E.on Next customers given refunds after some paying by direct debit were overcharged – here's all you need to know

MoneySavingExpert.com (MSE) was first alerted to the issue after a user got in touch to say they had received an email (see below) informing them they had been charged the energy firm's higher, non-direct debit prices when they were actually paying by direct debit.

E.on, which has more than three million UK customers, said only a "relatively small number" of people have been affected. It told us the issue is now resolved and that it will issue a refund for the amount overcharged, plus a "small goodwill payment" on top.

It added that those affected won't need to do anything as the credit will be automatically applied, however, it's worth checking your energy bill and getting in touch with E.on, on 0808 501 5200 or via social media, if you think there's a problem.

The image above shows the email sent to customers telling them about the error

Paying your energy bill by direct debit could save you up to £90 a year

Paying by direct debit is usually about 7% cheaper than other payment methods, due to there being additional costs for suppliers when using alternative ways to pay. Paying by direct debit could cut bills by around £90 a year.

For max savings, combine this by always giving meter readings as it'll give you a more accurate bill. If you don't, you may find you're paying for high estimates.

Usually the best way to save is by switching to a cheaper energy deal. However, right now, due to record wholesale energy prices (what providers pay for energy) there are no cheap deals, so it's likely switching won't save you money for the moment.To check, you can do a full market comparison with our Cheap Energy Club, or if you find choosing a tariff difficult, we can help you pick the right one with our Pick Me A Tariff tools.

Struggling to pay your energy bill? More help is available

The massive upcoming hike to the price cap will pile on the pressure for many households already struggling with rising costs.

If you're having issues paying for your gas and electricity, our new Struggling with energy bills? guide details all the help available. This includes when to speak to your provider, what grants and help schemes you may be able to access, how to get free energy and debt advice, and the freebies and grants that can improve your home's energy efficiency, plus more.

It's also worth seeing if you can use less to cut bills – our energy saving tips can help with the simpler stuff, such as turning your thermostat down and cutting shower time, while our Energy mythbusting guide looks at the less clear-cut questions, such as whether to leave the heating on low all day.

What does E.on say?

An E.on spokesperson said: "We are aware of this issue, which affected a small proportion of our customers and has now been resolved. Customers do not need to take any action. Credits will be applied to accounts where they are due along with a small goodwill payment as way of apology."