Bills Backdating: What You Should Know
It can be challenging to keep up with bills nowadays. But for any individual, it is paramount that you pay your bills on time. Unfortunately, it is not all about being punctual. If you are diligent and punctual with bills, you might be surprised if you suddenly receive a charge. Either your energy provider has raised its prices, or your charge is due to backdating. Backdated bills are not that out of the ordinary, so you do not have to worry about them at all. These are common for individuals who prefer to pay on an estimated usage basis. They do not pay attention to the readings in their meters. In addition, you may receive a statement of energy you have consumed in the past.
Backdating is the process of marking a financial statement, usually a check, bill, or contract. What happens is that your statement comes with a date that is before what it must be in the first place. Many organizations and financial experts do not advise practicing backdating. It can even be illegal, depending on the situation. However, several instances can make backdating acceptable. But for that to happen, any involved parties should agree.
Why Would A Company Backdate Your Bill?
A company can backdate your bill for several reasons. Here are some of them:
- Weather conditions
Energy consumption might be higher during the winter. But as the saying goes, there is calm after the storm, your succeeding bill should be lighter. Your energy provider should make calculations based on these durations.
- Monthly tariff
You can also receive a backdate bill due to your monthly tariff. In some cases, your energy provider might commit some errors in checking your consumption. The same applies even if you are not on a monthly schedule at all. This concept happens when your bill is the result of estimation, not the exact reading.
How Long Can They Backdate Your Bill?
An energy supplier can backdate your bill. But that does not mean they have the liberty to hit you in the face with backdating whenever they choose. They can only backdate you for up to twelve months. This aspect applies even if the company commits a mistake or not. Anything farther than twelve months’ worth of charge, and you can take legal action. What you can do is check how long has the backdate bill gone. The next step is to see if it has passed the twelve-month limit. In addition, you must also guarantee that you are not overpaying what you are due. How? Go ahead and see the meter reading and compare the twelve-month reading with your new one.
What Can You Do To Avoid Backdate Bills?
The best way to avoid any backdate bills is to provide business meter readings to your energy supplier. Doing so allows them to monitor and analyze to make sure their estimates are the same as yours.
Another option would be to get in touch with a utility bidder. A utility bidder will take care of finding out what you can do with a backdated bill. Not only that, but they can also find out if it is time for you to switch to a new energy supplier or not. You will have to spend a bit more cash for the service, but it sure is a welcome one.
You can also transition to energy efficiency. Taking several steps to improve your business energy consumption assists with avoiding backdating bills. Installing smart technology, using solar systems, and planting trees around your building are examples of improving energy efficiency.
Any backdating bill can be a nuisance for any industry. It often interrupts workflow and production, slowing things down. However, you have the power to handle a backdating bill on your business. You can take care of the bill yourself. Or you can get a utility bidder to do the work on your behalf.