E.On to pay out £1.4m to overcharged customers

WHOOPS! Looks like E.On have either been using a malfunctioning calculator or have been putting the decimal point in the wrong place. That’s because it turns out that they’ve overcharged 94,000 customers and now have to pay them back £1.4m, with another £300,000 going in the coffers of charity Age UK.

E.On cocked up by overcharging on exit fees, making an error during a 30-day window that allows customers to switch supplier before a price rise. The rules state that customers who are on fixed-rate deals shouldn’t have to pay an exit fee if they switch, but E.On seemingly got a bit muddled about that.

Also, losing 94,000 customers to a rival must sting a bit, eh? Although, to be fair, it does cover a three year period from 2008 to 2011. If you were overcharged, you should receive a rebate from E.On by the end of January and you do not need to contact the company yourself. So watch out for that post-Christmas windfall (£14.83) flopping on to your doormat.

David Bird of E.On chirped: ‘We are very sorry to have let down some of our former customers and have made clear that we will refund the money plus interest. Our systems are being updated. We have been open in our failure with the energy regulator, Ofgem, and are pleased to have agreed with them how we can put this right and have identified all customers who are due to receive payment from us in January.’

Nice one Bird. Now go and 'update' those 'systems'.



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