SolarCity unveils new solar loan programme

US solar installer SolarCity Corp (NASDAQ:SCTY) on Thursday said it is launching a new solar loan programme that replaces its MyPower product.

The new programme is now available in 14 states and offers new options, including fixed payments that start at around USD 50 (EUR 45) per month and shorter terms.

"We can now offer a loan that makes it possible for many customers to pay less for solar [than they pay for utility power] from day one, and still receive thousands back in tax credits on top of that," said chief executive Lyndon Rive. The company expects to work with multiple lenders that will allow it to expand to several new states by the end of the month, the CEO also said.

The programme will offer 10-year loans with 2.99% annual rate and 20-year loans with 4.99% annual rate.

SolarCity launched the MyPower solar financing option in October 2014 and discontinued it early this year as it had failed to live up to expectations and the company worked to develop a new simplified loan product, as reported by GTM.

Rive was on Thursday cited by Los Angeles Times as saying that he expected the majority of the company's customers to pick the leasing programme but 15% to 20% of business to come from the new purchase programme.

(USD 1.0 = EUR 0.898)

Choose your newsletter by Renewables Now. Join for free!