Prepayment meters - are they right for you?
Whether you're a seasoned prepayment user or just getting started with Pay As You Go electricity (and gas) we've got all the information you need to make the most of your prepay meter.
What is a prepayment meter?
A prepayment meter is part of a pay-as-you-go system (along with a credit key or card) that allows you to control your energy use by paying for it in advance. It also helps you stay on top of your energy spending by providing a real-time overview of your consumption (along with how much credit you have left).
There are various prepayment or pay-as-you-go meters, including those for electricity and gas, which we'll focus on.
Prepayment meters in a nutshell
A prepayment meter (PPM) is a sort of "pay-as-you-go" system for managing energy consumption, allowing you to pay for your electricity and/or gas upfront. This method helps many of our customers with budgeting and can prevent unexpected bills too.
How do prepayment meters work?
Prepayment meters must be topped up with a payment before you use any energy. This can be an excellent way to manage your energy bills and avoid getting into debt. So how does it work?
1You have a prepayment meter installed in your home. This will measure how much energy you use.
2You get a prepayment key or card from your energy supplier. This will have a unique code that is linked to your meter.
3You top up your card or key from a Payzone, PayPoint or Post Office outlet (more on that later).
4When you insert your credited key or card into the meter, your credit is "transferred" and is used to pay for the energy you consume.
5Your meter will display your balance. You will see this balance decrease as you use the energy you have paid for.
6When your balance is low, you will receive a warning. This is designed to give you time to top up before your balance drops to zero.
What happens after my prepayment meter is installed?
We'll put £30 credit on your meter when we install it, so you have some energy while we get your new top up card or key to you - you'll need to pay this back when you top up. (To avoid being temporarily disconnected, make sure you top up before you've used all your credit.)
Joining us with a prepayment meter?
If you've just moved over, your new gas card will be with you soon. Don't worry about the electricity key, you can keep on using your current one.
Once you've received your new gas card you'll need to register it before you can top it up with any credit. Just pop it in your meter and leave it for two minutes or until it beeps, simple.
Top tip - make sure you use up your credit on your old card before using your new one.
If you do need a new electricity key don't worry, call us on 0808 501 5200.
If you have an outstanding debt, we'll continue taking this at the same rate you agreed with your previous supplier.
Why not head over to our community forum?
Chat with other customers just like you to get some hot tips and the latest news.
How to top up a prepayment meter.
Topping up is a breeze.
1Find an outlet
You just take your top up card or key to a Payzone, PayPoint or Post Office outlet. You can find your nearest outlet on their respective websites.
2Pay an amount
Simply give them your key, along with the amount of money you want to top up. The minimum payment is just £1, and you have to top up by full pounds.
3Top-up
They will top you up - and then you're ready to pop your card or key into your meter and add the credit.
If you're one of our Smart Pay As You Go customers, you also have the option to top up online. Smart PAYG combines the flexibility of Pay As You Go with the convenience of a smart meter. Why not find out more about the many advantages of Smart PAYG and see if it's right for you.
If you use prepayment to manage your energy bills, it's important that you keep a close eye on your usage and payments. For example, you should keep topping up during the summer. Yes, you will probably use less energy, but there's still a standing charge to pay. (This is to pay for things like maintaining the pipes and cables that get the energy to your home).
To cover this, a small amount is debited each day from your balance during the summer months. This means that your credit will slowly be used up even if you're not using any energy (like when you are away, for instance).
What's more, by topping up your balance when you use less energy, you can build up a store of credit that you can use later on. This can help spread some of the cost of your energy use throughout the year. Paying in advance for your energy in this way gives you a buffer and can help with your spending and budget. If you choose to top up a little extra during the summer, you can be more prepared for winter.
What are the advantages and disadvantages of prepayment meters?
A prepayment meter is a great way to manage your energy costs. But they're not suitable for everyone.
So how can you decide if it's right for you?
Well, here are some of the pros and cons you should consider before deciding.
Pros:
You'll have a better idea of your energy spending. With prepayment meters, you can monitor and manage your energy use in real-time, so you're in control.
You'll have less chance of running up debts. Since you pay in advance, there's less chance of accumulating debts with your energy consumption.
What's more, knowing you're in control and have less chance of running up debts means you won't have to worry so much about budgeting for the future, and that can bring you real peace of mind.
Cons:
Some people find topping up the prepayment card or key an inconvenience.
Falling below credit thresholds can lead to temporary disconnections.
However, we want to help you avoid this situation. And we have measures in place to do just that...
Emergency credit.
What happens if you run out of electricity or gas and you can't top up your meter? (Maybe you have no money to hand or it's late at night and all the shops are closed.) In an emergency, like that you will be credited with £10 worth of gas. Handy for when you are sometimes caught short (as we all are).
There's also an emergency credit for electricity. It's currently £5 but we are updating this to £10, starting with the most vulnerable customers.
We'll contact you with more details about what's going to happen and when the change will be made. (But for now, it's £5 unless we've told you it's changed.)
You can use the emergency credit for electricity if you've got less than 50p credit. Simply pop your key into the meter and press the blue button.
You can use it for gas if you have less than £2 left. Just put your card into the meter and press the red "A" button.
And remember, you'll need to pay this back what you've used with your next top up.
Emergency credit and smart prepayment.
With a Smart PAYG meter, you get the same emergency credit our regular prepayment customers receive. Furthermore, we won't disconnect you outside of 10am - 4pm, Monday to Friday, as we know shops may not be open for you to top up at these times.
If you're still out of credit when it reaches 10am Monday to Friday, then you will be disconnected.
And remember, next time you top up, you'll need to pay for any emergency credit you use during those times, plus any overdue repayment plan payments and the daily standing charge.
How to handle faults with your prepayment meter.
A problem with your meter can be serious. You want to be able to top up, check your balance and so on in order to manage your energy properly. A problem could stop you doing that. So here's a guide on dealing with potential faults.
For gas meter faults:
If your gas meter displays one of these codes, you need to call us on 0808 501 5200.
Call help.
Battery fail.
Card not accepted, shown as M***** or M----- on your meter display.
Blank screen.
Card fail 04, 28, 25, 28 shown on your meter display – make sure your card is clean and reinsert the card. If this does not work, call us.
For electricity meter faults:
If your electricity meter displays one of these codes, here's what you need to do:
Error A3 - don't worry, this just means you've taken out your key too soon. Pop it back in.
Error 10 - Try cleaning your key's chip with a dry cloth. If the message stays, then your key's programmed for a different meter. Please call us on 0808 501 5200.
Blank screen - Insert your key and hold the blue button down. If that doesn't work, call us and we'll send someone to take a look.
Error number from 6-44, NO, A1, A2, A6, A10, B1-B7, B9, C4, C5, D1-D7, D9, E4, E5 - These different error codes are all caused by a faulty key. Please call us on 0808 501 5200.
Reset, token no, or error number 1, 2, 3, 50, 99, A4, A5, A7, A8, A9, C1, E1, E6 - Unfortunately these error codes all mean that your meter is broken. Please call us on 0808 501 5200.
How do I monitor my energy use on my prepaid meter?
Tracking your energy consumption can help you identify areas where you can save money (and reduce your carbon footprint). Here are a few tips on how to track your energy use:
Prepaid meters have a display that can show you a lot of information. Regularly check the display to understand your daily and monthly energy consumption.
Take a note of your meter readings at regular intervals, such as weekly or monthly. This lets you track your energy use over time and identify any changes in your consumption.
Your meter and/or in-home display provides valuable insights into your overall energy consumption. You should review your bills regularly to understand your energy use patterns and spot any areas where you can improve your energy use.
By regularly tracking your energy consumption, you can better understand how you use energy around your home. This can help you make informed decisions about your energy habits and reduce your costs and environmental impact.
Switch to Smart Pay As You Go.
Prepayment customer? Combine the flexibility of a pay as you go tariff with the convenience of a smart meter. Switching to smart means you can top up by app, online, by phone or at a Post Office.
Your prepayment frequently asked questions.
How does Pay As You Go work for electricity?
Pay-as-you-go (PAYG) is a system where customers pay for their electricity upfront before they use it. This is done using a prepayment meter, which requires you to add credit before you use the electricity.
Prepayment meters can be topped up in various ways, including using a card, a key at a local shop, or online (depending on your tariff). Once the meter has been topped up, you can use electricity until your credit runs out.
How can I get a Pay As You Go meter for my electricity?
To get a PAYG meter, you'll need to contact us. We will need your address and some personal information, such as your name and date of birth. We'll then arrange for a PAYG meter to be installed in your home.
Once the meter has been installed, we will put £30 credit on it so you can use it straight away, but you'll need to pay this back when you top up. (Make sure you top up before you've used all your credit.) You can top up your balance in a variety of ways, including using a card or key at a local shop or online.
And how do I get gas on a Pay As You Go meter for my gas? Is it the same as electricity?
Yes, Pay As You Go gas works the same as it does for electricity. Once we've installed your prepayment meter, you pay for your gas upfront before you use it. Prepayment gas meters can be topped up in the same ways as prepayment electricity meters, including using a card or key at a local shop or online.
Is it better to have a Pay As You Go gas meter?
Whether or not having a PAYG meter is better depends on your circumstances. Pay As You Go meters can be a good option if you:
Have struggled with managing energy bills in the past.
Are on a tight budget.
Want to be able to control your energy spending.
Want to avoid getting into debt with your energy supplier.
However, PAYG meters can also have some disadvantages. For example, you may have to top up your meter more often. Additionally, if you run out of credit, your electricity or gas supply can eventually be cut off (however, at E.ON Next, we have several ways to help customers struggling to pay for their energy, so hopefully, you can avoid this).
Ultimately, the decision of whether or not to get a PAYG energy meter is a personal one. You should weigh the pros and cons carefully to decide if it is for you.
Where can I top up my prepay meter?
It's easy to top up at a Payzone, PayPoint or Post Office outlet. You can find your nearest outlet on their respective websites.
Is electricity more expensive on a prepayment meter?
Not since October 2023. Since that date, the UK government is using the Energy Price Guarantee to align costs for comparable prepayment and Direct Debit customers, ensuring that prepayment meter users no longer pay a premium for their energy. (This applies to prepay gas too.)
All users will pay for the energy they use. However, prepayment customers will not pay more per unit (kWh) than customers who pay by Direct Debit. (It's expected that this change will help around 3 million households in the UK).
What is emergency credit?
We provide this for those occasions when you just can't top up your meter (for example, when it's late and the shops that do top ups are closed). For gas, there is £10 credit, that you can use when your balance is £2 or less.
For electricity there is currently £5 credit that you can use when your balance is 50p or less. However, we are increasing this to £10, starting with our most vulnerable customers. We'll be in touch when your limit is increased.
You can find out how to access this in the "Emergency Credit" section above. But remember, you will have to pay this back the next time you go to top up your key or card.
I’m moving home. What should I do about my prepayment meter?
Just tell us your moving date as soon as you know. We will ask you to take some readings on the day you move out and close your account. That way, you won’t end up paying for someone else’s energy.
I’ve just moved into a home with a prepayment meter. What should I do?
Just email us at hi@eonnext.com or call us on 0808 501 5200. We’ll be able to sort things out for you so you are paying the right rates and not those of the previous occupier.
Got more questions?
If you've got more questions, have a look at our extensive prepayment FAQs. The chances are we've been asked it before. More prepayment FAQs.