Solar Panel Installation Deposit Scam on Facebook Ads
Fake solar companies run Facebook and Instagram ad campaigns promising government rebates and free installations to collect large upfront deposits before vanishing.
Part of: Solar Panel Installation Deposit Scam
Last reviewed: 5 July 2026
Solar incentives are real and plenty of legitimate installers advertise on Facebook, so the pitch sounds plausible. The scam version leads with drone footage and a claim that residents qualify for free installation, funnels clicks into a lead form instead of a company website, and follows with a same-day home visit where a rep pushes for a signed contract and a large deposit to lock in a rebate before it expires. Then installation dates slip and the business dissolves, sometimes reappearing renamed. The distinction that matters most: no genuine incentive expires the afternoon a salesperson is in your living room.
How this scam works on Facebook Ads
The ad typically shows drone footage of a nice house with solar panels and a headline claiming residents in the target area qualify for 'free' or heavily subsidized installation through a government program. Clicking through leads to a lead-generation form rather than a real company website, and a salesperson calls within hours to schedule an in-home visit where they pressure the homeowner to sign a contract and pay a substantial deposit that same day to 'lock in the rebate before it expires.'
After the deposit clears, installation dates get pushed back repeatedly, communication slows, and eventually the sales rep or entire ad account disappears, sometimes to reappear weeks later under a new business name and a fresh Facebook ad campaign. Because the ad account, the sales entity, and the installation crew are often not the same legal business, tracing where the deposit actually went can be extremely difficult after the fact.
Common red flags
- Ad claims a 'free' government program is paying for the panels with only a small deposit needed
- Salesperson creates urgency to sign and pay a deposit during the very first home visit
- No independent reviews of the specific company name outside of the Facebook ad itself
- Business has no permanent local address or the address doesn't match a real office
- Deposit requested is a large percentage of the total project cost rather than a standard small down payment
- Contract lacks clear installation timelines, permit responsibilities, or cancellation terms
How to protect yourself
- Research any solar company's licensing, registration, and complaint history before signing anything
- Never pay a deposit larger than what is standard in your area, typically a modest percentage
- Get at least two other quotes from independently verified local installers before committing
- Read the entire contract, including cancellation rights, before any money changes hands
- Pay deposits by credit card or check rather than wire transfer or cash
- Verify any advertised 'government rebate' directly with the relevant government energy agency, not through the seller
How to report it
- Report the ad to Facebook using the 'Report ad' option, citing false claims or fraud
- File a complaint with your state attorney general's consumer protection division or national equivalent
- Report the company to the Better Business Bureau and any local licensing board for contractors
- Dispute the charge with your card issuer or bank if payment was made electronically
Frequently asked questions
What's a reasonable timeframe between paying a solar deposit and installation actually starting?
A reputable installer should give you a written, estimated installation timeline as part of the contract itself. If a company can't commit to any timeframe, or keeps pushing the date back with vague excuses after taking your deposit, that's a strong sign something is wrong.
Can I cancel a solar contract after signing if I later have doubts about the company?
Many places have a short cooling-off period for contracts signed during high-pressure or doorstep sales visits that lets you cancel within a few days without penalty. Check your local consumer protection rules for the specific timeframe and put any cancellation request in writing right away.
Should I be concerned if the company name in the Facebook ad doesn't match the name on the sales contract?
Yes, a mismatch between the name in the ad, the lead form, and the final contract is a common sign that the entities involved aren't accountable to one another, which can make it much harder to trace your deposit if the installation never happens.
How can I verify a solar rebate advertised on Facebook is real?
Contact your national or regional energy department directly using contact details you find independently, not a link in the ad, and ask whether the specific program named actually exists and whether the company is an approved provider.
Is it normal to pay any deposit for solar installation?
A modest deposit is standard practice with reputable installers, but it should be a small fraction of the total cost, tied to a written contract with firm installation dates, and payable through a traceable method rather than wire transfer or cash.