Bord Gais: This can't be legal

percy212

Check out this very annoying ROTE email I received from a Bord Gais agent/robot. When I moved in they made me pay a 400 euro deposit. When I move out they keep that money UNLESS I request that it be refunded. How can that be legal. Are there any reps on this site? I want this handled or I am taking it to consumer affairs and the financial ombudsman.

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Thank you for your recent email to Bord Gais Energy

I wish to advise you of our closing procedures. In order to close your Gas account, we require the following information at the time of vacating the property.

• Full name and gas account number to close
• If the Gas Account is for a tenant, please provide the full name and contact number for the landlord. If the landlord has not held an account with us at the property before, the landlord will have to contact us himself. A Tenant cannot legally sign another tenant to a Gas account.
• An agreed meter reading on the day you vacate this property
• A forwarding address for your final bill
• If another tenant wishes to take control of the Gas Account immediately, they can do so by contacting us directly, and provide their name, contact telephone number, up to date meter reading, and previous address.

Alternatively you may request to lock the meter, thus ceasing liability for gas usage. Accounts will only be fully closed on the date the meter is successfully locked. Appointments are made for 7 days in advance. In the event that no access is available, a fee of 78.55 Euro is applicable to you, and your account will remain open until such time that a new appointment is reserved and successfully completed, or a new tenant / occupier opens a new account in their name.

Once the gas account closes, any security deposit paid will be refunded back to the gas account. A final bill will then be drafted, and posted to your forwarding address. The final bill will be paid for from the credit on the Gas Account, depending on bill value and previous balance. This invoice will show any remaining credit or debit. Any debt still remaining should be paid within 14 days. Any credit on the Gas Account must be specifically requested, as refunds are not processed automatically.

Please be advised that until we have been provided the information requested, your account will remain open in your name, and as such, you are liable for any gas consumed on the property and related charges.

If you require any further assistance please do not hesitate to contact our Customer Service Department at info@bordgais.ie or call us at 1850 632 632.

Yours sincerely,

Fiona O Sullivan
Customer Service Representative
____

Bord Gais Energy
T: 1850632632
www.bordgaisenergy.ie

ABajaninCork

So what's the problem???
Give the info requested, they issue a cheque in about a month, and you part ways...

Pawwed Rig

What's the problem??? Are you serious? What if you have been in a house 20 years. Will you remember a deposit that was paid 20 years ago? What if the person who paid the deposit is dead. Is it divine inspiration that the executors of the estate will know that they have to contact the gas company for a refund?
What is the problem indeed.
OP you are right it is a shocking state of affairs. I refused to pay the 400 and just went with another company. 400 euro is alot of money when you are in effect putting it on deposit for x amount of years for 0% interest where they won't even return it to you without specifically asking.

percy212

The problem Abaj is that by requiring the consumer to request that their own money be returned to them, BG would appear to be hoping that customers forget they paid a deposit. Its also just plain wrong that I have to ask for my own money back, when BG demanded it from me in order to establish my account. I don't want my money back in a month AFTER I ask for it. I want it back instantly when I clear the account. I paid by direct deposit as soon as requested. Its just very shoddy client handling and smacks of dishonesty.

Thanks Pawwed. I completely agree about money being held by third parties including landlords without interest being applied. All deposit funds should be held in escrow imo, and have rate of inflation at least applied to them on return.

MOH

That's not what it says.

The highlighted line is talking about accounts that are in credit: it's got nothing to do with the security deposit.

Although it is a bit rich that they don't automatically refund accounts that happen to be in credit.

Zab

MOH wrote: »

That's not what it says.

The highlighted line is talking about accounts that are in credit: it's got nothing to do with the security deposit.

Having just closed an account, they "refunded" my deposit to my gas account. I then had to ring up and request that they wire the balance owed on my account to my bank account. They didn't have to ask for details of my bank account, as of course they already had them.

They should absolutely automatically process refunds. However, my guess would be that there's nothing illegal in what they're doing. They obviously choose not to do so as they get to keep the money for longer, if not forever. There would also be more work involved, but only assuming the former is true (i.e. there are accounts that never get refunded, hence require no work on their part. The accounts that eventually get refund requests would end up requiring the same or more work on their behalf as an automated system).

ct5amr2ig1nfhp

Nice one percy212! You reminded me that I paid a deposit years ago. Just got it refunded. Had the option of cheque or credit.
Bord Gais you cheeky monkeys! Having to request your deposit back is a little sneaky. Why not auto credit the account instead!

MOH

Zab wrote: »

Having just closed an account, they "refunded" my deposit to my gas account. I then had to ring up and request that they wire the balance owed on my account to my bank account. They didn't have to ask for details of my bank account, as of course they already had them.

They should absolutely automatically process refunds. However, my guess would be that there's nothing illegal in what they're doing. They obviously choose not to do so as they get to keep the money for longer, if not forever. There would also be more work involved, but only assuming the former is true (i.e. there are accounts that never get refunded, hence require no work on their part. The accounts that eventually get refund requests would end up requiring the same or more work on their behalf as an automated system).

Yep, I made a mess of that. That'll teach me to read things properly before being a smart ass

Guess the moral is, if you're leaving Bord Gais, cancel your DD and stop paying them about 4 months before you go, and let them take it out of the security deposit, since that's the way they seem to want it.

percy212

No worries MOH Often do the same myself. I have been trying to cancel my DD with BG but cant get anyone to confirm it is done. Tricky bunch.

Degag

A refund is issued within 10 working days. I'd imagine why a refund isn't automatically sent out is because if they issue a refund through the bank, it may be a closed bank account and obviously if there is no bank details, they'd send a cheque... but to what address? You may have moved etc. It probably comes under the issue of data protection in any case - that they can't make changes to your account without your permission?

dahamsta

Meteor just did the same thing to me with the balance on my account. It's theft, plain and simple.

Lplated

percy212 wrote: »

No worries MOH Often do the same myself. I have been trying to cancel my DD with BG but cant get anyone to confirm it is done. Tricky bunch.

Don't think you need anyone to specifically confirm that a DD is cancelled - write a letter to your bank, send by registered post, then it becomes bank problem if further monies leave your account.

Lplated

"This can't be legal"

I don't see why it can't be legal - it might be poor/sharp business practice but there isn't anything illegal about it - you enter a contract, term of which is you pay a deposit which will only be refunded to you once certain conditions are met.

That said, maybe a phone call to a well know RTE radio show to 'tip off' the public so to speak mightn't be any harm [or contact the Consumer issues guy in the Irish times] - if the story becomes 'public' Bord Gais might change their practice.

RangeR

Lplated wrote: »

Don't think you need anyone to specifically confirm that a DD is cancelled - write a letter to your bank, send by registered post, then it becomes bank problem if further monies leave your account.

^^ This

From IPSO / Direct Debit Scheme Rules

You can cancel the Direct Debit Instruction by writing in good time to your bank

It is good practice [and nice] to notify the originator but there is no requirement to do so.

Pawwed Rig

Lplated wrote: »

"This can't be legal"

I don't see why it can't be legal - it might be poor/sharp business practice but there isn't anything illegal about it - you enter a contract, term of which is you pay a deposit which will only be refunded to you once certain conditions are met.

If a landlord HAS to return a tenants deposit within a certain period of time then law should be consistant wrt other bonds/deposits