume that means monthly or quarterly direct debit based
on actual usage. But it's not easy to find that method on their website
or comparison ones.

But there was a strange comment on what seemed to be a similar type of
tariff. They set up a standard amount DD to be paid quarterly, but asked
for the actual meter reading when the bill was due. They added that a
meter reading should not be sent to them unless it was asked for. Why am
I cynical enough to believe that they /might/ forget to ask for one in
summer when the DD would be much higher than the actual amount used, but
be quick off the mark in winter when the actual amount would be higher
than the DD?

--

Jeff