Post Ch 7, large deposits with utility and phone companies??

[coolgurka]

Post Chapter 7, has anyone ever tried to set up a utility account with PGE , cable or ATT phone service and had to pay a large deposit??

[jojuvan]

Well, our electric/gas company is making us pay two of our highest months bills for a deposit. I THINK it is not due until our discharge, and they will let us make payments until it's paid, and if we pay ontime for 12 full months, they'll refund our deposit.

[aces67]

Well, our electric/gas company is making us pay two of our highest months bills for a deposit. I THINK it is not due until our discharge, and they will let us make payments until it's paid, and if we pay ontime for 12 full months, they'll refund our deposit.

You mean you're having to pay a deposit on account that you already have opened?

[coolgurka]

Hmm..i am a little confused. Let me clarify by saying this. If i plan on listing debts with Ch 7 with say PGE, ATT etc for unpaid bills on my house i am foreclosing on.

Later after the discharge of Ch 7, and I am renting a place and want to set up a new account, would i still have to pay a deposit regardless of whether I had debts wiped out with PGE or if I had paid in full on the old account with the foreclosed house?

I am trying to see if it makes sense to pay the utility bills in view of me saving every penny for the BK filing?

[ccaplinger]

I would be careful with bankrupting utility bills. They may either require a large deposit or even refuse service altogether.

If you can at least continue paying your utility bill. You don't have much of a choice in services there. We had trouble keeping up with our bill (and still are) and when we had to move we were required to pay a deposit. Thankfully it was only for $100 (local utility company).

With cable, you do have the choice of satellite if they did want some sort of deposit. With telephone service, you do have some choices in telephone service now if A T & T required a deposit so you might be able to get away with it there too.

[coolgurka]

I would be careful with bankrupting utility bills. They may either require a large deposit or even refuse service altogether.

If you can at least continue paying your utility bill. You don't have much of a choice in services there. We had trouble keeping up with our bill (and still are) and when we had to move we were required to pay a deposit. Thankfully it was only for $100 (local utility company).

With cable, you do have the choice of satellite if they did want some sort of deposit. With telephone service, you do have some choices in telephone service now if A T & T required a deposit so you might be able to get away with it there too.

I will most likely pay the utility bills then.Thanks for the input.

[walkthaplank]

In California, if you have had satisfactory service with these utilities in the past you will not have to pay a deposit. If you were late in paying them in the past, or have had no history with them you will be paying a deposit. If you BK your current account, they will close it and open a new account complete with a new deposit. They cannot deny you service unless you don't pay for it. They will not force you to pay the deposit before you open the account, they will bill you for it. If you don't pay they'll shut you off just like any other delinquent bill.

The amount of the deposit has nothing to do with how bad your credit is (for a regulated utility). Electric is limited to twice the highest monthly bill at that account (residence) over the last 12 months. Gas deposits are twice the average monthly bill at that address over the last year (rounded off to the nearest $5). PG&E being a combined utility, they will charge one deposit, probably twice the highest monthly bill over the last year (combined).

Telephone company will put a "credit limit" on your account (your account cannot exceed $x) and will probably charge you an equal deposit for that amount.

[EverHopeful]

Interesting to know that a bout CA,thanks WTP.

[EverHopeful]

I suppose in CA, they have to offer basic utilities to all inspite of BK or bad credit then?? (with deposit of course)

I think the OP(CoolGurka) meant that he/she will open new accounts, since the current abode is being foreclosed on.So the OP would then set up new accounts in CA I presume.

[jojuvan]

We included our electric/gas bill in our BK. We had a really hard winter with my husbands job, and a new baby, and we couldn't pay our electric bill. By the beginning of spring, we owed them over 1200 dollars. they said to keep our electric on we'd have to pay the two highest months as a deposit. Not that bad of a deal if you ask me. 430 dollars is much better than 1200.

[jojuvan]

I should also add that we have had bad credit for a while, and between moving from one place to another, we did have to pay a deposit to get electric in our name. About $200 I think it was. So that probably goes the same for having a BK on your credit.