The federal government is giving away solar panels? It could be a scam.
Solar energy is a popular choice for many Americans. They enjoy its benefits, including lower electricity bills over the system’s life. The popularity of solar energy has led to some bad actors spreading false information and engaging in fraudulent practices. Solar companies must be upfront and honest with their customers. However, consumers should know red flags to avoid scams when planning to go solar.
Don’t give in to aggressive sales tactics.
Solar energy is an important decision that should be carefully considered. The U.S. Department of Energy Solar Energy Technologies Office offers a FAQ to help homeowners considering using solar energy for their homes. Be sure to do your research and avoid aggressive sales pitches before you sign any contracts. There may be good reasons to act fast, like taking advantage of local incentives or before a deadline. However, the pressure to act now could also indicate something is wrong. Be sure to read the terms of your contract and consult several trusted sources. Do not hesitate to ask any questions.
If you are looking for a quote on a solar panel, be sure to use a legitimate platform, such as EnergySage. It will clearly state how they plan to use your data. If you see online forms that do not appear to be associated with a business and ask for your name, address, or other personal information to “see if you qualify” or offer offers such as “no energy bills,” this is a warning sign. These forms may generate leads without your consent or knowledge.
Certified Installers
A solar panel advertisement without branding or affiliation with a business should raise a red flag. Reputable companies stand behind their products, and they take responsibility for their actions.
When researching solar installers, make sure to read reviews from customers. This will help you choose the right one. Talking to neighbors and friends that have already gone solar is another helpful step. You can also ask them for their recommendations and their experience.
Verify that the person installing your solar panels is certified and licensed by an organization of repute, such as the North American Board of Certified Energy Practitioners. Compare quotes from multiple installers after they have assessed your roof.
Understanding Your Financing Options
The fine print of any offer that claims to provide free solar panels or other services is worth a closer read. No federal programs allow Americans to install solar panels for free. Some legitimate programs can help you get started with a meager initial cost. Some states offer subsidies for solar energy to income-qualified homes. Check to see if the program is listed on a.gov site or contact the state office directly to confirm the offer and learn more about how to take part.
You can reduce the upfront costs of your solar energy system if you decide to purchase it. A 30% tax credit can also be claimed by those who buy solar energy systems. It is not a refund or government check but a reduction of the income tax you would have otherwise paid. Read our Homeowner’s Guide to learn more about the federal tax credit for solar photovoltaics.
Solar leases or power purchase agreements enable consumers to host solar energy systems owned by solar companies and buy back the electricity generated. Customers enter agreements that often lower their electricity bills without paying monthly loans. Some solar systems require no upfront money.
Shop safely and spread the word.
Go solar now that you’ve learned how to identify a scam! Tell your family and friends to think about going solar to avoid scams.
Report scams to the Federal Trade Commission. If you live in a state with a consumer protection office, they may also be able to help.
You can check with your state licensing board if there are licensing requirements that protect consumers. The Solar Energy Industries Association has resources to help businesses learn about state and federal laws.