Unpaid Utility Bills Can Appear on Your Credit Report

The only way that the utility bill can appear on your credit report is if it is an unpaid bill.  Many utility companies will sell the unpaid amount as debt to a collection agency.  While a utility company usually does not report payment history to the credit bureau of which means that if you have a positive payment history and have been paying all your bills in time than that information will not get reported to the credit bureau.

But if you have unpaid payments and they get sold to a collection agency then the collection agency will report this account to the credit bureau and most probably a new account will be opened in your credit report as a collection account.
The reasons that utility companies do not report data to the credit bureaus is that, that system is not yet in place, it is not sure whether the utility payment serves as just as indicator or credit risk as the traditional credit and many states prohibit the reporting of utility data the credit companies. But this is something that is being looked into and it might be possible that consumer data from utility companies may start getting reported to the credit bureaus. It will be helpful who are trying to build a credit history for the first time such as youngsters, divorced couples ( especially women) etc.

For now, only unpaid utility bills are likely to find their way on your credit report when they are transferred to a collection agency.