Ofgem fines E.ON for early direct debit take‑ups
In a move that left many customers a bit surprised, UK’s energy regulator Ofgem slapped E.ON with a hefty £650,000 fine for pulling payments from 1.6 million accounts a whole month before the agreed date.
The shaking up of the September 2020 deadline
- Customers expected their bills to be deducted in January 2021.
- E.ON cut the payments out on 24 December 2020.
- That mis‑timing could have forced people into unplanned overdrafts or headaches just before Christmas.
What Ofgem said
“These early withdrawals might have left customers with out‑of‑pocket outlays, surprise bank fees, and a general scramble to manage budgets,” the regulator explained. Anna Rossington, director of retail at Ofgem, added, “We expect suppliers to honour their contract dates, especially for direct debits.”
E.ON’s response
Even with this hiccup, the regulator emphasized that they welcome suppliers who own up to mistakes and actively work to fix them. “E.ON has self‑reported this issue and is committed to correcting it,” Rossington noted.
Bottom line
Thanks to the regulator’s watchful eye, future bill‑late some or early payments should hit no sooner than they’re supposed, saving customers from unexpected surprises.
