AEP / Appalachian Power deposit bonds.
From $125.
Appalachian Power can require a business customer to post a security deposit or suitable guarantee before energizing or continuing service. Instead of tying up cash, the account holder can post a surety bond for the same amount. Pricing is 2% of the bond amount plus a $25 fee, $125 minimum.
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How much does an AEP / Appalachian Power deposit bond cost?
2% of the bond amount plus a $25 fee, from $125. 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 to Appalachian Power. Here is the whole thing:
Apply online
Your business details, your Appalachian Power account and service address, the deposit amount the company set, and the effective date — that is the application.
Issued on the spot
The bond issues the moment you pay — no credit check up to $15,000.
Deliver to Appalachian Power
Submit the executed bond to Appalachian Power to satisfy your deposit requirement and keep service connected. Wet-ink originals mailed on request.
What it is and who needs it.
What the utility deposit bond actually does
Appalachian Power is the American Electric Power operating company that serves electric customers across southwest Virginia. Like other utilities regulated by the Virginia State Corporation Commission, it can require a business customer to post a security deposit or suitable guarantee as security for payment of bills, and it lets account holders satisfy that requirement with a surety bond instead of cash.
The bond is a guarantee to Appalachian Power that your electric charges will be paid. If the account is closed with an unpaid balance, the company can recover against the bond up to the deposit amount, rather than against a cash deposit it would otherwise hold.
It is not insurance for you — if the surety pays Appalachian Power, you repay the surety. The advantage is cash flow: you pay a small premium instead of locking up the full deposit with the utility. Enter the figure Appalachian Power set and see your exact price — the bond issues the moment you pay, with 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 Appalachian Power. Submit the executed bond to Appalachian Power to satisfy your deposit requirement and keep service connected. Wet-ink originals mailed on request.
What sets the price
The premium is 2% of the bond amount plus a $25 fee, $125 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 Appalachian Power set — the executed bond is generated instantly, ready to deliver.
Start the application →Common questions.
Other Virginia bonds.
Price and requirements checked on the carrier’s application, . Page updated .
Free up cash instead of leaving it on deposit.
Rated at 2% of the bond amount plus a $25 fee, $125 minimum. Enter the figure Appalachian Power set and deliver the executed bond the same day.