Electric company wants a big deposit

[southernbelle]

It just keeps getting better and better. Today I received a letter from the electric company stating that they understand that they can't disrupt my service because I filed bk (I filed on my business electric bill that was about $1500), but they now require me to pay a $350 deposit to continue my service.

And get this, when I called them, they had already cancelled the old acct and opened me a new acct number with the $350 deposit attached to it as well as a reconnect fee for my electric and gas. What the heck?? How is this legal???

Just when I thought I was getting a little bit ahead, something else happens. I have no choice but to pay it because I've gotten used to the luxury of lights and air conditioning, but I just thought I'd share because it could happen to someone else.

[woodj]

Sons-a-!@#$'s. That would be my luck too.

[rrockinggramma]

actually this is pretty common practice for utilities. In Michigan, my company did close the one account and open up a new one, new account number, with no balance. No deposit required for me. And I filed on them 3 times. But many do charge the deposit.

[chloe0724]

do they only do this if you include them in the bankruptcy? I hope we don;t have to start again.

[southernbelle]

actually this is pretty common practice for utilities. In Michigan, my company did close the one account and open up a new one, new account number, with no balance. No deposit required for me. And I filed on them 3 times. But many do charge the deposit.

Actually, from reading posts here, I knew they could charge me a deposit, but I thought it was in a case where I disconnected and had to reconnect. I had no idea they would do all of this when my home service is current. I understand why they did it, but I didn't realize they would ask for so much of a deposit. I'll barely have enough to cover it and all of my other bills from this check which means I end up with nothing to live on again for 2 more weeks.

[blaze]

I'm wondering the same as chloe - does this only happen if you are behind and included a co. in your BK? Or do all utilities etc. run periodic credit checks and pursue you for extra deposits etc.?

[southernbelle]

I think the red flag was when I filed bk because the notice came from the bk dept. I think under normal circumstances, it would have been business as usual because no other utility co's have done this.

[JRScott]

Sorry to hear southernbelle , see if they'll work with you on a plan to repay the deposit. If not then perhaps you can get a church in your area to help with groceries. I hope things work out

To the rest this only happens when you include a utility in the bk .

[dragonnfly]

That probally would have happened to me too. My lawyer had mine on the creditor list and I asked him to take it off because I currently owe them nothing (i paid it with my tax return) Glad I saw that one. That really does suck though. I know my father in-law signed a car loan for my sister in law and because she was late on it when they moved they had to turn on the electric in my mother-in laws name because they wanted a deposit. Sucks especially if your never intending on moving. When would you get it back??

[AngelinaCatHub]

Hey Dragonfly, don't say too much about your tax return. I believe (as I'm learning along) that the return should have gone to Trustee. I too had to caugh up 750 bucks having this electric account for forty years. I am currently (good pun) behind in my electric by 700 bucks and pay a hundred hear and a hundred there. I keep getting turn off notices but to date no one has attempted. I have told FPL (electric co.) of my bk and gave them the number. I keep my gate locked but they can also pull the fuse out on the transformer pole. I'm afraid if they locked my meter off, I would cut the seal and place it back on. Hell what more trouble could I be in? It's getting to where it doesn't matter.

[dragonnfly]

Hello, We received our tax return at the end of Feb. That tax return stuff varies so much district to district. Here in Ohio my lawyer said as long as you spent it on necessities and have the receipts you will be fine. My neighbor was late on their electric and they put something called a limiter on their pole out front. It only let a small amount of electricity to the house, just enough to run a furnace and a light or two. We are luck to have a co-op electric co so the bills really arent too bad. But I still managed to get behind on it when we were still trying to stay up on the car and CCs. At my 341 hopefully the only thing I will have to say is Yes or No. Thats all I want to say. Dragonnfly

[pd1373]

I included $1000 worth of past due electric bills in my bankruptcy. Shortly after filing I got the letter; they had opened me a new account with zero balance, were charging all post-filing use to the new account, and asked me to come up with a $730 deposit (two months' worth, right after the hardest winter in a century so our heat bills had been pretty steep. Of course. ) On the other hand, after a year of timely payments the money is returned with interest. Still, I didn't have $730 just kicking around so I called them up, and they agreed to set up a payment plan with the deposit rolled in. We'll have the deposit paid for in a couple months.

[Runnin on empty]

I have no choice but to pay it because I've gotten used to the luxury of lights.

Quit your complaining, little things like electricity are not necessary. Next thing you know, you'll be saying that everyone should have a right to breathe fresh, clean air. Sheesh!

Seriously, that's messed up girl.

Edit - In case anyone is wondering, I am being sarcastic.

[MajorMike]

I'd sell my computer or something to be able to afford electricity. I'd never ever let my utilities get behind. Credit cards...yes, but utilities, no excuse where I'm concerned.

[qwertysue]

I'd sell my computer or something to be able to afford electricity. I'd never ever let my utilities get behind. Credit cards...yes, but utilities, no excuse where I'm concerned.

Good for you MM. Now, can you come across in a way in a NOT quite so judgemental or "I'm better than you" in tone? What was the purpose of this comment? It wasn't supportive, nor did it lend any advice. To me, it was simply another comment that wasn't called for.


SB, hopefully things will work themselves out in the next few weeks for you. Stay strong! It does get frustrating, but hang in there!