# How did you work out my new Direct Debit amount?

See how we calculate your Direct Debit:

### 0-9 months into your plan?

We look at the amount of energy we think you’ll use until the end of your contract, and subtract your current positive balance (if you’re in debt, we add it on). Then we divide the total by the number of Direct Debit payments left.

This gives us your monthly Direct Debit amount (we aim to get your balance to zero by the end of your contract).

Here’s an example of a Direct Debit review in April 2016:

- The plan ends in August, so there are four payments left (May, June, July, August)
- The current balance is £160 in credit
- The forecasted energy use is £400 (between May and the end of August)
- We subtract your credit balance from your forecasted energy use: £400 – £160 = £240
- Then divide £240 equally between the four Direct Debit payments, which works out to be £60 a month

### 9-12 months into your plan?

We add up the amount of energy we think you’ll use until the end of your contract, and the energy we think you’ll use for the 12 months after your contract. Then we subtract your current balance.

Next, we divide the total by the number of payments you have left (that’s the months left on your current plan, plus 12 more). Our plan is to get your balance to zero by the end of your next contract, if you decide to stay with us.

Just so you know, if you renew or roll onto Simpler Energy, our variable-rate plan, we’ll review your Direct Debit again as the rates will be different.

Here’s an example of a Direct Debit review in April 2016:

- The plan ends in June, so there are two payments left, plus 12 payments for the following year – that makes 14 Direct Debit payments in total
- The forecasted energy use for May 2016 until the end of June 2016 is £200
- The forecasted energy use for the 12 months after the current contract ends (June 2016 to June 2017) is £1,300
- The current balance is £180 in credit
- We add both the forecasted figures together, then subtract the credit balance: £200 + £1,300 – £180 = £1,320
- Then divide £1,320 equally between the 14 Direct Debit payments, which works out to be £94 a month