Erie County Times

Pennsylvania Attorney General Josh Shapiro recently announced that a letter was sent by a coalition of eight attorneys general (AGs) to solar lending companies urging them to suspend loan payments and interest for customers who financed systems from Pink Energy for solar power systems.

The letter was sent to Dividend Solar Finance, GoodLeap, Cross Riverbank, Sunlight Financial and Solar Mosaic; a release from Shapiro’s office said. The suspension of payments is because customers did not receive a working solar power system. Shapiro noted that there are also customers who are having installation and other issues, and the attorneys general are urging lenders to help those customers. The AGs involved in the letter are from Kentucky, Illinois, Indiana, Michigan, North Carolina, South Carolina, Tennessee and Virginia.

“Pink Energy ripped off consumers and is hiding behind bankruptcy,” Shapiro said in the release. “Lenders who want the solar power sector to grow should help consumers obtain relief now, while Pink Energy’s bankruptcy process continues. Consumers made good-faith choices to heat and power their homes and should not be trapped in loans for a product that wasn’t delivered.”

Shapiro started investigating Power Home Solar, which does business with Pink Energy. The investigation stemmed from complaints about “deceptive business practices,” including that Pink Energy made “false representations regarding the systems’ capabilities and anticipated electric bill reduction.”

Shapiro said that consumers who thought they were being environmentally friendly and cost efficient are now facing financial issues and loan payments.

“For many consumers, not receiving the promised tax credits has left them unable to make the necessary lump sum payment required to keep your company, or an affiliated lender, from substantially increasing their monthly loan payment,” the letter from the AGs said. “These consumers relied on Pink’s representations regarding the tax credits in deciding that they could afford the terms of their loan, and the increased monthly payments are beyond what their budgets could handle – especially when the solar power system is not functioning properly or at all.”