Tenant requesting pre-pay electricity

kkelly77

Tenant is looking for permission for a pre pay electricity meter.

Anyone have one in a rental property? How did it work out? What are the issues if a new tenant wants to return to bill pay? Are there charges to have it removed? Thanks for the advice.

Victor

It will depend on the terms and conditions from the supplier.

Note that the electricity price is higher that those of the main suppliers, so may not suit everyone.

there are other options, e.g. the tenant paying say €10-20 every week against their bill.

I think there is also some sort of social welfare scheme where, the DSP will make the deduction if the tenant is in receipt of a weekly payment and pay the utilities directly, but I don't knwo the details.

Ray Palmer

There is a charge to remove them.

If you decide to put it in you have to bare in mind what that says about the place you are renting. It will be seen as a lower end of the market place as a result. Rightly or wrongly. Mainly because it says anybody renting there has to be careful with their money.

That maybe fine for your property and a realistic approach. If you don't feel that is appropriate I would suggest not getting the meter installed.

the_syco

Note that if it's "free" to install, it's only free if the tenant stays with the company for a set amount of time, otherwise you may end with the bill for not only removal of the device, but also of the reminder of the contract. I'm not sure, but I don't think the bill is under the tenants name like the usual electricity, but under the landlords?

Moonbeam

Talk to the supplier my tenants got an Electric Ireland one and I think a Bord Gais one,they were installed free and I was told they can be easily removed at my request.

kkelly77

Thanks for the responses. I'll contact PrePayPower for more info.

fussyonion

I disagree that having a pre-pay meter is going to make your property seem down-and-out as Ray Palmer suggested.

We are, as a country, trying to claw back our finances with the recession and anyone that requests a pre-pay electricity meter as a means to pay their bills responsibly can only be commended.

At least they're trying to pay their way, as opposed to letting a huge bill run up.

I know one guy who own his own house and has an ESB bill of €1,200 and has no intentions of paying it.

emeldc

A tenant of mine had PP Power fitted without asking me. Then they buggered off. PP P said they would remove meter FOC as I had no contract. So if you don't mind the meter going in try and keep yourself out of the loop. No contract no charge.

Moonbeam

If possible get them to get a bord gais or electric ireland one as opposed to prepay power the company as they are cheaper to run.

Avns1s

emeldc wrote: »

A tenant of mine had PP Power fitted without asking me. Then they buggered off. PP P said they would remove meter FOC as I had no contract. So if you don't mind the meter going in try and keep yourself out of the loop. No contract no charge.

Technically you're not correct as the tenant is supposed to have received permission from the Landlord and must state that they have done so to the supplier. Therefore PPP would be entitled to take the position that you were party to the contract.

Having said that and having been through this with a number of suppliers, I can honestly say that PrePayPower.ie are the only ones I would suggest allowing a tenant to go with. Time may change this but up to now, I have found them understanding, flexible and accommodating unlike others! ( I have no connection to them apart from being a landlord who was impressed with their dealings!)

Victor

kkelly77 wrote: »

Thanks for the responses. I'll contact PrePayPower for more info.

They have a reputation of being expensive.

McCongo

Avns1s wrote: »

Technically you're not correct as the tenant is supposed to have received permission from the Landlord and must state that they have done so to the supplier. Therefore PPP would be entitled to take the position that you were party to the contract.

That is nonsense. The landlord cannot be involved in a contract just because the tenant says they gave permission. To involve the landlord they should insist on the landlords signature on a consent form.

emeldc

McCongo wrote: »

That is nonsense. The landlord cannot be involved in a contract just because the tenant says they gave permission. To involve the landlord they should insist on the landlords signature on a consent form.

Took the words out of my mouth

Avns1s

McCongo wrote: »

That is nonsense. The landlord cannot be involved in a contract just because the tenant says they gave permission. To involve the landlord they should insist on the landlords signature on a consent form.

You can consider it any which way you like but that is the situation and I know, because I have been through it.

You're right, the landlords signature should be required but it's not. All that is required is for the tenant to state that they have informed the landlord and received their consent. Until the regulator requires the signature as you have suggested the landlord IS responsible for any costs associated with removal of the meter.

miamee

My tenants wanted PPP meter installed 3 or 4 months ago. PPP took my number from them and called me for permission. They also told me there was no fee to uninstall if subsequent tenants wanted bill pay.

McCongo

Avns1s wrote: »

You can consider it any which way you like but that is the situation and I know, because I have been through it.

You're right, the landlords signature should be required but it's not. All that is required is for the tenant to state that they have informed the landlord and received their consent. Until the regulator requires the signature as you have suggested the landlord IS responsible for any costs associated with removal of the meter.

The landlord should sue the company and the tenant for trespass if that is what the company try to do. A person must know they are entering a contract before conditions can be imposed.

TheBoffin

Most of these pre-pay meter companies have lists of new customers to install on a daily basis, so them removing the meter promptly is usually not an issue.

That being said, I would require (as a landlord) that the tenant remove it when the lease on the house expires. I disagree that a meter would cheapen the house etc, but personally i wouldn't move into a property that has one because these meters (or at least what i have seen of them) do work out more expensive compared to a bill pay setup.

K.Flyer

I have had a pre pay meter installed with airtricity and to be honest its the best thing I have ever done regarding my electric bill.
Airtricity suggested the prepay option to me which meant for every 100 euro I paid onto the meter 25 went off the arrears I had.
I asked them about the removal of it later if we decide to leave the house and they said it was no problem or charge (could change of course)
My point is, as a renting tenant, when it comes to leaving I wont have stacked up a huge arrears bill.
If I was a landlord I think I would prefer to have them fitted instead of risking being left with a huge energy bill after a tenant has left.
As for seeking permission from a landlord to have it changed, my understanding and how it was said to me goes like this.
The meter does not belong to the owner of the property it belongs to ESB networks. At the request of your energy supplier they will change the meter. The contract for Electricity is between the user and the supplier and how the electricty is paid for is agreed between both parties and the landlord has nothing to do with it.
To the OP, there is No big flashing sign up saying which meter is fitted,it will Not impinge on the value of your property. If your tenant does not TopUp they will have no power and if they Pay As They Go they have no big bill at the end of the month or the end of their tenancy. simples!

TireeTerror

What happens is the sales agents for Prepaypower and for Pinergy (same prices, same terms of service) get paid commission for each installed meter. When they get fill out the application they automatically tick the box stating that the landlord has given permission. They dont ask this question because there is a chance the tenant may then wish to wait and seek permission. This would delay the sale, but even worse would be to have the landlord say no and the agent has wasted their time.

The suppliers are well aware of this and its very unlikely they would charge the landlord any money as they are young companies and do not wish a bad reputation before they are well established.

Im not sure of the legalities of the situation, but it would be interesting if they did try and charge a landlord for its removal when they did not have their permission to install it. If the tenant was still in contract (12 months) they may try and charge to remove it as they will not have had their money back yet. The landlord could argue he never gave permission, and then rather than have the pre-payment suppliers charge a rental for the meter, the landlord could invoice them for storage of said device and also charge them for the electricity the meter uses to function.

On a separate note, I would advise anyone struggling to pay their energy bills to avoid PrepayPower and Pinergy. If you cannot budget well enough to pay your bill, then you are certainly not going to do any better with either of those suppliers. They charge the most expensive tariff in the entire market, and on top of that they have an extra standing charge of 37.5c per day, thats an extra €136 per year on top of the cost of electric.

If you really want a prepay meter in, ask your domestic supplier for one. Energia, Airtricity, Bord Gais and Electric Ireland will not charge you for a prepay meter. Sometimes you may have to run up a debt on it for them to install it free of charge, but thats doesnt matter as you can keep the money aside and just pay all that you didnt pay when the meter is installed and you will be bang up to date. There are also social tariffs with discounts below the Electric Ireland standard rate for those struggling to pay the bills. Just ask your supplier and explain how difficult you are finding it.

K.Flyer

the_syco wrote: »

Note that if it's "free" to install, it's only free if the tenant stays with the company for a set amount of time, otherwise you may end with the bill for not only removal of the device, but also of the reminder of the contract. I'm not sure, but I don't think the bill is under the tenants name like the usual electricity, but under the landlords?

As a tenant with an Airtricty Pay As You Go meter. I have no mininum term contract and it can be removed at any time. The contract is still in my name, the land lord did not need to be involved or informed.

emeldc

Avns1s wrote: »

You can consider it any which way you like but that is the situation and I know, because I have been through it.

You're right, the landlords signature should be required but it's not. All that is required is for the tenant to state that they have informed the landlord and received their consent. Until the regulator requires the signature as you have suggested the landlord IS responsible for any costs associated with removal of the meter.

Maybe they told you you were responsible but you are not. It is absolutely impossible to hold you responsible for a contract that you knew nothing about or did not agree to. Some of these suppliers will stop at nothing to get paid. Don't get me started on Airtricity, we could be here all day. If you were 'caught' with this I'd be looking for a refund and a copy or a recording of your contract.

Tazz T

You might find you'll have to pay a big deposit to go back to billpay. I'd be very confident that once enough people have these prepay meters installed, we'll see big increases in the tariff.

TireeTerror

Tazz T wrote: »

You might find you'll have to pay a big deposit to go back to billpay. I'd be very confident that once enough people have these prepay meters installed, we'll see big increases in the tariff.

Why do you say that?

In Northern Ireland approx 40% of all installed electricity meters are prepayment. They do not have any extra charges. You can swap to other suppliers just as you can with a standard meter. So if suppliers increased the price disproportionately they would lose customers.

Victor

K.Flyer wrote: »

If I was a landlord I think I would prefer to have them fitted instead of risking being left with a huge energy bill after a tenant has left.

This risk only exists if the bill is in the landlord's name, which it shouldn't be.

foggy_lad

kkelly77 wrote: »

Thanks for the responses. I'll contact PrePayPower for more info.

Prepay power charge about €13 on top of the standard bill and standing charges per month for the meter. There are also very high repair and call out charges if the meter or other equipment malfunctions. See the schedule of charges which is at the end of their terms and conditions.

Best to go with electronic Ireland meter if the idea is to save money and help with bill payments.