Consumer complaint received 2026-05-13 00:00:00
Product: Payday loan, title loan, personal loan, or advance loan — Installment loan
Issue: Struggling to pay your loan — 
Company: Solar Mosaic LLC
State: TX

Complaint narrative:
COMPANY : Solar Servicing ( current loan holder/servicer ; originally Solar Mosaic , Inc. ) PRODUCT : Consumer Loan Installment loan ISSUE : Problem with the loan disclosures/ Struggling to pay your loan -- - WHAT HAPPENED : On XX/XX/year>, I entered into a {$57000.00} home solar loan ( Loan Number XXXX ) with Solar Mosaic, Inc. to finance a XXXX XXXX residential solar system installed at my home in XXXX, Texas by XXXXXXXX XXXX , an installation contractor approved on Mosaic 's lending platform. I am an XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX Since that time, two material events have occurred : XXXX. XXXX XXXX has gone out of business. 2. Solar Mosaic , Inc. has gone bankrupt, and my loan has been transferred to Solar Servicing. Under the FTC Holder Rule ( 16 C.F.R. 433.2 ), expressly incorporated into Section 15 of my Loan Agreement, the current holder of my consumer credit contract is subject to all claims and defenses I could assert against XXXX XXXX and Solar Mosaic. Solar Servicing, as successor holder, stands in the shoes of the original lender and is responsible for resolving the claims described below. The original sale was induced by three specific promises made by the XXXX XXXX salesperson : XXXX. A significantly reduced or eliminated electric bill ; 2. A full warranty on the solar system ; and 3. A federal solar investment tax credit that I could apply to the loan principal. None of these promises has been honored. XXXX. SYSTEM IS SIGNIFICANTLY UNDERPRODUCING. A XXXX kW solar system in XXXX, Texas should produce approximately XXXX kWh per year, offsetting essentially the entire electric usage of a typical household. In reality, I continue to pay approximately {$150.00} per month for electricity in addition to my {$230.00} monthly loan payment a combined monthly cost far higher than what I paid before installation. The system is producing only a fraction of what was represented at the point of sale. XXXX. SYSTEM WAS SUBSTANTIALLY OVERPRICED. The {$57000.00} financed amount equates to {$4.00} per watt installed. Texas market rate for residential solar in 2021 was approximately {$2.00} {$3.00} per watt. This indicates a markup of {$15000.00} {$25000.00} above fair market value was financed into the loan. The Loan Agreement ( Itemization of Amount Financed ) acknowledges the Installation Contractor may receive a fee or discount against the Amount Financed but that the borrower remains bound to repay the full amount a dealer-fee structure that incentivized inflated pricing. XXXX. TAX CREDIT WAS MISREPRESENTED AND NEVER REALIZED. The loan was structured around an assumed 26 % federal solar tax credit ( ~ {$14000.00} ) being applied to principal within 18 months to maintain the initial {$170.00} monthly payment. I was not eligible to receive this credit and never realized any such benefit. As a result, my monthly payment automatically re-amortized to {$230.00} an increase of {$62.00} per month, or approximately {$750.00} per year, for the remaining ~24 years of the loan. Had I understood that my payment would permanently jump by approximately 36 % if I could not use a tax credit I was never qualified to receive, I would not have entered into this transaction. XXXX. WARRANTY HAS BEEN BREACHED AND I HAVE BEEN ORPHANED. XXXX XXXX is no longer in business. Solar Mosaic has gone bankrupt. I have no functioning point of contact to honor the warranty I was promised. The system has required repairs that should have been covered under warranty, and I have paid for those repairs out of pocket. Under the FTC Holder Rule, Solar Servicing as current holder of the credit contract is liable for these warranty obligations. LEGAL BASES FOR THIS COMPLAINT : FTC Holder Rule ( 16 C.F.R. 433.2 ) expressly stated in my Loan Agreement : " ANY HOLDER OF THIS CONSUMER CREDIT CONTRACT IS SUBJECT TO ALL CLAIMS AND DEFENSES WHICH THE DEBTOR COULD ASSERT AGAINST THE SELLER OF GOODS OR SERVICES. '' Solar Servicing, as current holder, is liable for XXXX XXXX 's misrepresentations and warranty breaches. Texas Deceptive Trade PracticesConsumer Protection Act ( DTPA ), Tex. Bus. & Com. Code 17.46 the sales misrepresentations regarding savings, system performance, tax credit eligibility, and warranty coverage constitute deceptive trade practices. Truth in Lending Act ( TILA ), 15 U.S.C. 1601 et seq. inadequate disclosure of the tax-credit-contingent payment structure and the dealer-fee markup embedded in the financed amount. Fair Debt Collection Practices Act ( FDCPA ) and Regulation Z servicing requirements I have not received clear documentation of the transfer of my loan from Solar Mosaic to Solar Servicing, nor confirmation of who currently owns versus services the debt. Breach of express warranty the current holder is responsible for warranty obligations the original installer and lender can no longer perform. RELIEF REQUESTED : 1. Full cancellation of the loan and release of the security interest in the solar equipment, given the cumulative impact of : ( a ) the fraudulent inducement at the point of sale ; ( b ) the unrealizable tax credit on which the loan structure was based ; ( c ) the system 's significant underperformance ; ( d ) the unworkable warranty resulting from XXXX XXXX 's dissolution; and ( XXXX ) the inflated price financed into the loan ; 2. Reimbursement of all payments made to date on the loan ; 3. Reimbursement for out-of-pocket repair costs I have paid for issues that should have been covered under warranty ; 4. Written confirmation of the current owner/holder of the loan, the date of transfer from Solar Mosaic , Inc. , and the full payment history ; XXXX. In the alternative, if full cancellation is not granted : ( a ) substantial reduction of the loan principal to reflect the fair market value of the system as installed and as performing, less the unrealized tax credit and less the cost of the system 's underperformance over the life of the loan ; ( b ) adjustment of the monthly payment to remove the re-amortization increase caused by the unrealized tax credit ; and ( c ) the holder 's assumption of all future warranty obligations on the solar system ; and 6. Any further relief CFPB determines appropriate. I am prepared to provide supporting documentation including the loan agreement, monthly statements, electric bills, system production data, and repair receipts. Thank you for your assistance. XXXX XXXX XXXX XXXX : XXXX Loan Date : XX/XX/year>XXXX XXXX

Company response to consumer: Closed with explanation