Utility arrears in 2026
The National Energy Assistance Directors Association (NEADA) said in June 2026 that 1 in 6 U.S. households is behind on utility bills, and it projected total utility debt at about $25 billion by the end of 2026 (association research).
Wider shutoff protections and longer payment plans mean balances age before they’re placed. So the first contact from your agency has to count, and it has to sound like something your customer service team would sign off on, because many of those customers will still be yours next winter.
What TSI collects for utilities
| Account or task | What TSI does |
|---|---|
| Final-billed residential accounts, first placement | Third-party collection by letter, call, email and text in TSI’s name, with payment plans and settlements inside the rules you set |
| Accounts returned from a first placement | A second placement with further skip tracing and contact |
| Older accounts held long term | Warehouse placements for low-balance and aged accounts |
| Commercial accounts | Collection from business customers, with disputes worked against your billing records |
| Active accounts before a final bill | Customer care and payment calls in your name through TSI’s CXBPO service |
| Credit reporting | Only when you direct it. TSI updates the bureaus monthly and makes manual updates for deletions and corrections as needed |
TSI collects for investor-owned, municipal and cooperative utilities, in regulated and deregulated markets, through its Accounts Receivable Management (ARM) service. For scale, TSI has more than $20 billion in receivables under management in Accounts Receivable Management and reports more than $1.5 billion recovered for clients in calendar 2025.
Telecom, cable and broadband providers have their own page: collections and customer care for telecom and cable.
What stays with the utility
Disconnection, reconnection, deposits and tariff terms stay with you under your state commission’s rules. TSI works the balances you place and follows your limits on settlements and payment plans.
Collectors can refer customers to your payment-assistance programs using scripts you approve. Third-party collection on residential accounts follows the Fair Debt Collection Practices Act and the Regulation F call limits.
How the work runs
- Files move from your CIS
Placement, payment and recall files move between your customer information system (CIS) and TSI by secure file transfer. TSI also works with SAP-based billing environments. - Collectors work each tier
First placements, second placements and warehouse accounts each get their own contact plan, in English and Spanish, with an interpreter service for other languages. - Customers pay the way they want
Customers can pay through a self-service portal, a 24/7 phone line or digital wallets, when they’re ready. - You see results by months held
Monthly stair-step reports show cumulative liquidation by months held, so you can compare placements of different ages.
Customer care before the final bill
Collections is only half the job. Billing questions, payment arrangements and storm calls hit the same phones, and a long hold time can turn into a complaint to your commission.
TSI’s CXBPO service can take customer care and payment calls in your name. Contact-center work for outages and billing surges is a separate CXBPO engagement with its own scope. Before winter, work through our 10 questions for utility customer care.
How to compare utility agencies
Ask each agency for results by placement tier and months held, on accounts like yours. Then compare net recovery after fees, complaints and disputes.
Where TSI isn’t the fit: TSI works accounts on your behalf and doesn’t buy them. Each portfolio is quoted on its own, with no public rate card, and TSI doesn’t yet publish outcome comparisons across clients, so the Diagnostic measures results on your accounts.
Frequently asked questions
Does TSI work with municipal and cooperative utilities?
Yes. TSI collects for investor-owned, municipal and cooperative utilities, in regulated and deregulated markets.
Will TSI report our customers to the credit bureaus?
Only when you direct it. When you do, TSI updates the bureaus monthly and makes manual updates for deletions and corrections as needed.
Can TSI work with our billing system?
Yes. Files move between your CIS and TSI by secure file transfer, and TSI works with SAP-based billing environments.
Does TSI decide on disconnections?
No. Disconnection, reconnection and deposit decisions stay with you. TSI works the balances you place, under your rules.
See what your final-billed accounts are netting
The Recovery Performance Diagnostic sets baseline economics on one placement tier or segment, reviews contact strategy and complaint risk, and designs a carve-out you can run beside your current agencies.
As of October 2026, TSI collects past-due and final-billed accounts for investor-owned, municipal and cooperative electric, gas and water utilities through its Accounts Receivable Management (ARM) service. Through CXBPO, it can also take customer care and payment calls in your name. Disconnection and tariff decisions stay with you, under your commission’s rules.
Results vary by portfolio, including account age, balance and type, and by client program.
Got a letter or call from TSI about your own account? Go to the Consumer Support Hub
General information, current as of October 27, 2026. It isn’t legal advice. Rules change and differ by state, so check the sources linked here and talk to your own counsel before you act on it.