Homeowners signing up for an Energy Plan can expect a straightforward process and consistency in their experience. As a Certified Installer selling an Energy Plan, here are the top 5 items for your homeowners to expect.
1) Qualifying
660 FICO credit requirement (Highest Score: TransUnion and Equifax)
No DTI
Homeowner must be on title
Home is an approved type (in general, single family, fully owned. Installer responsible for affirming site eligibility)
2) Homeowner Web Portal Account
Instant sign up at point of sale
Instant upload and fulfillment of NTP requirements & Agreement Confirmation
Homeowner portal link: https://home.palmetto.com/
3) Signing & Fulfilling Requirements
Simple Energy Plan contract sent via Docusign (or Web Portal Account)
NTP Requirements fulfilled via web portal account, including secure ID
ACH banking information is required on all sales
4) Performance Guarantee with Protect
Includes 25 year, 90% Performance Guarantee* (*unless prohibited by state) as part of our most robust Protect package
3 Year True Ups, if necessary
5) Billing
First Payment Expectations: First payment typically due 30 days after the system is issued PTO. Customers generally receive their first bill/invoice approximately 15 days after granted PTO.
30 Day billing cycles, with 15 day payment terms
Billing details available via homeowner's portal
Sample Contract Outline:
As a quick reference guide, we've outlined here the page numbers for some of the major talking points of our PPA Sample Template. (Sample provided is for California and is only a template, contracts in practice will vary state to state.)
2 - Summary
8 - Production and pricing
9 - Purchase options
10 - Pre-payment and renewal options
11 - Homeowner obligations
13 - LightReach obligations
15 - Right to terminate
16 - Selling your home
18 - Force Majeure
19 - In case of default
26 - Signatures
27 - Payments
29 - Warranty
35 - Payment schedule
37 - Production guarantee
38 - Storage
| Question | Answer |
1 | Why do homeowners have to link their ACH/bank account? | This ensures secure payment information on all accounts. ACH is needed at the point of sale, as it is an NTP milestone requirement for Certified Installers. |
2 | What happens if payment is late? | If payment is late for any reason, homeowners are given sensible leeway to re-link payment and bring their account up to date. |
3 | UCC-1 Fixture Filing? | The UCC-1 fixture filing on the solar equipment is the solar financier's stake in the equipment.
The UCC-1 fixture filing is done after install is deemed complete. It is a standard filing among industry financiers.
Homeowners going through a refinance or mortgage process may have a loan officer come across the UCC-1 fixture filing across the solar equipment and may, incorrectly, deem that it's a lien on the residence. However, it is not and should not prevent refinance. It is important to note that in many cases this is quite literally a matter of knowledge/conceptual understanding on the side of the mortgage officer.
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4 | How are true-ups completed? What if my homeowner over-produces vs estimate? | If necessary, 3-year production true ups are completed via bill credit.
Overproduce? Great! There is no penalty for overproducing. However, overproduction is 'banked' against any potential future-underproduction. |
5 | What happens if my customer has down time? | If necessary, 3-year production true ups are completed via bill credit. Temporary outages such as from storms, maintenance, etc. are ultimately factored in at this juncture.
Should an extended outage occur, LightReach will work with homeowners, if necessary, on shorter term true ups in extreme circumstances. However, in most cases, any 'lost' production due to down time will simply be accounted for in routine true ups, if necessary.
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6 | Homeowner first bill? | In most instances*, first bill will come approx. 15 days after PTO granted.
In general, setting the expectation that a first payment will come due approximately 30 days after PTO is appropriate.
However, this assumes that the installer submits for Activation M2 Approval to LightReach in a reasonably timely manner. In the event of a severe Activation M2 Submission delay by the installer, it is technically possible for the customer to receive a delayed first bill beyond the usual ~30 day timeframe after PTO.
The customer will receive notice of their first bill via mail regardless of autopay or ACH status. |
7 | Does the Lease/PPA payment appear on the homeowner's credit? | No, the LightReach product does not report as a debt. There is no consequence to simply seeing if a homeowner is qualified. |
8 | Critter guards? | Critter guards are recommended for any homes with obvious risk of critter activity. Certified Installers should use best judgement to proactively install if/where it is an issue or at the request of the homeowner. |
9 | Alternates to ACH? | ACH is an NTP (M0) requirement for all customers. No other payment setup methods are accepted at this time.
In the event of extenuating circumstances, LightReach will reasonably work with a homeowner in the event that ACH payment is not physically possible after activation. However, such scenarios seldom qualify and should not be set as an expectation for new homeowners.
In such scenarios, homeowners may void their $15 monthly discount, which is automatically baked in to their payment as outlined in the contract. |
10 | Power of Attorney? | LightReach does not accept customers who are signing on behalf of a family member based on Power of Attorney.
Homeowners who wish to go solar must fully qualify status quo, independent of any sort of unique POA/Caretaker relationship. |