What are Third party deductions / Fuel direct?
Fuel direct, now known as Third party deductions (TPD), is a repayment method where the Department of Work and Pensions (DWP) pay weekly instalments to EDF Energy to pay an outstanding fuel bill and the money is then deducted from your benefit.
This method of payment is available for both electricity and gas accounts. The amount deducted, will include £3.70 towards any balance that is outstanding as well as a weekly instalment (calculated upon your energy usage) which will cover your ongoing consumption for either electricity,gas or both.
Who is eligible?
This payment method is available where Direct Debit or paying via a prepayment meter are unsuitable options. It might be the case that you do not have a bank account or you are unable to easily access your meter.
To be eligible for the Third party deductions scheme, you must:
1. Have an active electricity or gas account with us.
2. Be in receipt of one of the below and have an outstanding debt of £71 or more
- Income support
- Pension credit
- Employment Support Allowance
- Income Based Jobseeker's Allowance
What information do we require to set you up on the scheme?
- Details of the benefit you're receiving
- A current meter reading - we are only able to set you up on the scheme if we've billed you using an actual customer or meter reader reading. We're unable to do this using estimated meter readings
- Confirmation that we have your correct details including:
- Your correct name
- Your date of birth
- Your national insurance number
What are the benefits of paying by Third party deductions?
- No need to worry about going out to make weekly payments
- Arrears are set up to be repaid at a low weekly rate
- Prevents further debt building
- Opportunity to receive energy efficiency advice
What do I need to do next?
Get in touch on 0800 051 1654 to discuss Third party deductions as a payment method option. We will ask you for the information detailed and calculate how much your weekly deductions will be. This will be based on ongoing consumption as well as your arrears.
Here's an example scenario:
Your outstanding balance is £100.00 = your weekly deduction from your benefit for this balance would be £3.70 per week.
Your ongoing electricity consumption is £5.00 per week = your weekly deduction from your benefit would be £5.00 per week.
Total weekly deduction = £8.70 per week.
We will always discuss the benefits of each payment method with you to ensure that your repayment plan is the best one for your circumstances.
1. Are you able to take more than £3.70 per week from my benefits for any outstanding balance?
No, this is a set amount which is fixed by the Department for Work and Pensions (DWP). We are only able to adjust the payments for your ongoing consumption.
2. Do you offer energy efficiency advice when I pay by third party deductions?
We will provide you with an energy efficiency survey which you can complete and return free of charge. You will then receive a report showing energy saving tips. We also provide a freephone energy efficiency number where an experienced and dedicated team will speak to you about energy efficiency in your home. The number is 0333 009 6999(1)
3. What happens when the arrears are paid back through my benefits?
We will discuss ongoing alternative payment plan types and the best method of payment for you.
4. How often do you review my payments, to ensure I