Hardship Letter for Utility Assistance (LIHEAP + Local Programs)

Quick answer summary

A strong hardship letter for LIHEAP and local utility programs should:

• Clearly explain what changed (job loss, illness, reduced hours, fixed income, emergency expense)

• Show the numbers (monthly income, essential expenses, past-due balance, and what you can pay)

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  Include your utility account details and any shut-off notice date

• Ask for a specific outcome (grant approval, crisis help, disconnection hold, arrears assistance, payment plan)

• List the documents you attached (ID, proof of income, lease, utility bill, notice, medical note if relevant)

LIHEAP is a federally funded program run through your state/tribe that can help with heating/cooling bills and crisis situations, and many areas also offer local grants, charity funds, and weatherization that can lower bills long-term. Administration for Children and Families+1

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What a “hardship letter” does (and why it works)

A hardship letter is a short, honest explanation of:

1. The problem (you’re behind, you received a shut-off notice, you can’t keep up due to a hardship),

2. The cause (what changed and when), and

3. The solution you’re asking for (assistance + a realistic plan going forward).

Programs that help with utilities often have limited funds and strict documentation rules. The letter helps a caseworker quickly understand your situation without guessing, so they can match you to the right bucket of help (regular assistance vs. crisis help vs. arrears grants vs. referrals).

My money-saving take: Don’t try to sound dramatic. Sound organized. The most effective hardship letters read like a clear, respectful “financial snapshot” plus a specific ask.

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LIHEAP in plain English (what it can cover)

LIHEAP (Low Income Home Energy Assistance Program) can help eligible households with things like:

• Bill payment assistance (help paying heating/cooling costs)

• Energy crisis assistance (e.g., disconnection notice, service already off, low/no fuel)

• In some states, additional support connected to weatherization and minor energy-related repairs (often coordinated alongside other programs)

LIHEAP is federally funded but administered by states, territories, and tribes, so the exact rules, benefit amounts, and application steps vary by location. Administration for Children and Families+1

Quick eligibility reality check

If you want a fast “am I possibly eligible?” screening, the official LIHEAP eligibility tool can help you estimate based on your situation (it’s not a final determination, but it’s a helpful gut-check). LIHEAP Clearinghouse

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“Local programs” that can help even if LIHEAP is slow or you don’t qualify

Think bigger than one program. Many households get help through a stack of resources:

• Utility company programs: hardship funds, matching payment plans, arrears forgiveness programs, budget billing, and medical-based protections (varies widely).

• Community action agencies (often the LIHEAP intake office locally).

• County/city assistance programs (emergency grants, crisis prevention funds).

• Nonprofits & faith-based orgs: Salvation Army-type programs, local churches, community foundations.

• 2-1-1 referrals: This is one of the fastest ways to find legitimate help near you without endless Googling. 211+1

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Why this matters right now (a few stats for context)

If you feel like you’re the only one falling behind, you’re not. A recent analysis reported that past-due utility balances rose to an average of about $789 (April–June 2025) and that millions of households have utility debt severe enough to risk collections. AP News+1
Separately, reporting based on the Census Bureau’s Household Pulse Survey has found roughly about 23% of households couldn’t pay an energy bill (or couldn’t pay the full amount) for at least one month in the prior year. Neada+1

Translation: asking for help is normal. Your goal is to ask in a way that gets processed quickly.

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The best structure for a hardship letter (copy this format)

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Keep it to one page if possible. Use short paragraphs and a simple list of numbers.

Must-have details

Include these every time:

• Full name + address

• Utility provider name + account number

• Best phone/email

• The problem (past-due amount + shut-off date if you have one)

• The hardship (what happened, when, and how it impacted income/expenses)

• Your current financial snapshot (income + essential expenses)

• The exact help you’re requesting (LIHEAP assistance, crisis grant, arrears help, disconnection hold)

• Attachments list

• Signature + date

The “numbers” that make letters believable

You don’t need a long budget spreadsheet, but you do need credibility:

• Monthly take-home income (or benefits)

• Rent/mortgage

• Food

• Transportation

• Medical/insurance

• Childcare (if relevant)

• Any court-ordered payments (if relevant)

• What you can realistically pay toward utilities right now

My opinion: If you can offer any small payment (even $25–$50) while you’re applying, mention it. It signals good faith and can help prevent shutoff while your application is processing.

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Hardship letter template (LIHEAP + local programs)

(Replace brackets with your info.)

[Your Full Name]
[Your Address]
[City, State, ZIP]
[Phone] | [Email]
[Date]

Re: Request for Utility Assistance (LIHEAP + Local Programs) – Account [Account Number]

To Whom It May Concern,

I am requesting utility assistance because my household is currently experiencing financial hardship and I am unable to keep up with my energy bill. My utility account with [Utility Company] is under Account # [Account Number], and my current past-due balance is $[Amount]. I received a shut-off/disconnection notice dated [Notice Date] with a scheduled shut-off date of [Shut-off Date] (if applicable).

My hardship began on [Date/Month] when [briefly explain what changed: job loss, reduced hours, medical issue, unexpected expense, fixed income not keeping up]. As a result, my household income is currently $[Monthly Income] per month. After paying essential expenses (rent/mortgage, food, transportation, and medical costs), I do not have enough remaining to bring my utility account current.

Here is my current monthly financial snapshot:

• Income: $[amount]

• Rent/Mortgage: $[amount]

• Food: $[amount]

• Transportation: $[amount]

• Medical/Insurance: $[amount]

• Other essential expenses: $[amount]

• Amount I can pay toward utilities right now: $[amount] on [date]

I am respectfully requesting assistance through LIHEAP and any available local utility assistance programs to help prevent disconnection and stabilize my account. If possible, I also request a temporary hold on disconnection while my application is reviewed.

Attached are copies of my identification, proof of residence, proof of income, and my most recent utility bill/shut-off notice. Please contact me at [phone/email] if any additional information is needed.

Thank you for your time and consideration.

Sincerely,
[Your Signature]
[Your Printed Name]

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Add-on paragraphs for common situations (paste one if it applies)

If you have a medical need (heat/AC is health-related)

“A stable indoor temperature is medically important for my household because [brief reason: asthma, COPD, oxygen equipment, elderly risk, infant, heat sensitivity]. I am requesting expedited review or crisis assistance to avoid a disconnection that could create a health and safety risk.”

If the hardship is temporary and you can recover soon

“This hardship is expected to be temporary. I anticipate improvement by [date] due to [new job start date, benefits approval, hours returning, seasonal work]. Utility assistance now would help me avoid disconnection and regain stability.”

If you’re behind because of one emergency expense

“The main reason I fell behind is a one-time emergency expense of $[amount] for [car repair, medical bill, funeral, move, essential home repair] on [date]. I am now trying to catch up while keeping housing and basic needs stable.”

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A real-life example (how this looks in the real world)

Example: Danielle works retail, and her hours were cut from 35 to 18 per week in October. Her electric bill spiked during a cold snap, and she got a shut-off notice for $612 past due. In her letter, she:

• listed her reduced pay and exact monthly take-home,

• showed rent and childcare costs,

• asked specifically for LIHEAP + any arrears assistance,

• offered $50 immediately and requested a disconnection hold while her application was processed.

That mix of clarity + numbers + a specific ask is exactly what programs need.

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How to avoid delays (the mistakes I see most often)

• No account number (this is a shockingly common slowdown)

• Being vague (“I’m struggling”) instead of specific (“hours cut on Nov 3; income dropped from $2,400 to $1,450/month”)

• Missing documents (income proof, lease, bill, shut-off notice)

• Asking for help but not saying what help (regular assistance vs. crisis shut-off prevention)

• Writing a 3-page story instead of a 1-page request with numbers

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Don’t miss this: weatherization can lower bills long-term

If your bill is high because your home is drafty, insulation is poor, or your heating system is inefficient, Weatherization Assistance can reduce energy costs by improving efficiency (sealing, insulation, safety checks, etc.). DOE notes eligibility is commonly tied to income (often at/under a set threshold) and states can use LIHEAP-related criteria as well. The Department of Energy’s Energy.gov+1

Also, if you’re searching online for help, stick to official sources because scammy sites love to promise “free government money.” USA.gov specifically warns that ads claiming the government offers “free money” to individuals for home repairs are often scams. USAGov

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Mini checklists

Checklist: what to do before you send your hardship letter

• Put your account number and service address at the top

• State the past-due amount and shut-off date (if any)

• Explain the hardship in 2–4 sentences

• Add a short income/expenses snapshot

• Ask for a specific outcome

• Attach documents and list them

• Sign and date it

Checklist: documents to attach (most commonly requested)

• Photo ID

• Proof of address (lease, ID, recent mail)

• Proof of income (pay stubs, benefits letter, unemployment, SSI/SSDI, child support proof)

• Recent utility bill + shut-off notice (if applicable)

• Medical note (only if relevant to expedited/health-based need)

• Any recent major expense proof (optional but helpful)

Checklist: quick call script to your utility company

• “I’m applying for LIHEAP/local assistance and I have a hardship letter and documents ready.”

• “Can you place a temporary hold on disconnection while my application is processed?”

• “Do you offer hardship funds, budget billing, or a payment plan tied to my income?”

• “Where should my agency send a pledge/approval letter?”

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Video section (helpful walkthroughs)

• “LIHEAP Can Help With Your Cooling Bills” (ACF) YouTube

• “The Weatherization Assistance Program: A Client’s Story” YouTube

• “Angela F. Williams Shares How 211 Can Help” (United Way) YouTube

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Sources

LIHEAP program overview and eligibility guidance; official LIHEAP eligibility tool; 2-1-1 utility assistance guidance; DOE Weatherization program and application info; USA.gov consumer warning on home-improvement “free money” scams; and recent reporting/analysis on utility debt and affordability. Census.gov+8Administration for Children and Families+8LIHEAP Clearinghouse+8

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Disclaimer

This article provides general educational information and templates, not legal advice. Program rules vary by state/tribe and by utility provider, so verify requirements with your local LIHEAP office or agency before submitting.