MLGW bills could go up soon for residential customers
By: Darrell Castle
Memphis Light, Gas and Water has a monopoly here in Memphis – they’re the only utility service provider. This means, if they raise their rates, then you must pay them.
Cargill, MLGW’s largest water customer, is closing at the beginning of next year, causing MLGW executives to propose a 35-cent per month increase to the water rate for residential customers. This is their effort to offset the financial loss of Cargill.
In Memphis, a city struck with mass poverty, many people are struggling to pay their utility bills as they stand, and certainly can’t afford an increase.
If this increase passes (it must be approved by Memphis City Council), then these customers on the borderline of being able to make their current payments – or not – will need to take action to re-budget their income, or reduce water usage.
American Water and Energy Savers offers some tips on reducing your water usage at home:
- Check your home for hidden water leaks
- Take shorter showers.
- Don’t let water run while shaving or washing your face.
- When washing dishes by hand, fill one sink with soapy water and use the other side for quick rinsing under a slow-moving stream from the faucet.
What can you do if you fall behind on your payments?
If you fall behind on your payments, it’s important to take action and not just let the unpaid bill sit there – it’ll just get larger and more uncontrollable.
Instead, you can include your utility bill in a Chapter 7 or Chapter 13 bankruptcy. Once the bankruptcy is filed, MLGW will be contacted and informed that you filed bankruptcy and they will be forced to keep your utilities on instead of cutting them off.
How does a bankruptcy work?
By filing for bankruptcy, you can discharge your debt through a Chapter 7, or lump your debt into an AFFORDABLE long-term repayment plan through a Chapter 13. Then, once the bankruptcy is complete, your debt is gone and you have a fresh start to begin spending the RIGHT WAY.
When you include your MLGW bill in a bankruptcy, a new account will typically be opened and you pay a new deposit.
What will a bankruptcy do to my credit?
People are usually concerned that a bankruptcy will ruin their credit score, but that’s not the case. If you’re behind on your bills, then your credit score is probably not good in the first place, and a bankruptcy will provide you with that fresh start you need to rebuild it.
At Darrell Castle & Associates, we not only want to help you get out of debt through a bankruptcy, but we also want to provide you with the tools to succeed after.
We offer our clients, free of charge, access to our online credit restoration program, 7 Steps to a 720. This program teaches you the tips and tricks the banks don’t want you to know in regards to re-establishing and rebuilding your credit score to an A rating.
How can I file for bankruptcy?
If you’re considering filing for bankruptcy, or if you have any questions, you can call (901) 327-2100 to schedule a FREE consultation with one of our experienced bankruptcy attorneys. Or, you can fill out one of the contact forms on this page.