Home / Learning Hub / Red flags
"Free panels." "Guaranteed savings." "No out-of-pocket cost." Translated into what they actually mean.
Red flags · 6 min read · Updated May 5, 2026
Solar sales scripts are nearly identical across companies. The same phrases work — because they create the impression of a free or low-risk deal without saying anything legally binding. Here are ten of the most common, translated.
What it means: $0 due at signing. You will pay every month for 20–25 years.
What it means: Their model assumes utility rates go up at a certain rate (often 4–6%/yr) and your escalator stays low. If the assumption is wrong, the savings flip to losses. Ask for the exact assumed utility-rate increase in writing.
What it means: Your solar rate has an escalator (typically 2.9%/yr). It’s only “locked” relative to the utility — and only if utility rates outpace that escalator.
What it means: Pressure tactic. The federal solar tax credit doesn’t expire weekly. If they refuse to email you a written summary and let you sleep on it, walk away.
What it means: Sometimes a small bill credit; usually nothing. Get it in writing or assume it doesn’t exist.
What it means: Marketing language. There is no “pre-qualified” status. They’re cold-canvassing your neighborhood.
What it means: Signing the contract is agreeing to the deal. You have only 3 days under the federal Cooling-Off Rule to cancel — and not all states extend it. More on the cooling-off rule →
What it means: Only if you have tax liability and you have a loan or cash purchase. If you’re leasing or on a PPA, the installer keeps the tax credit. If you’re retired with no liability, you can’t use it.
What it means: A UCC-1 will be filed against your home. It will affect your ability to refinance or sell unless removed. More on solar liens →
What it means: Sometimes true; sometimes you’ll discover months later that your system isn’t connected to the grid (no PTO — Permission to Operate) and you’re paying both the utility and the solar payment. Ask for the PTO date in writing before installation.
Hearing one of these phrases isn’t illegal by itself — but if the contract you signed materially differs from what was promised verbally, that’s a deceptive-trade-practice claim in most states. Get a free contract review.
An independent attorney review is free. Find out if your contract may have legal issues.