How to Cancel a Solar Contract (Before and After Install)

To cancel a solar contract, act in writing and act fast: if you signed at your home, the federal Cooling-Off Rule usually gives you until midnight of the third business day to cancel for a full refund. After that window, your options depend on your contract, your state and how far the project has gone. This guide walks through each stage, before and after install, and flags when to bring in an attorney.

By the Solar Bid Analyzer research team · Updated November 2026

Step 1: Find your cancellation deadline

Start with three documents: the solar agreement, any separate financing agreement (loan, lease or PPA) and the notice of cancellation form, if you were given one. Then check how and where you signed.

The FTC Cooling-Off Rule covers many sales made at your home, workplace or a temporary seller location, including when you invite a salesperson to present in your home. Per the FTC, you have three business days to cancel, the deadline is midnight of the third business day after the sale, Saturdays count and Sundays and federal holidays do not. You do not need a reason. The rule does not cover sales made entirely online, by mail or by phone, or sales finalized at the seller's permanent place of business. Many states add their own cancellation rules for home solicitation or home improvement contracts, sometimes with longer windows, so check your state attorney general or contractor licensing board.

Step 2: Cancel in writing

If you were given a cancellation form, sign and date it and mail it so it is postmarked before the deadline. If you got no form, send a cancellation letter within the same window. The FTC suggests certified mail with a return receipt and keeping a copy. Also email the installer and the lender, but do not rely on email alone or on a phone call.

A short notice should include your name, address, contract date, a clear statement that you are canceling, and a request for a written confirmation and a refund of any deposit. Under the FTC rule the seller must, within 10 days, cancel any check you signed, refund your money and tell you whether any items you still have will be picked up.

Cancel solar contract: your options by stage

Stage	Typical options	What to do
Within the cooling-off window	Full refund under federal or state rules, if the sale is covered	Send written notice, certified mail, keep proof. Notify the lender too.
After the window, before install or permit	Negotiated cancellation; may depend on the contract's cancellation or termination clause	Request the termination terms in writing and ask for any fee in dollars, not "to be determined".
After permit or equipment ordered	Possible fees for work done or materials; a dispute is more likely	Ask for an itemized accounting. Consider a consultation with a consumer or construction attorney.
After install, before activation	Rarely a clean exit; remedies may depend on misrepresentation, license issues or missed milestones	Document everything and file complaints. Get legal advice.
After activation	Lease or PPA: buyout, transfer or removal terms. Loan: payoff or refinance. Fraud or misrepresentation claims in some cases	Request payoff or buyout figures in writing and compare them with continuing.

Step 3: Handle the financing separately

The solar company and the lender are often different parties, so canceling one does not automatically cancel the other. The CFPB warns that sellers may add undisclosed "dealer fees" to a solar loan, that some salespeople subtract a projected tax credit from the loan amount they show you, and that loan payments may rise after 18 months unless you pay an amount matching the projected credit. For homeowner-owned systems installed after 2025, the federal 25D credit no longer applies, so any pitch built on it should be questioned. If you signed a loan, call the lender, say you are disputing or canceling the underlying contract and ask what they need in writing. Some home-secured financing carries its own cancellation rights, so ask the lender or an attorney.

See our guide to predatory solar financing for the loan terms that cause the most trouble.

Step 4: If you are past the deadline

You still have options, though none is guaranteed.

Read the termination clause. Some contracts allow cancellation before work starts for a stated fee.
Check what you were never given. In the 2026 Connecticut settlement involving Sunrun, the company agreed to let consumers cancel if they never received a copy of their contract and the company cannot prove they did. That was a specific settlement, not a general rule, but missing paperwork is worth raising.
Look for misrepresentation. If the salesperson promised "free" solar, a guaranteed bill amount or a government program that is not in the contract, document it. See solar proposal red flags.
Verify licensing. An unlicensed seller or installer can change your rights in some states. Check your state board.

Step 5: Where to complain

The CFPB lists these channels for solar financing problems: a complaint at consumerfinance.gov/complaint, the FTC at ReportFraud.ftc.gov, and your state attorney general. The CFPB also suggests consulting an attorney. Keep a folder with the contract, messages, photos and every payment.

When to call an attorney

The company refuses a refund you believe is owed.
A lien, UCC filing or loan appears on your home or credit file after you canceled.
The project is half-built or the system was installed but not connected.
You were told something that contradicts the written contract.

Many consumer attorneys offer a short first consultation. Bring the paperwork. If you are weighing a cancellation because the project has gone wrong, our overview of what goes wrong with solar shows common failure points. This article is general information, not legal advice.

If you are still deciding, grade the proposal before you sign. Ready to see how your own quote stacks up? Upload your solar quote for a free grade.

Frequently asked questions

Can I cancel a solar contract after signing?

Often yes, if you act within the window. The FTC Cooling-Off Rule gives three business days for many at-home sales, and some states add more. After that, cancellation depends on the contract's termination clause and the facts. Cancel in writing and keep proof of delivery.

How many days do I have to cancel a solar contract?

Under the FTC rule, three business days, ending at midnight of the third business day after the sale; Saturdays count, Sundays and federal holidays do not. State laws may give longer periods or different coverage, so check your state attorney general or licensing board.

Does the cooling-off rule apply if I signed online?

Not under the FTC rule, which excludes sales made entirely online, by mail or by phone. It does apply to many sales made at your home, including when you invited the salesperson. State law or the contract may still give you a cancellation right, so check both.

Do I have to keep paying the solar loan if I cancel the install?

Not necessarily, but canceling the installer does not automatically cancel the lender. Notify the lender in writing, say you are canceling or disputing the underlying contract, and ask what documentation they need. Talk to an attorney if payments continue.

Who can help if the solar company will not cancel?

You can file complaints with the CFPB for financing issues, the FTC at ReportFraud.ftc.gov and your state attorney general, and consult a consumer or construction attorney. Keep the contract, messages, photos and payment records together.