5 On Your Side

'We got your money, see ya': Customers frustrated by Encor Solar closure

A home solar company is under investigation after suddenly closing, leaving 190 customers with big loans and solar panels that don't currently work.
Posted 2024-02-12T19:05:14+00:00 - Updated 2024-02-13T14:12:00+00:00
Encor under investigation after closing, leaving some customers in the dark

A home solar company is under investigation after suddenly closing, leaving 190 customers with big loans and solar panels that don’t currently work.

5 On Your Side got several complaints that Encor Solar suddenly wasn’t responding to customers who were in the middle of having expensive solar panel systems installed.

We quickly learned the company had closed and our team was already in touch with the North Carolina Department of Justice when they issued an alert Friday saying they were investigating Encor’s shutdown.

5 On Your Side spoke with Paul and Laura Zehr, who signed a contract with Encor to install solar panels on their home in Fuquay-Varina. They told us they regularly had a high Duke Energy bill and the sales pitch to go solar made a lot of sense.

"We would not pay anything towards the loan for the panels until we were producing enough energy on our own where all we would have from Duke is that connection fee," Paul Zehr said about the promises made by an Encor sales associate.

The Zehrs signed up with Encor Solar, but after the solar panels were installed they said no one came out to inspect the system and switch it on.

They reached out to the Encor representative they’d been working with, but not only was he no longer with the company, he said he was suing Encor.

"It took me by surprise," Laura Zehr said.

A call to Encor’s customer service line revealed the company had gone out of business. Now the Zehrs had payments due for a $50,000 solar panel system that didn’t work and an electric bill from Duke Energy.

"This isn’t supposed to happen," Laura Zehr said. "We’re paying now triple what we paid for just electric before the panels. For two teacher it’s crippling."

That’s when the Zehrs contacted 5 On Your Side. Encor isnt answering their phones and their website is shut down, but we were able to reach GoodLeap, a lending company that worked with Encor and financed the Zehrs system.

A few hours after we started asking GoodLeap about the situation, they sent emails to several customers saying GoodLeap decided to intervene and help get their systems activated.

GoodLeap later told WRAL News they were working on the Encor issue for weeks before sending those emails and some customer outreach had already started.

"They’ve been up for four months, and they’re still not connected," Laura said about their rooftop panels.

The Zehrs hope that connection will happen soon with a contractor provided by GoodLeap, but they’re still frustrated with Encor.

"It’s like no heads up, no call from anybody. No, nothing. It was just like, we got your money. See ya," Paul Zehr said.

GoodLeap told 5 On Your Side they have already reached out to all 190 Encor customers affected by the closure and will consider deferring loan payments until systems are up and running on a case by case basis.

Here is GoodLeap’s complete statement about the situation sent on February 6: "GoodLeap is aware of the issues related to Encor Solar and we’re working closely with impacted GoodLeap customers. There are currently 190 homeowners who may be impacted, and we have already started the process of reaching out to each one via both phone and email, and expect each customer to be contacted by Wednesday (tomorrow). GoodLeap has also already began the process of hiring local contractors to get these systems to permission to operate (PTO) and when necessary, we will defer payments until that work is completed. Each customer situation is different, so if customers have questions, they should reach out to GoodLeap directly and we’ll help in any way we can."

GoodLeap told 5 On Your Side they also set up a dedicated phone line for Encor customers at 855-333-5336.

The North Carolina Attorney General’s office sent out a consumer alert on February 9 about their investigation into Encor’s closing after getting 32 total complaints about Encor Solar. 26 of those complaints have come since the start of 2023.

They advised Encor customers to do the following:

  • If you have problems with the system you purchased from the business or installation is incomplete, consult with private counsel about what options are available to you.
  • If you financed your purchase, contact your lender to see what relief the lender is willing to offer or if the lender is working with other installers to finish installation or service the systems.
  • You can also contact the manufacturers of any malfunctioning components of the system.
  • If you were impacted by Encor Solar’s closure, please file a complaint with our office at www.ncdoj.gov/complaint.

If you are considering purchasing solar panels for your home, keep these points in mind before you sign a contract:

  • Does your installer have any certifications? A certification from NABCEP, or the North American Board of Certified Energy Practitioners, is voluntary and means a contractor has gone through a rigorous solar installation training program.
  • Check to see if an installer is a member of the North Carolina Sustainable Energy Association. That organization has a residential solar code of conduct that they require members to sign. The code of conduct is intended to make sure installers follow best industry standards and business practices.
  • Ask questions about the promises an installer is trying to sell you on. Don’t ever let an installer tell you your electricity bill will be $0, because there will always be fees associated with having an account, even if you’re getting all your energy from your solar panels.
  • Are there any guarantees in the contract an installer is trying to get you to sign? A sales person may promise solar panels will supply you enough energy to cover 95% of your electric bill. Are projections like that guaranteed in the contract and do you have any recourse if the panels don’t end up producing that much energy?
  • Scour customer reviews online, especially older reviews. You want to know how long your installer has been in business and if people are still happy with their service long after panels have been installed.
  • After you purchase a rooftop solar system, save all contract paperwork and manufacturer warranty information. If your installer does go out of business, those documents will tell you if you can call on a third-party or manufacturer to fix issues under warranty.
  • Check with your homeowners insurance to see if they cover solar panels and what your options are.

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