Households may be able to claim free payments from their energy supplier, and experts say now is the perfect time to check. Many direct debit customers do not realise they build up credit on their accounts throughout the year. Their bills are kept stable, but households often pay more than the energy they use.
This is particularly the case during spring and summer when people use their heating less, so overall energy usage drops. Money that is overpaid is built up on online energy accounts as credit. This money can then be used to help when energy costs are higher during winter.
However, some households build up more in credit than they will ever need, so it is worth asking for some of this back. The typical credit amount is around £200 but could be much higher for some people. Customers are within their rights to request a refund.
It is always a good idea not to clear out accounts completely, as credit money may be needed when costs rise later in the year. Thomas Drury, money-saving expert at The Investors Centre, explained: "The point of a fixed direct debit is that you smooth out the cost across the year. If you claim back too much in summer, you may simply create a shortfall later when usage goes up again. That can lead to a higher direct debit, a catch-up bill, or pressure at exactly the wrong time."
He added: "If your balance is climbing month after month, that suggests your direct debit may be set too high. That is when it is worth asking your supplier to review it." He went on: "If you have around one month's payment in credit, that may simply be a normal buffer. If you have two or three months' worth sitting there, especially heading into summer, that is worth questioning."
He concluded: "The key question is not 'am I in credit?' It is 'is this credit reasonable for my usage?' For example, a household paying £150 a month with £100 in credit may not need to do anything. But a household paying £150 a month with £500 sitting in the account should ask why the balance is that high. That does not automatically mean you should take the full amount back. But it does mean you should ask for a review and consider a partial refund."
