Loudon electric deposit bonds.
From $100.
Instead of tying up cash, the City of Loudon lets a customer post a surety bond to secure an electric-service account. The city’s utility department sets the deposit amount — premiums start from $100, so you keep your cash.
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How much does a Loudon electric 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 deliver it to the city. Here is the whole thing:
Apply online
Your business details, the deposit amount the city 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. Above $15,000, a soft pull may add a short review.
Deliver to the city utility department
Submit the executed bond to the City of Loudon utility department in place of your cash deposit. Wet-ink originals mailed on request.
What it is and who needs it.
What the utility deposit bond actually does
When you open or hold a City of Loudon electric-service account, the utility can ask for a security deposit against unpaid bills. Rather than leaving cash on deposit, you can post a utility deposit surety bond for the same amount — the city is protected, and your money stays in your business.
It is a three-party arrangement: you (the principal), the surety carrier, and the City of Loudon (the obligee). If the account goes unpaid, the city can recover the unpaid balance against the bond up to the deposit amount it set.
It is not insurance for you — if the surety pays a claim, you repay the surety. For most customers the bond is simply a cheaper way to satisfy a deposit than tying up the full amount in cash. We issue the city's amount from $100, and no credit check up to $15,000.
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
Deliver to the city utility department. Submit the executed bond to the City of Loudon utility department in place of your cash deposit. Wet-ink originals mailed on request.
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 the city set — the executed bond is generated instantly, ready to deliver.
Start the application →Common questions.
Other Tennessee bonds.
Price and requirements checked on the carrier’s application, . Page updated .
Bond your deposit, keep your cash.
Premiums from $100. Enter the city’s deposit amount and deliver the same day.