Compare No-Deposit Electricity Companies and Energy Plans

What is an electricity plan deposit?

An electricity plan deposit is an upfront payment that your energy provider may require to activate your service. When you sign up for energy in Texas, most light companies run a soft credit check to learn if you meet their credit requirements. Shoppers with bad credit typically have to pay an energy deposit.

The good news: Choose Texas Power partners with no-deposit energy companies, offering our customers a way to skip the upfront cost and credit check. Enter your ZIP code to explore no-deposit light plans in Texas.

How to avoid paying an energy deposit

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 over $300. Here’s how you can avoid paying an energy deposit:

• High credit score: Every provider sets its own credit threshold. Shoppers with a high credit score that meets the requirements can bypass the upfront deposit.
• Service history: If you’ve been a customer of an electricity provider within the past two years and are in good standing with the company, the fee may be waived.
• No delinquencies: You can sometimes avoid a deposit if you have a track record of paying your bills on time.
• No-deposit prepaid electricity: This plan type lets you skip the deposit and credit check by prepaying for your electricity.
• Low-deposit plans: Some providers may offer a low-deposit option for shoppers who don’t meet the credit threshold but still want to minimize upfront costs. Call our team to discuss whether a low-deposit plan is right for you.

Payless Power: Our top no-deposit light company

Payless Power is a popular Texas energy company that offers two plans to help you skip the upfront deposit. Here’s what you need to know about these plans:

• Six- or 12-month contract options
• No credit check
• No deposit
• $40 upfront minimum payment
• 30-day satisfaction guarantee
• $49 early termination fee (ETF)
• 26% renewable energy content

Enter your ZIP code on this page or call our team to explore these plans today.

Prepaid electricity: A no-deposit, no credit check light plan

The most common type of no-deposit electricity plan is a prepaid plan. Here’s what you need to know about prepaid plans:

• You pay for your electricity in advance every month, before you use it
• Your provider sets a minimum prepayment amount.
• Payments go directly toward your electricity costs.
• You’ll receive usage alerts and can top off your account if it gets low.
• Any remaining balance will roll over to the next month.
• It works best for shoppers with low credit who wish to avoid a credit check and deposit.

Is a no-deposit plan right for me?

Before signing up for a no-deposit plan in Texas, consider the following benefits and drawbacks to determine if it’s a good fit.

Pros of no-deposit electricity plans

• More cash on hand: With a no-deposit electricity plan, you don’t have to tie up cash in a security deposit. The money you pay goes directly toward your home’s electricity.
• No credit checks: Prepaid, no-deposit plans often do not require credit checks. They can be a good option if you have a low credit score or simply want to avoid the check.
• Bill control: Pay-as-you-go service helps you control your energy usage to avoid overspending. Monitor and adjust your usage to keep your monthly charges where you want them.

Cons of no-deposit electricity plans

• Upfront costs are still required: Although it’s not considered a deposit, you have to pay for a portion of your electricity in advance with a prepaid plan. This requirement may not apply if you fall into a high credit bracket for a fixed-rate plan.
• Automatic shut-offs: Many no-deposit electricity plans are prepaid or require you to keep your balance up to avoid a shut-off. If you use more electricity than you paid for, your service could be disconnected until you add more money to your account.
• Higher rates: No-deposit plans typically have higher electricity rates than traditional fixed-rate plans. While choosing a light company with no deposit requirements can help you get the lights on with fewer upfront expenses, it may cost more in the long run.

No-deposit energy plans in Texas

Texas residents in many deregulated cities can shop for no-deposit, no-credit-check power plans on our marketplace. Explore our top options for several Texas utility companies.

CenterPoint Energy serves the Houston metropolitan area and surrounding towns, including Pasadena, Baytown, Sugar Land, Pearland, Katy, Galveston, and The Woodlands. Residents in these cities can choose a no-deposit electricity provider.

Oncor Electric Delivery transports power to residents in Dallas, Fort Worth, Frisco, Irving, Duncanville, McKinney, and Grapevine. Shoppers in these areas who want to skip a deposit can shop prepaid plans on our marketplace.

AEP Texas Central serves customers in southern and central Texas, including Corpus Christi, McAllen, Harlingen, Victoria, and Laredo. Explore no-deposit plans in these areas.

Residents in northern Texas, including Abilene and San Angelo, receive electricity from AEP Texas North and can compare no-deposit plans on Choose Texas Power.

Communities around the Gulf Coast and West Texas, including Texas City, Friendswood, Dickinson, League City, and Lewisville, can compare no-deposit plans on our marketplace. Residents in these areas receive their electricity from Texas-New Mexico Power regardless of which provider they choose.

No-deposit electricity plans FAQs

Does a no-deposit light plan require a credit check?

Prepaid, no-deposit plans do not usually require credit checks. For instance, Payless Power does not run credit checks for its no-deposit electricity plans, though this varies by provider.

Do I have to sign a contract for a no-deposit plan?

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 ETF of $49 if you cancel before it expires.

Can I transfer my no-deposit plan to a new address?

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 in your new location. If it does, you’ll need to contact the provider to transfer your service. If you’re moving outside your provider’s service area, you’ll need to switch energy plans.

Is a no-deposit light plan right for me?

No-deposit lights could be right for you if you have low credit and need a quick energy solution. 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 fit.

What happens if I don’t use all the money I prepaid with?

In this scenario, your remaining balance usually stays on your account and rolls over to the next month. However, make sure to read your plan’s Electricity Facts Label (EFL) to confirm the provider’s policy.