U.S. giant SunPower Corp. has signed a deal with Digital Federal Credit Union (DCU) to provide loans for SunPower residential solar projects in the U.S. of up to $100 million.
The agreement, announced Monday, supports SunPower’s loan program, expanding the financing options available to homeowners interested in owning solar power systems.
Under the agreement, DCU will serve as the lead originator for a consortium of 36 credit union partners formed to support SunPower’s residential loan program. After joining DCU, a homeowner may receive a loan of up to $50,000 from DCU, which may then be participated out to a credit union in the program.
"Enhancing the SunPower Loan offering with this agreement allows more homeowners to get the most efficient and reliable solar technology available with little or no money down, affordable rates and loan terms for up to 20 years," said SunPower finance chief Chuck Boynton. "Once the loan is paid off, the homeowner gets free electricity for the life of the system. If they end up selling their home, they may benefit from increased home value as a result of the solar system on the roof."
Craig Roy, DCU’s senior vice president of retail lending, added, "DCU’s participation in SunPower’s residential solar loan program is based on the cooperative principles that are at the foundation of credit unions, and our approach to the development of innovative programs that serve the needs of businesses, consumers and our members."
The SunPower Loan, available in all 50 states and Washington, D.C., may allow homeowners to take advantage of the 30% federal tax credit currently available for installing solar power systems as well as additional incentives offered by many states and municipalities. SunPower also offers a lease program in several states.