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When you sign up for an electricity plan in Texas, most light companies require a security deposit. They’ll typically run a credit check when you apply for service, and if you don’t meet their minimum credit requirement, you must pay an upfront deposit to protect the provider against underpayment. This payment can be up to two months’ worth of energy bills, and it’s typically held for 12 months, making it a significant burden for many customers.
The good news? A few no-deposit electric companies in Texas offer a way to skip the credit check and start service without an upfront deposit.
If you want to sign up for energy service without the extra cost of a security deposit, Choose Texas Power can help. Enter your ZIP code to explore no-deposit electricity plans in Texas.
| Payless Power - 12 Month - prepaid | 12 months | $0.192 / kWh |
| Payless Power - 6 Month - prepaid | 6 months | $0.196 / kWh |
Please note: All rates above are accurate as of 7/30/2025, 5:28:45 PM CDT for ZIP Code 75001. Rates may have changed since this date/time. For the most up to date rates in your area, please enter your zip code above.
If you’re searching for a light company with no deposit requirements, you’ll often find two options: prepaid plans or no-deposit plans for high credit scores. Some electricity providers also have low-deposit plans available.
The most common type of no-deposit electricity plan is a prepaid plan. These plans allow you to pay for your electricity in advance, rather than after the fact. Unlike a deposit, which doesn’t cover your electricity usage, payments on a prepaid plan go directly toward your electricity costs. You’ll receive notifications about your energy usage, and you can add more funds when your account runs low to avoid any service interruptions.
Many electric companies offer no-deposit plans to customers who meet their credit score threshold. These plans require a soft credit check, and you can begin service without a deposit if you qualify. A soft credit check does not affect your credit score.
Curious if you can sign up for this type of no-deposit electricity plan? Enter your ZIP code on Choose Texas Power to compare plans and learn if you qualify.
Low-deposit plans are an alternative for those who don’t qualify for traditional no-deposit plans but still want to minimize upfront costs. These plans require a smaller initial deposit than standard ones, making them a more accessible option for customers with fair or poor credit. While low-deposit plans involve a modest upfront payment, they can still provide cost-effective electricity solutions for customers who would rather avoid prepaid plans.
Electricity bill deposits can cost up to two months’ worth of service, or one-sixth of your annual electric bill. For many Texas customers, that upfront expense could be $350 or more. Light companies with no-deposit options help you avoid spending hundreds of dollars before your service even begins.
You may qualify for a no-deposit plan based on the following factors:
Before signing up for a no-deposit plan in Texas, consider the following benefits and drawbacks to determine if it’s a good fit.
Many Texas light companies, such as Payless Power, Acacia, BKV, Pogo, and several others, specialize in offering cheap electricity with no deposit. We recommend exploring Payless Power’s prepaid options. Payless provides affordable and flexible prepaid plans to help customers avoid an upfront deposit.
Payless Power offers six-month and 12-month plans for prepaid, no-deposit electricity. The following table features rates for these plans by utility:
Utility |
Cities |
Plan |
Rate |
|---|---|---|---|
| AEP Texas Central | Corpus Christi, McAllen, Harlingen, Victoria, Laredo |
6 month prepaid 12 month prepaid |
19.5¢ 19.2¢ |
| AEP Texas North | Abilene, San Angelo, Alpine, Vernon | 6 month prepaid 12 month prepaid |
19.7¢ 19.7¢ |
| CenterPoint Energy | Houston, Kingwood, Galveston, Sugar Land, Spring, Katy, Cypress |
6 month prepaid 12 month prepaid |
18.7¢ 18.7¢ |
| Oncor Electric Delivery | Dallas, Fort Worth, Irving, Plano, Arlington, Beeville, Midland, Odessa, Killeen, Waco, Wichita Falls, Tyler |
6 month prepaid 12 month prepaid |
19.6¢ 19.2¢ |
| Texas New Mexico Power | Texas City, Friendswood, Lewisville, Midland | 6 month prepaid 12 month prepaid |
19.6¢ 19.2¢ |
*Note: These rates are current as of 7/15/25. Enter your ZIP code to find the exact rate for your location.
Prepaid, no-deposit plans do not usually require credit checks. For instance, Payless Power has no credit checks for its no-deposit electricity plans. However, many providers that do not offer prepaid plans will only qualify customers for no-deposit plans if they meet their credit threshold.
It depends on which provider and plan you choose. Payless Power’s prepaid options require a contract to lock in your electricity rate for six or 12 months. The contract includes an early termination fee of $99 if you cancel before it expires.
You may be able to transfer your no-deposit service to a new address. The first step is to check whether your no-deposit light company offers service where you’re moving. If it does, you’ll need to contact the provider to arrange to move your service. If you’re moving outside the service area of your energy provider, you’ll need to switch energy plans.
Our team of Texas energy experts specializes in matching customers with the right plan. Call the number on your screen to speak with a member of our team. They can help answer your questions, explore cheap electricity options with no deposit, and match you with the best electricity plan for your needs and budget.
Let us put the power in your hands with a new electricity plan.
