Dividend Solar Warranty / Performance Guarantee

[choatie88]

Has anyone else used Dividend Solar's EmpowerLoan to finance their project? They claim to provide a 15-year warranty as well as a 15-year performance guarantee (50% under production in 3-month period or 15% under production in 24-month period) as part of their financing program.

The background is that I got a great quote from an installer that seems kind of shady. Normally there's been enough warning signs that I wouldn't trust this installer, but if Dividend Solar is going to stand behind the work, how bad could it be? Their terms also specify that Next Phase Solar will service the warranty if the original contractor is unable to do so.

[J.P.M.]

Has anyone else used Dividend Solar's EmpowerLoan to finance their project? They claim to provide a 15-year warranty as well as a 15-year performance guarantee (50% under production in 3-month period or 15% under production in 24-month period) as part of their financing program.

The background is that I got a great quote from an installer that seems kind of shady. Normally there's been enough warning signs that I wouldn't trust this installer, but if Dividend Solar is going to stand behind the work, how bad could it be? Their terms also specify that Next Phase Solar will service the warranty if the original contractor is unable to do so.

Never heard of them, but I'd be dubious. Caveat emptor.

[Riverside Solar]

Expecting

Expecting a finance company to protect your construction project over a number of years sounds like a bad idea to me. Perhaps you could find an installer you trust and still use the finance company. Did they offer you good terms on financing or just production protection?

[choatie88]

The main advantage of the finance company is production protection. The financing terms are mediocre (6.45%) but there's no prepayment penalty.

Generally I think the finance companies will be around longer than the installers, except for the very largest installers. Certainly the finance companies, by virtue of being national and having more business, aren't as subject to the risks of particular state incentives / economies.

The pricing from the somewhat shady installer is pretty remarkable though - looking at $3.21/W for SolarWorld 285 + SolarEdge. Sungevity quoted me $3.43/W for 250W Hyundai with micro inverters, or $3.53/W for 270W (also Hyundai / micro inverters). I just wish the local installer's license numbers checked out...

[J.P.M.]

Why go with an installer who "seems kind of shady" ?

There's a lot more to a job than low buck. You will get what you pay for or less.

It's terrible to pay too much for something. It's usually worse to pay too little.

A bit more paid to an installer/vendor who has experience, a (good) reputation, and has been in business for a long time is usually worth a tough but fairly negotiated premium.

Also, get your roof inspected/serviced as necessary. Solar will likely last a long time. try to ensure the roof under it has the best chance to last as long. More upfront expense probably no one mentioned, but cheap insurance you won't regret.

[choatie88]

Fair enough, but if I want to go with experience, what options do I have other than the major national companies (Sungevity, SolarCity, etc.)? Angie's and Yelp have very little in the way of solar installers in the tri-state area. What reviews are there are for electricians who seem to do solar on the side, and the reviews generally don't address solar.

Maybe I'm making up the shadiness? The only reason I'm in doubt is because their price is so much better and the license numbers on their website don't seem to check out. The in-person experience has been top notch. We'll see how the salesperson responds to my questions about their licenses. The pricing isn't even that unreasonable based on other forum members' experience.

[J.P.M.]

Fair enough, but if I want to go with experience, what options do I have other than the major national companies (Sungevity, SolarCity, etc.)? Angie's and Yelp have very little in the way of solar installers in the tri-state area. What reviews are there are for electricians who seem to do solar on the side, and the reviews generally don't address solar.

Maybe I'm making up the shadiness? The only reason I'm in doubt is because their price is so much better and the license numbers on their website don't seem to check out. The in-person experience has been top notch. We'll see how the salesperson responds to my questions about their licenses. The pricing isn't even that unreasonable based on other forum members' experience.

Big does not necessarily mean experienced. Small does not mean Larry with a ladder.

Once upon a time, in the dark ages before the net, there was something called the yellow pages. The established cos. had ads. The biggest cos. often had the biggest ads. That probably did not mean best cos. - just big and established. Many were local, some national.

I'm of the opinion that the best solar vendors are not those you mention, but opinions vary.

As for recommendations: Yelp, Angie's list, etc. are unvetted. For all I know, most of the opinions found in those places could be from the owner or the owner's otherwise unemployable brother in law. Also, opinions about solar work posted there, even if genuine are, again, IMO, from folks who don't know any more about what they had done to them than you're thinking about having done to you. They may know that the installer smelled good, or didn't have plumber's crack, but little about job quality. Referrals are about the same.

So, what to do/options:

Since you ask:

As an opinionated answer to your question: Look for local companies who are licensed contractors who have been in business for 20+ years or so, and have sold solar for at least 5 of those years. Solar will be a part of their business - not all of it. They were around before solar and will have a fair chance of being around if solar collapses. They know how to run a business, hopefully turn a profit, know how to run projects, and know the value of long term customer relations and satisfaction.

Buy a book on residential solar energy. Read it and you'll know more than most of the vendor's salespeople. Solar is not rocket science.

Know that solar is about the most expensive way to offset an electric bill. Use reduction is the least expensive. After that conservation measures like insulation, sealing and energy eff. app. come next.

Then, know and understand what your annual usage is and how you are billed for it.

With your newfound/updated knowledge base, use reduction and conservation, estimate your new bill and figure out what you want to achieve in term of bill reduction. A 100 % offset may not be the most cost effective option.

Then, convey what you want to vendors you find using your own selection process based on what you find, your own gut and a dollop of common sense.

Negotiate tough and fair and get your roof inspected before you sign a contract for solar work.

Take what you want of the above. Scrap the rest.

[paris401]

Fair enough, but if I want to go with experience, what options do I have other than the major national companies (Sungevity, SolarCity, etc.)? .

we r on long island , and have gotten a few proposals from local solar guys who 'seem' to have excellent ref's... I've actually stopped at homes with solar, and asked questions ...

from what I understand sungevity farm out there installs, not sure about solar city...BUT

I had gotten a quote from solar city months ago, and last week from sungevity.. in both cases b4 the end of the 1st tel-call, the salesman is already sending me a contract to sign... can u give me 5-10mins to think about it... way/way toooo pushy..

I actually sent an email today to sungevity salesman... don't call me...i'll call u...
and their price was very competitive, but give me a chance to take a breath b4 sending me a contract to sign..
end of rant

[M.solar]

The main advantage of the finance company is production protection. The financing terms are mediocre (6.45%) but there's no prepayment penalty.

Generally I think the finance companies will be around longer than the installers, except for the very largest installers. Certainly the finance companies, by virtue of being national and having more business, aren't as subject to the risks of particular state incentives / economies.

The pricing from the somewhat shady installer is pretty remarkable though - looking at $3.21/W for SolarWorld 285 + SolarEdge. Sungevity quoted me $3.43/W for 250W Hyundai with micro inverters, or $3.53/W for 270W (also Hyundai / micro inverters). I just wish the local installer's license numbers checked out...

I'm in NY as well and got a quote of $3.40 a watt for the same solarworld setup that you had quoted. Also through a smaller company. That was the lowest quote I had received and hopefully everything turns out good when it finally gets installed next month. Have you looked into the nyserda loan of 3.49% up to 15 years.

[choatie88]

I'm in NY as well and got a quote of $3.40 a watt for the same solarworld setup that you had quoted. Also through a smaller company. That was the lowest quote I had received and hopefully everything turns out good when it finally gets installed next month. Have you looked into the nyserda loan of 3.49% up to 15 years.

I have seen the NYSERDA loan, but the performance guarantee with the Dividend Solar loan is very attractive.

I had gotten a quote from solar city months ago, and last week from sungevity.. in both cases b4 the end of the 1st tel-call, the salesman is already sending me a contract to sign... can u give me 5-10mins to think about it... way/way toooo pushy..

I got the same treatment from Sungevity, incredibly pushy. I told them I had a quote for $3.21/W and they'd need to do better on the pricing. They came back with... $3.532/W from an original price of $3.584/W.

[choatie88]

I'm in NY as well and got a quote of $3.40 a watt for the same solarworld setup that you had quoted. Also through a smaller company. That was the lowest quote I had received and hopefully everything turns out good when it finally gets installed next month. Have you looked into the nyserda loan of 3.49% up to 15 years.

Would you mind PM'ing me your installer's contact info?