Energy-saving tips for your home

If you’re having trouble paying your bills

If you cancel direct debit payments or refuse to pay

If you’re struggling to pay your bills you should contact your energy supplier in the first instance who may be able to help.

Cancelling direct debits could lead to you getting into debt and in some cases may mean the energy supplier installs a pre-payment meter (where safe and reasonably practical and all other means of payment have been exhausted). It may also affect your credit score.

If you’re considering using a loan shark

We understand nearly 2m households missed payments at the end of last year, with energy bills at the top of the list.

Loan sharks are criminals who lend money at extortionate rates of interest and control or even threaten their borrowers to ensure they pay. Victims of loan sharks can end up trapped in an endless cycle of debt for years, often with devastating consequences.

At PayPlan, we’re proud to be the first national debt advice provider to achieve partner recognition status with Stop Loan Sharks England and The England Illegal Money Lending Team (IMLT) for our work in raising awareness about loan sharks and helping customers access essential support services.

IMLT state that “loan sharks create an environment of fear, intimidation and control for their victims and will use almost any means to tempt people into taking out a loan with them. They know how to spot people who are vulnerable and who need money.

“This creates a vicious cycle of debt for those unable to pay back their loans and often leads to serious financial issues, such as families losing their homes or being pushed into extreme poverty because they don’t have enough money to survive.”

Our debt advisers are well-equipped to help customers who have experienced illegal money lending. They can identify those at risk of loan sharking practices and safely refer victims to confidential support services.

You can speak to Stop Loan Sharks England on 0300 555 2222.

If you’re being chased for a debt by an administrator

In almost all circumstances, the administrator will collect debts for your old supplier and your bill may come from them rather than your old supplier.

If you were using a pre-payment meter to pay off your debt, you might not be able to use the meter to pay the administrator – they’ll advise you on how you can pay.

You might be asked to pay all of your debt back at once (as administrators don’t have to follow the same payment rules as energy companies). You should still try to negotiate a payment plan with the administrator. They should consider this, even if they don’t agree to it.

Speak to your new supplier if your debt means you’re struggling to pay your energy bills.

What happens to energy bills when someone has passed away?

It’s important to contact the supplier as soon as you can. Most providers will have an online form you can complete, which will ask for contact details, details of the person who has passed away, whether gas/electricity will continue to be used at the property and any details of the executor of the estate. You can also give them a call.

If the property is jointly owned or rented, the person still living there will be liable for ongoing bills. If the energy bill was in the name of the deceased person’s sole name, any arrears should be paid by the estate. If there isn’t enough money to do this, the money will no longer be owed.

Dealing with finances whilst also coping with a loss can be overwhelming, and along with the National Bereavement Service, we’re here to help you. You can get in touch with us for further support by contacting us.

If you’re in debt

• Contact your energy supplier to discuss your circumstances
• Once they’ve been advised you’re in payment difficulty, they must take into account your circumstances and offer help
• Your supplier must work with you to agree on a payment plan you can afford, based on what is called ‘your ability to pay’
• They must clearly communicate how much you’ll regularly repay, how the repayment will be deducted, when the debt will be repaid and what to do if you experience difficulties during the debt repayment arrangement

Remember though, we’re here and ready to help with free, confidential debt advice. As well as providing practical advice and support, we can help you organise a budget to suit your personal circumstances. Get in touch with us.

Breathing Space

If you’re struggling with arrears, you might be able to benefit from Breathing Space to give you space and time to work out how to deal with them. We can help you with this.