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How to Avoid a Solar Scam

By: Eric Huesca, SEO Content Writer
June 27, 2023

Solar energy is not just a renewable energy source; it’s a smart investment for the future. As we globally shift towards renewable energy, the solar industry is experiencing tremendous growth. However, alongside legitimate solar companies, scam artists have also found their way into the market, attempting to capitalize on unsuspecting consumers. Is solar a scam? As potential solar adopters, it’s crucial to discern the genuine from the counterfeit, ensuring that your move towards a sustainable future isn’t hindered by a bad experience. 

Big Solar Scams highway sign

Big Solar Scams highway sign.

Understanding Solar Panel Scams

Solar scams can take numerous forms, making them sometimes challenging to identify. Deceptive practices may include aggressive sales tactics, unrealistic promises, lack of transparency, or even identity theft. Scammers might exaggerate potential savings, misrepresent government incentives, or sell low-quality equipment at inflated prices. The key to avoiding a solar scam is understanding these deceptive practices and knowing how to verify the credibility of a solar company.  

Common Solar Scam Tactics

To avoid a solar scam, it’s crucial to familiarize yourself with some of the common tactics used by scammers. These include: 

  • Overstating Savings: While solar energy can save you money over time, scammers often exaggerate these savings to lure you into a deal. 
  • High-Pressure Sales: Scammers may use high-pressure sales tactics, rushing you to make a decision without thoroughly researching or understanding the contract. 
  • Misrepresentation of Government Incentives: Some scammers may claim that you are eligible for government incentives that do not exist or for which you do not qualify. 
  • Inflated Prices: Scammers often sell low-quality solar products at inflated prices, or they might charge you for services that were never provided. 

How to Spot a Solar Scam

Identifying a free solar scam can be difficult, but there are red flags to watch for: 

  • Lack of Communication: If a company is difficult to get in touch with, doesn’t have a physical address, or doesn’t provide detailed contract terms, this should be a cause for concern. 
  • Overly Aggressive Sales Tactics: If a company pushes you to make a decision immediately or provides a ‘too good to be true’ offer, it may be a scam. 
  • No Custom Design: Every home is unique, and so should be the solar energy system. If a company offers a one-size-fits-all system without assessing your home, be wary. 
  • Negative Reviews: Online reviews can be an invaluable source of information. If a company has many negative reviews or complaints, it’s a red flag. 

Zero Down Solar: Misconception or Scam?

The concept of zero down solar, or solar leasing, is often a point of confusion and misunderstanding, sometimes painted as a scam due to misconceptions. Is no cost solar a scam. 

 The truth is, zero down solar is a legitimate and beneficial model for many homeowners looking to switch to solar energy. 

Here’s how it works: A solar company installs a solar power system on your property at no upfront cost. In return, you sign an agreement to purchase the electricity produced by the solar system at a predetermined rate for a set period, usually 20 to 25 years. The rate is often lower than the traditional electricity price, meaning you can start saving money from day one. 

What makes this deal appealing is the absence of upfront costs and the responsibility of maintenance. The solar company retains ownership of the solar panels and, therefore, the responsibility for maintaining and repairing them. It allows you to enjoy the benefits of solar power without the burden of unexpected maintenance costs. 

However, not all zero down solar deals are equal. The terms of the contract can vary significantly between companies. Some might offer excellent rates and full maintenance, while others may have hidden fees or high escalator clauses. As with any agreement, it’s essential to carefully read and understand the contract before signing. 

This model is often falsely identified as a scam due to its too-good-to-be-true appeal. In reality, zero down solar is a viable solution for those unable to afford the upfront cost of solar panels. Like any significant investment, due diligence is necessary to ensure you are dealing with a reputable company and getting a fair deal. 

How to Protect Yourself

  1. Always Research: Before selecting a solar company, research its reputation, check their license, and read online reviews. 
  2. Get Multiple Quotes: Getting quotes from multiple providers allows you to compare prices and services. 
  3. Understand the Contract: Read the contract thoroughly, ensure you understand all the terms and conditions, and don’t be afraid to ask questions. 
  4. Seek Independent Advice: Consider getting independent advice from a solar consultant or legal advisor before making any significant investments. 

Wrapping Up: The Path to Safe Solar Adoption

Adopting solar energy can provide multiple benefits, from energy savings to reducing your carbon footprint. While the risk of scams can be daunting, it shouldn’t deter you from harnessing the power of the sun. By being vigilant and well-informed, you can effectively avoid a solar energy scam and make your journey towards sustainable living safe and rewarding. 

In conclusion, while the rise of solar energy has unfortunately given rise to scams, the good news is that they can be avoided. Armed with knowledge, due diligence, and cautious decision-making, you can protect yourself from falling prey to these frauds and confidently invest in your solar-powered future. 

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Solgen Power is a solar energy contractor that sells and installs solar for homeowners. Solgen Power has been recognized by INC. 5000 as one of the fastest growing companies in the nation. Solgen Power has grown nationwide and continues to provide excellent customer service to homeowners.

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Copyright © 2022 Solgen Power, All Rights Reserved