What is a letter of credit used for and how is it created?
The letter of credit is typically used to potentially avoid paying a deposit. The auditor or supervisor at the customer service office will review the customer's utility payment history and put together the letter of credit which states whether or not there have been late payments within the last year or other activities relating to delinquency, if they have not made on time payments.
Who can request a letter of Credit?
A letter of credit may be requested by the account holder on record. Additionally third party on the account is also eligible to request a letter of credit.