No-Deposit Electricity Plans

As of November 5, 2026 at 12:13 PM CST, there are 10 no-deposit electricity plans available from 1 providers. The cheapest no-deposit plan starts at 15.5¢ per kWh at 1,000 kWh monthly usage.

No-deposit electricity plans let you start service without a credit check or upfront deposit. These plans are ideal for renters, students, people rebuilding credit, or anyone who wants to avoid the $200–$400 deposit that traditional plans may require.

Why Do Electricity Companies Require Deposits?

Electricity deposits exist to protect providers against non-payment. Because electricity is consumed before it's billed, providers face the risk that a customer will rack up charges and never pay. In Texas, providers use your credit history to determine whether a deposit is required. A strong credit score (typically 650+) usually means no deposit. Below that threshold, you'll likely be asked for $100 to $400 upfront.

4 Ways to Get Electricity Without a Deposit

1. Prepaid / Pay-As-You-Go — No deposit, no credit check, no contract. Add funds and use electricity until the balance runs out. This is the most popular no-deposit option.
2. Soft Credit Check Providers — Some providers run a soft inquiry (no impact on your credit score) and waive the deposit if you meet basic criteria.
3. Letter of Credit — Provide a letter from your previous utility showing 12 months of on-time payments. Most Texas providers accept this in lieu of a deposit.
4. Good Credit Score — A credit score of 650 or higher typically qualifies you for service without any deposit at all.

No-Deposit Plans vs. Standard Plans

No-deposit electricity plans vs. standard plans cost and feature comparison

Plan Type	Deposit	Credit Check	Contract	Typical Rate
Standard fixed-rate (good credit)	$0	Hard check	12–36 months	8–14¢/kWh
Standard fixed-rate (with deposit)	$100–$400	Hard check	12–36 months	8–14¢/kWh
No-deposit (soft credit check)	$0	Soft check	Month-to-month or fixed	10–16¢/kWh
Prepaid / Pay-as-you-go	$0	None	None	12–18¢/kWh

The difference in per-kWh cost between a standard plan and a no-deposit plan typically works out to $15–$40 per month for an average Texas household using 1,000 kWh. Compare that to tying up $200–$400 in a deposit for 12 months, and the no-deposit route often makes more financial sense.

How to Sign Up

1. Determine your TDU (utility). Your Transmission and Distribution Utility is based on your physical address. Common Texas TDUs include Oncor, CenterPoint, AEP Texas, and TNMP.
2. Compare no-deposit plans above. Filter the plans on this page to find the best rate for your usage level.
3. Check the EFL. Every Texas electricity plan comes with a standardized Electricity Facts Label that shows the true cost at 500, 1,000, and 2,000 kWh. Look at the 1,000 kWh price for the most realistic comparison.
4. Gather your information. You'll need your service address and a valid ID. For prepaid plans, no Social Security number is required.
5. Enroll. Most providers can activate service within 1–3 business days for a standard switch, or same-day for move-ins and prepaid plans.

What Happens to Your Deposit If You Do Pay One?

If you do end up paying a deposit, Texas regulations require providers to refund it (with interest) after 12 consecutive months of on-time payments. If you switch providers before the 12-month mark, you're still entitled to a refund minus any outstanding balance, returned within 60 days of your final bill.

Tips for Getting the Best No-Deposit Rate

• Compare at 1,000 kWh. The EFL price at 1,000 kWh is the most accurate benchmark for an average Texas home.
• Watch for hidden fees. Some no-deposit plans offset the waived deposit with higher monthly base charges. Check the EFL for recurring fees.
• Consider a short contract. A 3–6 month fixed-rate plan with no deposit can give you rate stability while you shop for a better long-term deal.
• Use a letter of credit. If you had good payment history with a previous provider (even out of state), request a letter of credit to waive the deposit.