‘Just wait’ says bust energy supplier that owes me £800

T.F. writes: I switched energy provider and my previous supplier, Economy Energy, agreed that it owed me nearly £800.

But, despite several attempts on my part, it has yet to pay me. The latest promise is that I will be repaid if I wait at least 28 days – but this could mean any time in the future.

OVER a month ago, I warned that Economy Energy owed £15.5 million in ‘green taxes’ to industry regulator Ofgem.

In the past week, it has collapsed after the regulator banned it from taking on new customers.

This does not solve existing complaints though. Typically, customers paying by monthly direct debit notched up big surpluses.

When they switched to other suppliers, they found it difficult to get their money back. Some told me they started legal proceedings, only to have the company hand over the cash to avoid a debt judgment.

Your final bill showed a £795 overpayment, but waiting at least 28 days could mean you would be repaid on the 29th day, or it could equally mean this time next year, or in the year 2050.

I contacted Economy Energy. Two days later, you received a call to say the money was on its way to your bank account, with an extra £75 as a goodwill payment. The cash arrived before the company went out of business, but without any comment or explanation.

Customers still with Economy Energy are safeguarded. Existing credits will be transferred to a new supplier.

Ofgem tells me it is seeking a way to protect those who, like you, had already transferred, but left behind surplus payments in the hands of a company that has ceased trading.