energy news

E.On customer’s no more quarterly cash cheque, monthly billing only. >> Why?


5th October, 2009

E.On said that the new system would make it easier for customers to budget on their gas and electricity bills. There were no plans to change arrangements for existing customers, a company spokesman said. About 40% of existing E.On customers pay by cash or cheque.

Payments

When asked whether this was a tactic to encourage greater take-up of direct debit, the E.On spokesman said that although this automatic form of payment was cheaper for the company, the move was designed to help customers manage their bills. No terms and conditions had been changed, so the amount of time allowed to pay a bill would not change. However, it should be embraced by customers as a way to gain greater control and visibility of their energy bills.  Receiving a bill every month will hopefully encourage customers to become more aware of their consumption and therefore how much they spend, which are the key tools for budgeting. "Frequent billing should also encourage customers to read their meters so that they can start paying for what they use, instead of always paying an estimated bill." No doubt some customers will not be happy about the new system and this could encourage some to leave.

 

 



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