Pennyrile RECC deposit bonds.
From $100.
A member of Pennyrile Rural Electric Cooperative Corporation can post a utility deposit bond in place of a cash security deposit. Kentucky PSC rules at 807 KAR 5:006, Section 8 let the co-op require a deposit and permit a bond as the "other guaranty." The bond is priced at 2% of the bond amount, $100 minimum.
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How much does a Pennyrile RECC deposit bond cost?
2% of the bond amount, from $100. Enter your amount in the calculator for the exact price.
Three steps. One sitting.
No underwriting queue for the standard utility deposit bond — enter your amount, pay, and give the executed bond to Pennyrile. Here is the whole thing:
Apply online
Your details, the deposit amount Pennyrile RECC required, and the effective date — that is the application.
Issued on the spot
No waiting — the executed bond is generated as soon as you pay. No credit check up to $15,000. Larger amounts may get a brief review.
File with Pennyrile
Submit the executed bond to Pennyrile RECC in place of your cash deposit. Wet-ink originals mailed whenever the co-op insists.
What it is and who needs it.
What the utility deposit bond actually does
Pennyrile Rural Electric Cooperative Corporation is a member-owned electric distribution cooperative serving parts of southwestern Kentucky. As a Kentucky Public Service Commission–jurisdictional utility, it is subject to the PSC’s general service rules, and under 807 KAR 5:006, Section 8, "a utility may require from a customer a minimum cash deposit or other guaranty to secure payment of bills" — most often for a new account without an established payment history, or one re-establishing service.
A utility deposit bond is the surety alternative the regulation contemplates as "other guaranty." Instead of leaving cash sitting with Pennyrile, sometimes for years, you post a bond for the same amount. Pennyrile is the obligee, and the bond guarantees payment of your utility charges up to the bond amount.
Where billing history exists, 807 KAR 5:006 calculates the deposit from your average bill over the most recent 12 months, capped at two-twelfths (2/12) of your actual or estimated annual bill for monthly billing. If bills go unpaid and Pennyrile is harmed, it can recover against the bond — and if the surety pays, you repay the surety. We issue the amount Pennyrile set, priced at 2% of the bond amount, $100 minimum, freeing up the cash you would otherwise have on deposit.
You need this bond if you are
Claims, renewal, filing, and what sets the price.
If a claim is made
A claim comes from the party the bond protects, the obligee named on the form, when the duty the bond guarantees is not met.
The surety investigates and pays a valid claim, up to the bond amount. You then repay the surety: a surety bond is a guarantee of your performance, not insurance for you.
Renewal and term
The premium covers a one-year term from the effective date you choose.
Renew before the expiry date to keep the bond in force: the license, permit or contract it backs expects continuous coverage.
How to file it
File with Pennyrile. Submit the executed bond to Pennyrile RECC in place of your cash deposit. Wet-ink originals mailed whenever the co-op insists.
What sets the price
The premium is 2% of the bond amount, $100 minimum: the amount the obligee sets moves the price, not your business profile.
No credit check up to $15,000. Above that, the carrier may run a soft pull, which never affects your score.
Where a check runs, it decides approval; the rate is the same for everyone approved.
One application, issued on the spot.
Submit the application with the deposit amount Pennyrile RECC set — the executed bond is generated instantly, ready to give the co-op in place of cash.
Start the application →Common questions.
Other Kentucky bonds.
Price and requirements checked on the carrier’s application, . Page updated .
Skip the cash deposit.
Pricing from $100. Enter the deposit Pennyrile RECC required and keep your cash free.