Utility Company Payment Plans: What to Ask For

Ask for a deferred payment agreement, a short extension, level billing, or a referral for energy aid. A deferred payment agreement splits a past-due balance into fixed monthly add-ons paid with current charges. Call before the due date if you can.

Have your account number, balance, and pay date ready. Ask what each option costs and how it affects shutoff.

Verification note: Program terms and availability can change. This page was checked against linked sources on November 05, 2026.

Should you split arrears or ask for more time?

A deferred payment agreement works when you need months to catch up. You pay the current bill plus a fixed add-on each month. National Grid gives a standard example of 15% down with the balance over 10 installments plus the current bill, described in its More Time to Pay terms.

An extension fits a small, short gap. Hawaiian Electric contrasts a one-time extension up to 15 days with 4- or 6-month equal installments for the total balance, explained in its payment arrangement options. Pick based on your pay date.

If one paycheck closes the gap, ask for the extension. If you need several pay cycles, ask for installments.

Want the same bill each month?

Ask to enroll in budget billing, also called Level Pay. It averages the prior 12 months of use and divides by 12. The Maryland Office of People's Counsel describes this averaging and periodic reconciliation of over- or under-payments in its payment plan guide.

Reconciliation matters. You may owe more or get a credit after review. Ask when review happens and how changes appear on the bill.

This plan helps with planning, not debt. It does not erase a balance. Pair it with an arrears plan if you already owe.

Can past-due balances join level billing?

In some areas, yes. Los Angeles Department of Water and Power says it calculates the level amount from the prior 12 months of charges and adds past-due balances. Longer terms of 12, 24, or 36 months are only for accounts with arrears.

Ask which term fits your balance. A longer term lowers the add-on but extends the commitment. Ask if late or missed payments cancel the plan.

Use this question if bills spike seasonally. Leveling plus arrears can keep winter heat or summer cooling steady. Confirm the new monthly total before you agree.

Need help paying the bill itself?

Ask for a referral to the federal Low Income Home Energy Assistance Program, or LIHEAP. It pays heating and cooling aid to the utility for eligible households. The National Council on Aging notes eligibility at or below 150% of poverty or 60% of state median income, with local applications or via 2-1-1, in its LIHEAP application guide.

Apply early in the season. Funds vary by place and time of year. Ask the utility what other local aid or charity funds it accepts.

Keep the referral separate from the payment plan. Aid may reduce the balance, but installments still require on-time payment. Ask how aid will be applied to arrears or current charges.

What if shutoff is near?

Ask for winter-hardship or medical protection if either applies. The State of Connecticut bars gas and electric shutoffs Nov. 1 to May 1 for customers with financial-hardship or medical-protection status obtained through the utility or Community Action Agency with income or benefit proof.

For illness, ask about medical certification. The Pennsylvania Utility Law Project describes a Dec. 1 to March 31 block on termination for low-income customers at or below 250% of poverty.

A doctor certificate can pause shutoff for up to 30 days and can be renewed. Have proof ready. Ask what form, signature, and deadline apply.

Ask if protection pauses collection or only shutoff.

What terms should you get in writing?

Installment and Level Pay plans require full on-time payment of new charges plus the add-on. Default can make the rest due at once. Get these points confirmed before you pay: Read the total, not only the add-on.

Add current use plus arrears to see the real monthly cost. Keep the written terms with your bill records.

• down payment amount and due date
• number and amount of installments
• fees, late rules, and default terms
• protection from shutoff while payments stay current