Deposits

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Answer

How is the deposit determined?

FPL uses a credit scoring system to determine if we require a deposit in order to open an account. This credit scoring system considers items on your credit report and/or prior credit history and produces a score. Customers who are required to pay a deposit are required to provide a deposit equal to two month’s expected electricity use when the home is occupied, which is standard utility practice. For example, if you occupy your home year-round and use an average of $100 of electricity per month, the deposit amount would be $200.

Why do you charge a deposit?

We ask customers to secure their accounts to ensure that we will have the resources available to continue providing reliable electric service to all customers. Unlike most other businesses, we bill 30 days after customers have used our product, and then we give customers another three weeks to pay. Our billing and deposit practices promote fairness by ensuring that all customers pay for the electricity they use. 

When is the deposit due?

The initial deposit is due when the account is opened. We offer several convenient payment options. Click here for more information.

Note: In some cases, we require you to pay the deposit before connection of service.

Does the deposit earn interest?

Yes, your deposit begins to earn 6-percent interest once you've paid your electric bill in full for six months. The interest is credited to your account annually in June.

When is the deposit refunded?

Residential customers are eligible for a refund of their deposit after they've been a customer for 23 months and have paid their bills on time for the previous 12 months or when the account is closed.

How are deposit increases determined?

What are the alternatives?

If a customer is late paying their bill twice in six months, we initiate a review of the account. We look at the length of time they 've been an FPL customer, their payment history and the amount of their current deposit. For residential customers, if there is a gap of $50 or more between the deposit on hand and two months' average billing, we typically ask the customer to make up the difference in order to bring the deposit to the required level. If the current deposit is already equal to two months' average billing, we do not require an increase.

Most residential customers have choices that will allow them to avoid paying some or all of the deposit. We will reduce or waive the deposit for qualified customers who sign up for our Automatic Bill Pay program. We will also waive the entire deposit if the customer finds a qualified third party to guarantee payment on the account.

Is there an alternative to a cash deposit?

Yes, you may opt for an Unconditional Guarantee/Guarantor Contract, which is a legal document involving two parties:

• The Guarantee (the party requesting the deposit refund alternative)
• The Guarantor (the party providing payment security if the Guarantee should default in payment)

If you choose this non-cash deposit option, the Guarantor must have an active FPL account with a continuous service record of 23 months or longer, and a prompt payment record.

What do I do if I am interested in using an Unconditional Guarantee/ Guarantor Contract as deposit coverage?

Please contact your potential Guarantor, who will provide you with the Guarantor's account number, service address, name or Social Security number. If your potential Guarantor would rather contact us directly on your behalf, he or she will need your account number, service address, name or Social Security number.

After collecting the necessary information, please contact our Customer Care Center at 1-800-226-3545 and they will then send the contract to the Guarantor.

The Guarantor will then mail the notarized contract signed by both parties to:

FPL
Deposit Administration
9250 W. Flagler Street
Miami, FL 33174

or

FPL
P.O. Box 025209
Miami, FL 33102

Please be aware that an Unconditional Guarantee/Guarantor Contract is a deposit refund alternative. If a deposit is due on your account while you are in the process of applying for the Contract, please pay the deposit to ensure that your service is not interrupted. As soon as we receive and approve the Contract, we will apply the paid deposit to your account.

For detailed information, please click here.

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Is a business required to have a deposit?

Yes, we do ask business customers to secure their accounts to make sure that we will have the resources available to continue to provide reliable electric service. Unlike most other businesses, we bill 30 days after customers have used our product, and then we give customers another three weeks to pay. Our billing and deposit practices promote fairness by ensuring that all customers pay for the electricity they use.

How is the amount determined?

The deposit is equal to approximately two months' average bills at the service address.

Will I get a bill for the deposit?

Yes, when you open your account, FPL will mail you a deposit statement.

When is the deposit due?

The initial deposit is due when the account is opened. We offer several convenient payment options. Click here for more information.

Note: In some cases, we require you to pay the deposit before connection of service.

Is there an alternative to a cash deposit?

Alternatives to a cash deposit include either:

• A bank Letter of Credit
• Surety Bond (issued by an insurance company)

These alternatives are recommended for deposits over $1,000.

Once the Surety Bond or Letter of Credit is received and approved by FPL, your cash deposit is credited to your account.

Is the deposit adjustable?

FPL will review and adjust the deposit on your account after it has been open for six months to ensure that it holds the correct amount. FPL will also review the deposit on your account if two late payments are made within a six-month period.

Does the deposit earn interest?

Yes, your deposit begins to earn 6 percent interest once you've paid your electric bill in full for six months. The interest is credited to your account annually in June. The interest is increased to 7 percent after 23 months of on-time payments.

When is the deposit refunded?

The deposit is held until the account is closed.

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Answer

Is there an alternative to a cash deposit?

Alternatives to a cash deposit include either:

• A bank Letter of Credit
• Surety Bond (issued by an insurance company)

FPL recommends these alternatives for deposits of over $1,000.

Once the Surety Bond or Letter of Credit is received and approved by FPL, your cash deposit is credited to your account.

What do I have to do if I want to use a Surety Bond or Letter of Credit instead of a cash deposit?

Download the applicable form below and forward the completed document to the bank or the insurance company.

The Surety Bond or Letter of Credit must be issued in the exact name of a corporation registered and active with the state of Florida. This name must also match the name on your account(s). You may use www.sunbiz.org to verify the exact name under which your company is registered. It is very important to comply with these stipulatons. Please be aware that if these requirments are not met, your Letter of Credit or Surety Bond may be rejected.

If your company is a partnership instead of a corporation, e-mail us for an application. Please specify your account number and whether you are interested in a Surety Bond or a Letter of Credit:

• Letter of Credit Application (72k PDF)
• Surety Bond Application (104k PDF)

If you would like to see a sample Surety Bond or a Letter of Credit, please click on one of the following links:

• Surety Bond Sample
• Letter of Credit Sample 1
• Letter of Credit Sample 2

Once the bank or the insurance company completes the form, return the original with either:

• An Evidence of Authority (for a Letter of Credit)
• Power of Attorney (for a Surety Bond)

Send to:

FPL
Deposit Administration
9250 W. Flagler Street
Miami, FL 33174

or

FPL
P. O. Box 025209
Miami, FL 33102

Your cash deposit will be applied to your electric bill as soon as the Surety Bond or Letter of Credit is received and approved.

If you should have any questions or need additional information, please e-mail us.