The BBC’s Watchdog programme stuck the boot into energy provider Npower last night, saying that according to research it was the worst of the lot.
It’s not totally clear how they arrived at this result apart from the fact that Watchdog and the comparison site EnergyWatch found that they were receiving far more complaints about nPower than any of the other providers.
Naturally Watchdog focussed on individual horror stories such as the pensioner who was being chased by debt collectors for a series of nPower bills that he refused to pay because they had got the billing completely wrong.
There is a serious problem here, and one that comes up time and again on consumer watchdog programmes. Namely that if you refuse to pay a bill because it is wrong, companies automatically trip into harassment mode by handing over the outstanding bill to third party debt collectors. You may complain but their customer support are seemingly trained to ignore words like ‘this is the wrong bill’ and ‘you are charging me too much’, as if it is totally impossible for their billing system to make an error.
I recently heard the story of a £50 phone bill which escalated to £900 once the debt collectors were involved. Funny that the current Government has relaxed the laws so that it is now easier for debt collectors to enter your property to remove property. It is something of a joke that the Government and its various watchdogs are often feeble when it comes to protecting consumer interests.
Here's the recent EnergyWatch statement on nPower:
Energywatch statement on announcement of probe into Npower's sales tactics (22 April 2008)
Adam Scorer, energywatch Director of Campaigns, said: “energywatch welcomes news that Npower's sales tactics are to be formally investigated by Ofgem.
“Within the last month energywatch wrote
to Npower and Ofgem with details of more than 400 cases where consumers
had complained about the companies sales tactics. And with the evidence
suggesting Npower's sales staff were caught red-handed bullying,
deceiving and harassing consumers, an example must be made of them.
“More
than 100 consumers contact us each month to complain about Npower's
marketing tactics. That makes them the worst performing supplier. But
it doesn't stop there; Npower are the worst company in terms of
complaints, shoddy customer service and any analysis of help offered to
vulnerable consumers shows them to be the company who penalises their
prepayment customers the most and offers the least help to consumers
struggling to pay bills.
“It is highly appropriate that Npower's
litany of shame has brought them to the regulator's attention. No
consumer should be subjected to such bully boy behaviour and such poor
service.”
Footnote (by me): While I think it is good that Energywatch keeps an eye on these things and publicises what it thinks is shoddy behaviour, it should be noted that comparison sites like energywatch are under inspection at the moment due to suspected dubious behavior in terms of not being quite what they seem.
This stems from the fact that their suggestions for alternative suppliers are weighted according to what those suppliers are paying them for referrals and not according to what is actually the best deal.
This blog is not alone in hoping that the powers that be probe this matter effectively so that we find out exactly what is going on. If you want to see an example of how this works go to the superb site www.moneysavingexpert.com which lists financial bargains according to tough editorial guidelines of what really is best for your money.
Meanwhile the site also lists results from comparison sites which are invariably different from the empirical findings. It's shows you how comparison sites are not what most consumers expect them to be - a balanced view of the offerings available.
I have no objection to them running their business this way so long as the bias is transparent, at the moment its the usual online smoke and mirrors going on, with Joe Public being hoodwinked all the way.
Comparison sites are very big business now. It's about time they opened up to closer inspection.
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