E. On to pay-out compensation for taking 1.6 million payments early in Christmas billing debacle

E. On has agreed to pay out over £650,000 following a billing blunder – taking 1.6 million customers' direct debits up to two weeks early in December, leaving hundreds without cash in their accounts just before Christmas. If you were bombarded with extra charges as a result and are yet to be compensated, get in touch with E. on now

What You Need to Know

On Christmas Eve, the energy titans improperly took direct debit payments two weeks early in December. These payments were supposed to be taken from their customers' accounts in January. Copious complaints flooded in from enraged customers whose finances were already at a stretch due to Christmas.

Although E. On refunded the direct debits automatically at the end of December, many were facing extra charges from their banks.

Energy regulator Ofgem has now closed its investigation into the concern after commitments made from E. On to make goodwill payments and pay refunds for the brash indiscretion. So far, E. On has paid £55,000 directly to customers who faced bank charges and will continue to reimburse those who were also affected. E. on will also pay an additional £627,312 into Ofgem's energy redress fund, which donates money to charities to help energy consumers in vulnerable situations.

Director of retail at Ofgem, Anna Rossington, commented, "Ofgem expects suppliers to adhere to the terms of contracts they have with customers, particularly the agreed Direct Debit payment dates."

She continued, "This failure is a reminder to suppliers that when making changes to their systems, they need to undertake appropriate checks to avoid any unintended consequences for customers.

"Ofgem is always prepared to work with suppliers who have failed to comply with their obligations, but who have self-reported and are determined to put things right, as E. On has done."

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ASK for Bank Charges and Other Cost Refunds

E. On has committed to continue to pay refunds and goodwill payments for out-of-pocket expenses, bank charges and other detriments to customers who are affected – however; you'll need to make a claim.

You can contact E. On directly to claim, but before you do, be sure to have paperwork to hand, showing any charges such as overdraft fees etc.

Make sure to check you have received your refund as E. On did rebate the incorrect direct debit payments; however, customers could not receive this reimbursement until after Christmas.

E. On UK CEO, Michael Lewis, said, "This error should not have happened, and it was unfortunate that it was so close to Christmas. We apologised to those affected at the time, and I apologise to them again now. As soon as we noticed the issue, we took immediate steps to put things right for our customers."

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