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The answer
Checked October 20, 2026: You refinance a solar loan by paying it off with new credit, such as a home equity loan, a line of credit, an unsecured personal loan or a mortgage refinance.[1] Solar Servicing (Mosaic loans), Dividend and Sungage all say they charge no prepayment penalty.[3][4][5] Solar Servicing says it does not offer refinancing itself.[3]
Our partner Solar Exit Group (Uso Holdings LLC) takes solar loans from any lender except Tesla. No cost to submit. Paid partner; it does not change our ratings.
Why refinance a solar loan?
- Hidden dealer fees. The CFPB found some solar lenders build markups and fees into the principal that can raise it by 30% or more above the cash price, and that advertised APRs often do not include those fees.[1] A new loan priced on the real balance can cost less. How to find your dealer fee.
- The 19th-month payment jump. The CFPB says it is commonplace for solar-specific loans to re-amortize at a higher monthly payment at the 19th month unless the borrower makes a large prepayment, frequently 30% of the principal.[1]
- No tax credit to make that prepayment. The IRS says the Residential Clean Energy Credit is not available for property placed in service after December 31, 2025,[2] and the CFPB notes the credit only offsets tax you owe.[1]
- A sale or mortgage refinance is coming and the solar lien may have to be released or subordinated.[1]
What major solar lenders say about prepayment and refinancing
| Lender or servicer | Prepayment penalty? | Refinance or re-amortization | Source |
|---|---|---|---|
| Solar Servicing LLC (Mosaic loans) | No; you pay only accrued interest | "At this time, we do not offer refinancing" | [3] |
| Dividend Finance (Fifth Third) | No | Two re-amortizations after the first Incentive Payment one; each needs $1,000+ principal and a $5,000+ balance | [4] |
| Sungage Financial (Hatch Bank, NBT Bank) | No | Payoff quote by phone, portal or email; allow 30 days | [5][6] |
| EnerBank (now Regions), 2017 solar PowerLoan | Not stated in the release | Optional re-amortization after a lump sum of at least 15% of the original amount, $150 fee | [7] |
Lender pages: Mosaic, Dividend Finance, Sungage, EnerBank, Sunlight Financial. Not sure who holds yours? Use the who services my solar loan lookup.
Replacement loan options
The CFPB lists the main ways homeowners finance solar besides a solar-specific loan: general-purpose unsecured installment loans, lines of credit, and home equity loans and lines.[1] The same products can be used to pay off an existing solar loan if you qualify.
- Home equity loan or HELOC. Both are borrowed against the equity in your home. If you already have a mortgage, the CFPB says the new loan is a second mortgage you pay on top of the first. A home equity loan pays a lump sum; a HELOC usually has an adjustable rate.[8]
- Unsecured personal loan. No lien, but the CFPB notes secured loans usually carry lower APRs than comparable unsecured ones.[1]
- Mortgage refinance that includes the solar balance. The CFPB also describes the FHA and VA Energy Efficient Mortgage, a mortgage refinance that can include an eligible energy-efficient upgrade.[1] Ask the lender whether an existing solar balance qualifies.
Compare the full cost: APR, every fee, the term and whether your house becomes the collateral. A solar loan secured only by the equipment (Sungage, for example, says it takes no lien on the home)[5] becomes home-secured debt if you replace it with home equity credit.
How to refinance a solar loan, step by step
- Find your current lender or servicer on your statement; the company that sold the system is often not the lender.
- Read the prepayment and re-amortization sections of your agreement and check them against the table above.
- Get a dated payoff quote. Solar Servicing, for example, gives a payoff amount for a date up to 10 calendar days ahead.[3] Sungage says to allow at least 30 days.[6]
- Get the replacement loan approved and have it pay the old lender directly if possible.
- Confirm the payoff posted and the lien was released.
After payoff, get the lien released. Under UCC Section 9-513, for consumer goods the secured party must cause a termination statement to be filed within one month after nothing is owed, or within 20 days after it receives your authenticated (signed or electronic) demand if that is sooner. State versions vary.[9] Our UCC lien removal guide has a demand letter.
Rolling a solar loan into a mortgage refinance
If you refinance your mortgage while the solar loan stays open, the CFPB notes a UCC filing on the panels can "muddy the title" in some places, and it must then be released or made subordinate to the new mortgage.[1] Each lender has its own subordination process. Detailed guides: does a solar loan affect a mortgage refinance and refinance denied because of a solar loan.
Before you refinance
- Refinancing is a new loan, not a dispute. It does not resolve any claim you have against the installer.
- Raise installer problems with the loan holder. Consumer credit contracts arranged by a seller must carry the FTC Holder Rule notice, which says any holder of the contract is subject to the claims and defenses you could raise against the seller, and that your recovery cannot exceed what you paid under the contract.[10] See the Holder Rule guide.
- If the installer misled you, talk to a lawyer first, before you pay the original loan off. See solar panel lawyer.
- Run the numbers with our early payoff math guide.
Complaints. The CFPB accepts complaints about personal loans (installment loans) and several other products; it says most companies respond within 15 days.[11] You can also file with your state attorney general. How-to: filing a CFPB complaint against a solar company.
We do not advise homeowners to stop making payments or breach contractual obligations. Missed payments can trigger late fees and other penalties under your loan agreement; a dispute is raised in writing while you keep paying. See what happens if you stop paying a solar loan.
All exit routes: how to get out of a solar loan.
See if our partner Solar Exit Group can help. No cost to submit. Paid partner, disclosed.
Disclosure: We may earn compensation when you contact companies through our site. This does not change our ratings. Our partner for solar loans (all lenders except Tesla) and Sunnova PPAs is Uso Holdings LLC d/b/a Solar Exit Group; see authorized partners. SolarPanelExit.com is not a lender and is not affiliated with any lender named on this page.
Frequently asked questions
Can I refinance my solar loan?
Usually, by paying it off with new credit such as a home equity loan or line, an unsecured personal loan or a mortgage refinance. Check your agreement for prepayment terms first.
Do solar loans have prepayment penalties?
Many do not. Solar Servicing (Mosaic loans), Dividend Finance and Sungage all say they charge no prepayment penalty. Your own loan agreement controls.
Does Solar Servicing refinance Mosaic loans?
No. Solar Servicing's homeowner FAQ says it does not offer refinancing at this time. You can pay off a Mosaic loan at any time and pay only accrued interest.
Why did my solar loan payment go up after 18 months?
The CFPB says many solar-specific loans re-amortize at a higher payment at the 19th month if the borrower does not make a large prepayment, often 30% of the principal, which was usually expected to come from the federal tax credit.
Can I roll my solar loan into my mortgage?
Often, through a mortgage refinance that pays off the solar balance. If the solar loan stays open, its UCC filing may need to be released or subordinated to the new mortgage.
What happens to the solar lien when I refinance?
If the solar loan is paid off, the lender should file a UCC termination. Under UCC Section 9-513 that is within one month after payoff, or within 20 days of your authenticated demand if sooner.
Still paying a solar loan (not Tesla) or a Sunnova PPA? See if our partner Solar Exit Group can help. No cost to submit. Paid partner; it does not change our ratings.
Sources
Checked October 20, 2026. Court dates, servicer details and contact information change; confirm on the linked primary source before you act.
- RegulatorCFPB, Issue Spotlight: Solar Financing (August 7, 2024)
- RegulatorIRS, Residential Clean Energy Credit
- CompanySolar Servicing LLC, Homeowner FAQs (prepayment, payoff, refinancing, UCC-1)
- CompanyDividend Finance, Homeowners (prepayment, re-amortization)
- CompanySungage Financial, Homeowners and homeowner FAQs
- CompanySungage Financial, What happens to my solar system if I move?
- CompanyEnerBank USA, Introduces PowerLoan for the solar industry (September 13, 2017), press release on pv magazine USA
- RegulatorCFPB, What is a home equity loan or line of credit (HELOC)?
- StatuteUCC Section 9-513, Termination statement (Cornell LII)
- Regulation16 CFR 433.2, FTC Holder Rule notice (Cornell LII)
- RegulatorCFPB, Submit a complaint
Disclaimer: This page is not legal advice. It is general information, not legal or financial advice, and it does not create an attorney-client relationship. Results vary by individual situation. We do not advise homeowners to stop making payments or breach contractual obligations. Consult a qualified attorney licensed in your state before acting on your solar contract or loan. We may earn compensation when you contact companies through our site. This does not change our ratings. Solar Exit Group (Uso Holdings LLC) is a paid partner; see authorized partners. See our Ownership Disclosure, Advertiser Disclosure and Methodology.