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Solar scams
Solar scams: red flags and what to do
The sales tactics regulators keep finding, how to tell a bad deal from a scam, and where to report it.
Last verified October 9, 2026
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The short answer: Not every bad solar deal is a scam, but complaints across the country share the same patterns: promises of a zero electric bill, “free” solar, salespeople implying they work for the utility or a government program, hidden dealer fees, tax credit pitches that didn’t apply, and loans that jump around month 19. The CFPB documented several of these in the CFPB’s 2024 Issue Spotlight. Report deceptive sellers at ReportFraud.ftc.gov.
Key takeaways
- Fake utility or government affiliation is a classic red flag.
- "Free solar" doesn't exist.
- Tax credit pitches often didn't apply.
- Hidden dealer fees and payment jumps were documented by the CFPB.
- Keep paying while you sort it out.
On this page
Red flags
"We're with your utility"
Solar sellers aren't your utility. Some states now require sellers to say so in writing.
"Free solar" or a "government program"
Leases, PPAs and loans all cost money over time.
A 30% tax credit pitch
The federal residential credit ended for systems installed after December 31, 2025.
A low payment for 18 months
Then a jump unless you make a large lump-sum payment.
"Your bill will be zero"
Utility credits rarely work that way.
Sign tonight
Pressure to sign everything on a tablet in one sitting.
What to do if you think you were scammed
- Keep paying to protect your credit and position.
- Gather everything: contract, notices, proposal, loan terms, texts.
- Write down what you were told while you remember it.
- Check county records for a UCC-1 filing.
- Report it to the FTC and your state Attorney General.
- Request a free intake.
Think you were scammed?
A free intake checks your paperwork against federal and state law.
Scams after the sale
Some homeowners get a second round of calls: offers to “cancel” for a large upfront fee, to refinance, or to add a battery that will “finally” deliver savings. Be cautious of anyone who demands money upfront, tells you to stop paying or guarantees a result.
Common questions
Solar scam FAQs
How do I know if I was scammed?
Fake affiliations, hidden costs, tax credit promises and missing cancellation notices are major red flags.
Where do I report a solar scam?
The FTC at ReportFraud.ftc.gov and your state Attorney General.
Should I pay a company to cancel my contract?
Be cautious of upfront fees and guarantees.
Find out where your solar contract stands
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Solar Cancellation HQ is not a law firm and does not provide legal advice. This page is general information, and reading it or submitting a form does not create an attorney-client relationship. Not every contract qualifies, and no outcome is guaranteed. We never advise anyone to stop making payments on a solar loan, lease or PPA. Laws and utility rules change, so verify before acting. Last verified October 9, 2026.