Digital FCU Powers $100M Solar Participation Deal
Digital Federal Credit Union has teamed up with SunPower Corp. in an agreement that could provide up to $100 million in loans for residential solar projects in the U.S.
The deal calls for the $5 billion DCU in Marlborough, Mass., to serve as the lead originator of loan participations for 36 credit union partners formed to support SunPower’s residential loan program. Eligible homeowners who join the credit union can receive a loan of up to $50,000 for a high-efficiency solar power system. Available for terms up to 20 years, DCU said borrowers may also be eligible for a 30% federal tax credit for the installation of solar power systems.
The partnership with DCU will enhance the SunPower Loan offering by allowing more homeowners to get the most efficient and reliable solar technology available, said SunPower Chief Financial Officer Chuck Boynton, in a statement.
“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,” Boynton said.