Your monthly Direct Debit is a payment toward your energy account, not necessarily the cost of energy used in that particular month. Suppliers often spread forecast annual costs across the year, so payments can be higher than summer use and lower than winter use.
Why a balance can build up
Your account balance reflects payments and charges recorded so far. A credit balance can build during warmer months, after a payment adjustment, or if the supplier’s estimate of your usage was too high. It is not by itself proof of an error: the balance may be used toward later bills, and estimated readings can affect the calculation.
Check the account against:
- actual meter readings and the dates they were taken;
- each fuel’s unit rate and standing charge;
- bills covering the same period as your payments;
- any adjustments, previous debt or refunds shown in the account.
If bills are estimated, submit a current meter reading and ask the supplier to explain whether it can recalculate the bill using actual readings. Keep dated readings or photographs and copies of bills.
If the Direct Debit seems too high
Ask the supplier for its annual usage forecast, tariff details and calculation of the proposed payment. Give actual readings and point out any mismatch. Ask what amount would keep the account on track over a full year, including seasonal use, rather than comparing the payment with one month’s consumption.
If the account has genuine excess credit, you can ask the supplier for a refund. Ask it to explain any decision or proposed deduction. The appropriate refund depends on accurate readings, upcoming charges and your account circumstances; do not assume every displayed credit amount is immediately refundable.
Keep paying for ongoing energy while you query the account, and agree any change in payment method with the supplier. If you cannot afford the proposed payment, explain what you can afford and ask about support and a manageable arrangement.