A utility deposit can be difficult to afford when you are moving into a new home, starting service for the first time, or trying to reconnect electricity or gas after a financial hardship.
Depending on where you live and your circumstances, assistance may be available through utility companies, local community organizations, state programs, or programs serving households with low income. Some assistance programs can include utility deposits as an eligible expense, but availability and requirements vary.
There is no single nationwide program that automatically pays every household's utility deposit. It is important to check both the utility provider and local assistance programs.
Who May Qualify
Utility-deposit assistance may be available to people who:
- Have low household income
- Are moving into a new home
- Need to establish electric or gas service
- Are reconnecting a disconnected utility
- Have experienced financial hardship
- Receive certain government benefits
- Have children in the household
- Have a disability or older adult in the household
- Are experiencing a housing emergency
- Need temporary assistance with essential household expenses
Eligibility depends on the specific program, utility provider, and location.
Check What You May Qualify For
If you need help paying a utility deposit, checking several types of assistance may help you find options that are easy to overlook.
- ✓ Free eligibility check
- ✓ Free guidance if needed
Available programs vary based on eligibility, location, household circumstances, and the type of utility service you need.
Types of Help Available
Utility Company Deposit Assistance
Start by contacting the utility company directly. Some providers may have payment arrangements, deposit alternatives, hardship programs, or policies that reduce or waive deposits for qualifying customers. Ask specifically about deposit waivers, reduced deposits, payment arrangements, new-customer assistance, low-income programs, reconnection assistance, and budget billing. The rules are different for each utility provider.
LIHEAP and Energy Assistance
The Low Income Home Energy Assistance Program (LIHEAP) helps eligible households with home energy costs and energy crises. Depending on the state or program, assistance can address heating, cooling, electric bills, or crisis situations. LIHEAP is administered through states, territories, and tribes, so eligibility and the specific assistance offered can vary. Historical federal LIHEAP reporting also recognizes utility deposits as a type of energy assistance expenditure, meaning some LIHEAP programs may be able to address deposits depending on their state or local rules.
TANF and Family Assistance
Families with children may have additional options through Temporary Assistance for Needy Families (TANF) and related state or local programs. Federal guidance allows states and counties flexibility to use certain TANF funds for housing-related expenses, including utility bills and security deposits, although the exact programs and eligibility rules are determined locally.
Local Community Assistance
Community action agencies, nonprofit organizations, churches, and other local organizations may sometimes provide emergency assistance for essential household expenses. These programs can be particularly important when a household needs to establish or restore basic utility service quickly.
Emergency Assistance
If you are facing an immediate utility shutoff, homelessness risk, or another financial emergency, look beyond ordinary bill-payment programs. Local social-service agencies may be able to identify emergency resources based on your household's circumstances. USA.gov's benefit finder includes categories for housing and utilities, children and families, disabilities, and welfare or cash assistance.
How Utility-Deposit Assistance Typically Works
- Find out how much the deposit is. Ask the utility company for the exact amount and payment deadline.
- Ask about deposit alternatives. Find out whether the company offers a waiver, payment plan, or reduced deposit.
- Check government assistance. Look for LIHEAP and other state or local programs.
- Check family assistance. Families with children may have additional options through TANF or local programs.
- Contact community organizations. Local agencies may know about emergency funds or utility assistance.
- Gather documentation. You may need proof of income, address, household size, benefits, or utility account information.