Common use of Security Payments Clause in Contracts

Security Payments. “Deposit” 1. We may require the Customer to pay a Security Payment in an amount determined by us, including without limitation, under the following circumstance: a) If the Customer does not have a satisfactory credit rating or credit history, as reasonably determined by us. b) If the Customer is a business account and has a calculated combined A/R and volume risk greater than the amount reasonably determined and approved by our internal credit and risk department. c) If the Customer chooses a rate that is offered subject to the provision of a Security Payment d) If the Customer’s previous supply of electricity or natural gas was cancelled for non-payment 2. The minimum amount of Security Payment is based on your credit rating; and/or the selected Electricity or Natural Gas rate; and/or the tariff rate code as assigned to your site by the Distribution Company. If you choose a Variable Rate plan the maximum amount of Security Payment will be equivalent to two times the average monthly Electricity or Natural Gas bill. We reserve the right to request an increase of the Security Payment if the amount originally collected by us is lower than two times the average monthly Electricity or Natural Gas bill. 3. The full amount of the Security Payment must be debited from your bank account prior to the site enrolment date or, if you choose to switch from a Variable Rate to a Fixed Rate, prior to the start date of a Fixed Rate. 4. We will pay you an annual simple interest rate of 0.5% on the Security Payment, which will be applied as a credit on your account at the time that the Security Payment is returned to you. 5. If we do not receive your normal monthly payment for energy consumed by the due date indicated on the bill, we reserve the right to apply the funds from the Security Payment and interest toward the outstanding billed amount and de-enroll the site(s). If the site(s) are de- enrolled, the Security Payment may also be applied by us to offset costs incurred for consumption up to the date of de-enrollment as well as any costs incurred due to the early termination of the remaining Fixed Rate energy. After payment of all amounts by you to us any remaining funds including accrued interest will be returned to you. 6. Return of the Security Payment or a portion thereof: a) will occur as a credit to an active account after twelve (12) months of excellent and reliable payment history; b) will occur as a refund to an inactive account after a final bill has issued with a zero or credit balance, where all meter readings up to the date of de-enrollment have been invoiced. Refunds are made by Interac e-transfer. If Interac e-transfer is not available, we reserve the right to provide any applicable Refund to you by the method of our choice.

Security Payments. “Deposit” 1. We may require the Customer to pay a Security Payment in an amount determined by us, including without limitation, under the following circumstance: a) If the Customer does not have a satisfactory credit rating or credit history, as reasonably determined by us. b) If the Customer is a business account and has a calculated combined A/R and volume risk greater than the amount reasonably determined and approved by our internal credit and risk department. c) If the Customer chooses a rate that is offered subject to the provision of a Security Payment d) If the Customer’s previous supply of electricity or natural gas was cancelled for non-payment 2. The minimum amount of Security Payment is based on your credit rating; and/or the selected Electricity or Natural Gas rate; and/or rate and the tariff rate code as assigned to your site by the Distribution Company. If you choose a Variable Rate plan the maximum amount of Security Payment will be equivalent to two times the average monthly Electricity or Natural Gas bill. We reserve the right to request an increase of the Security Payment if the amount originally collected by us is lower than two times the average monthly Electricity or Natural Gas bill. 3. The full amount of the Security Payment must be debited from your bank account prior to the site enrolment date or, if you choose to switch from a Variable Rate to a Fixed Rate, prior to the start date of a Fixed Rate. 4. We will pay you an annual simple interest rate of 0.5% on the Security Payment, which will be applied as a credit on your account bill at the time that the Security Payment is returned refunded to youthe your account. 5. If we do not receive your normal monthly payment for energy consumed by the due date indicated on the bill, we reserve the right to apply the funds from the Security Payment and interest toward the outstanding billed amount and de-enroll the site(s). If the site(s) are de- de-enrolled, the Security Payment may also be applied by us to offset costs incurred for consumption up to the date of de-enrollment as well as any costs incurred due to the early termination of the remaining Fixed Rate energy, such amounts not to exceed the amount of the Security Payment. After payment of all amounts by you to us any remaining funds including accrued interest will be returned refunded to you. 6. Return of the Security Payment or a portion thereof: a) will occur as a credit to an active account after twelve (12) months of excellent and reliable payment history; b) will occur as a refund to an inactive account be made after a final bill has is issued with a zero or credit balance, where all meter readings up to the date of de-enrollment have been invoiced. Refunds are made by Interac e-transfer. If Interac e-transfer is not available, we reserve the right to provide any applicable Refund to you by the method of our choice.