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The promise of clean energy and lower electric bills has made solar panels/solar array systems an appealing investment for millions of homeowners. But as the industry grows, so does the dark side of it: solar scams. From misleading contracts to fake installers, solar scammers are preying on consumers who just want to save money and do the right thing. If you’re considering going solar, it’s critical to know what the common scams look like. Here are some of the most common tactics used in solar fraud, and how to avoid them.
Some solar scammers show up uninvited at your door or flood your phone with urgent calls. They insist you must “act now” to qualify for a limited-time government rebate or to lock in a special rate. The goal? This is to get you to sign a contract before you’ve had a chance to read the fine print. It’s the classic tactic of door-to-door solar scam artists. A well-reviewed/legitimate solar company won’t rush you. They understand that going solar is a major investment and encourage you to compare quotes and ask questions.
Believe it or not, forged solar contracts are surprisingly common. The forgery occurs when a solar representative “signs” your name, typically on a DocuSign document. Telltale signs of forgery are when the email address listed for the “customer” is not your email address.
Another tactic involves burying hidden fees, balloon payments, or sky-high interest rates deep in the paperwork. Some scammers might even present a deal as “free solar” or “free solar panels” when you’re actually locking into a long-term lease with escalating costs. Always review the financial terms of your solar agreement carefully. If something doesn’t make sense, don’t sign, and don’t hesitate to get a second opinion.
Sometimes, homeowners are convinced to pay a hefty deposit upfront, only to have the contractor disappear, deliver cheap parts, or leave the job unfinished. Others install panels that aren’t connected properly or never activated. Make sure your installer is licensed, insured, and certified by the North American Board of Certified Energy Practitioners (NABCEP). Check their reviews and ask for references. Fly-by-night operators can scam an entire neighborhood and leave town before anyone has caught on to their tactics.
Solar scammers often misuse the names of federal, state, or local agencies to sound legitimate. They may say they’re working “on behalf of the Department of Energy” or claim you qualify for a rebate that doesn’t exist. Always verify incentive programs directly through official government websites. Don’t trust anyone who tells you they can “guarantee” a government grant or tax credit.
Not all leases are scams, but dishonest companies use them to trap homeowners in contracts that are hard to cancel or transfer. Some leases include escalating monthly fees, restrictive service terms, or make it difficult to sell your home. This type of solar contract fraud is some of the hardest to rectify. If you’re considering a lease, make sure you fully understand the terms. Ask what happens if you move, your maintenance obligations, and whether the system is insured.
The best defense against solar fraud is knowledge. Take your time, research thoroughly, and never sign anything under pressure. A reputable installer will gladly answer your questions and provide you with ample time to make a decision. And if you believe you’ve been misled or scammed, contact a reputable solar attorney.
Solar energy should be a wise investment, not a costly mistake. If you suspect solar fraud, contact us.
