Residential Security Deposits

Pulaski Electric System will require security deposits according to the terms specified below:

A.    A minimum deposit requirement of not less than $200 is required of any residential customer.  The minium deposit is based on customer class average.  In lieu of a deposit, PES will accept a credit scoring deemed satisfactory and acceptable by PES, obtained from a credit reporting agency selected by PES.  If the credit score is not acceptable, the customer must satisfy the minimum deposit requirement by cash, check, debit or credit card payment.

B.    Additionally, a deposit may not be required for any customer who currently has service with Pulaski Electric System and who has not had any late payments, delinquent notices, disconnections, or bad checks within a two-year period immediately preceding the customer's application for new service.

C.   A customer who has an unpaid account balance with PES must pay the unpaid amount and satisfy deposit requirements in order to obtain service.

D.  Upon disconnection of service, PES may apply the deposit plus earned interest to the customer's outstanding bills and shall refund any remaining balance to the customer.  Upon written request by the customer or at the discretion of PES, the deposit, including earned interest, may be evaluated.  On an annual basis, the simple interest shall accrue at the rate of the local banks on passbook accounts on deposits held longer than twelve months.

E.  PES may refund the deposit to the customer after three years of continuous service, provided the customer has made no payments after the last date for payment, had no returned checks with PES and has not paid more than one late payment in the last 13 months.  Upon the customer's request, and at PES's sole discretion, if the customer paid a higher deposit due to a bad debt, the customer's deposit may be reduced to not less than $150 after 13 months of continuous service, provided the customer has made no payments after the last date for payment, had no returned with PES and has not paid more than one late payment in the last 13 months.

F.   PES may require any customer to establish or increase his/her deposit if the customer becomes a payment risk, declares bankruptcy, and/or it has been determined by PES that fraudulent or unauthorized use of service or equipment tampering has taken place.  Inflation, change of address, or increased use of service may also require the deposit level to be raised not less than the maximum required under this policy.

 

This policy was amended as of October 22, 2002, to allow the residential security deposit to be waived for any customer who currently has service with Pulaski Electric System and who has not had any late payments, delinquent notices, cutoffs or bad checks within the two-year period immediately preceding the customer's application for new service.

This amendment is designed to help customers when they are moving from one location to another within our system in cases where they have a good payment record with PES but do not have a score available from our credit reporting agency.