Having access to clean running water is a basic necessity. However, if you fail to pay your water bill, that necessity could be taken away. Unfortunately many homeowners find themselves in situations where they cannot afford to pay their water bill. If you stop paying your water bill, there can be serious consequences. In this comprehensive guide, we will explore what happens when you don’t pay your water bill and provide steps you can take if you are struggling to make payments.
Overview of Water Billing
Before we dive into the consequences, let’s first understand how water billing works. Most places get their water from either the city’s water department or a private utility company. These groups send you a water bill on a regular basis that includes a charge for the water you used and any service fees.
As a customer you have an obligation to pay for the water you use. The bill is essentially a contract between you and the water provider. Failing to pay violates that contract and can lead to the actions we will discuss next.
Consequences of Not Paying Your Water Bill
If you miss a payment or two, you may just be assessed a small late fee. However if you go multiple billing cycles without paying, there can be serious ramifications
1. Disconnection of Service
Not paying your water bill will most likely lead to having your service cut off. If bills aren’t paid for a certain amount of time, like 60 days, the water company can cut off service.
Obviously, going without running water poses major inconveniences. You won’t be able to bathe, wash dishes, flush toilets, wash laundry, and more. Having your water disconnected can make a home uninhabitable.
2. Reconnection Fees
If your water service is turned off, you will probably have to pay a fee to get it back on. Sometimes the fees are over $100, but most of the time they are around $30. You’ll also still owe the past due amount before service is restored.
3. Property Liens
If you owe a substantial amount in past due water bills, the utility provider may place a lien against your property. A lien gives them legal claim to your property as security for the unpaid debt. If you eventually sell the property, the lien would have to be settled before the sale can close.
4. Impact on Credit Score
Having severe delinquencies or collections with your water provider could negatively affect your credit score. While they don’t directly report to credit bureaus, if the account goes to a collections agency, that will show up on your credit report. A lower score makes it harder to qualify for loans, credit cards, and other financing.
5. Tax Liens
In some cases, cities add unpaid water bills to your property taxes. Failure to pay could then result in a tax lien against your property until the debt is resolved.
6. Lawsuits and Foreclosures
For very large unpaid water bills, the city or utility company may pursue legal action. They can sue you to recover the amount owed. If they win a judgment against you, they could potentially foreclose on your home to collect the debt.
What to Do If You Can’t Pay Your Water Bill
If making water bill payments has become difficult, take action as soon as possible. Here are some steps to take that could help avoid disconnection or other consequences:
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Contact the water provider – Let them know about your situation and see if they can offer an alternate payment plan, temporary hardship assistance, or other options.
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Look into financial assistance – Many municipalities and non-profits offer assistance programs for those struggling to cover utility bills.
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Prioritize water payments – As hard as it is, try to shuffle your budget to pay the water first, as it’s difficult to go without.
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Seek help from local charities – Organizations like the Salvation Army sometimes provide aid for critical bills.
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Consider water bill loan – Short-term personal loans can help cover an urgent water bill. Just be wary of predatory lenders and high fees.
In Summary
Going without water service would present a major hardship, so it’s imperative to take non-payment issues seriously. If you do not pay your water bill for an extended time, you could face disconnection, fees, property liens, credit damage, and even lawsuits. But by reaching out early, you may be able to access assistance and alternative payment options. With proactive steps, you can potentially avoid the negative legal and financial consequences of unpaid water bills.
Saving money on water bills
There may be things you can do to cut down on water bills in the future. This could prevent you from getting into further debt. Getting a water meter, getting on a special payment scheme if there is one, and using less water can all help.
- For more about getting help with water bills see Help with water bills.
- For more about water meters, see Changing to a water meter.
Negotiating with your water company
Speak to your water company when you realise you can’t pay your bill. If you work out what you can pay and agree this with them, it will avoid you having the stress and expense of going to court and being charged extra costs. It will also mean that your credit rating isn’t affected.
Each water company should have a code of practice for dealing with customers who owe money. Contact your company to ask for a copy of their code of practice – you should find contact details on your bill. Use this code of practice to come to an arrangement about paying back what you owe.
Phone, then write to your water company, and offer an amount you can pay based on your current use of water and what you can afford towards the amount you owe. Some companies have a debtline service.
To work out how much you can afford to pay towards the amount you owe, work out how much money you have coming in, what you have going out and what other debts you have. The company should be sensitive and take into account your ability to pay. Occasionally, it might be possible to have the debt written off so you don’t need to pay it at all.
Your water company may refuse your payment offer if it isnt enough to clear your current water bill and the amount you owe. However, you should still consider making any payments you can afford and keeping your proof of payment. This could help you argue later that you have been as reasonable as possible and acted in good faith to clear any debts.
- Get help with bills if youre trying to cut your spending or having problems with your outgoings.
If you are on certain benefits, you can get a third party deduction on a scheme called Waterdirect. This means the Department for Work and Pension pays something from your benefits directly to the water company. The water company may ask for this is if all other ways of paying haven’t worked.
If youre unsure how best to negotiate with the water company, Citizens Advice may be able to help. If youre unhappy with your water company’s response, you can ask the Consumer Council for Water to look into the issue on your behalf.
Your water company may have special schemes to help particular groups of people or to help clear debt.
You may also be able to get help from a scheme called Watersure. If you are a customer of Welsh Water, you may able to get help from The Welsh Water HelpU scheme.