Struggling With Solar Panel Payments? Bankruptcy May Provide the Relief You Need
July 21, 2026
For many Florida homeowners, installing solar panels seemed like a smart investment. Sales presentations promised lower electric bills, increased home value, tax incentives, and affordable financing. Unfortunately, many consumers later discover that the financing agreements are far more complicated than they expected.
At Branson Ainsworth PLLC, we are seeing an increasing number of clients burdened by expensive solar panel loans and multiple liens against their property. Many homeowners don’t realize they have signed documents that obligate them to more than one lender for the same solar system. If your solar panel payments have become unaffordable, bankruptcy may provide options that many homeowners don’t realize are available.
The Hidden Problem With Solar Panel Financing
Many homeowners believe they are simply financing the purchase of solar panels. In reality, they may have signed several different agreements involving multiple lenders or creditors.
Some homeowners discover they are obligated to:
A solar financing company with a lien on the equipment.
One or more additional lenders holding second or third liens related to the same solar system.
These financing arrangements can make selling or refinancing your home more difficult while leaving you with monthly payments you simply cannot afford.
How Chapter 7 Bankruptcy Can Help
If the solar equipment is worth substantially less than the amount owed, Chapter 7 bankruptcy may allow eligible debtors to redeem the equipment by paying its current fair market value rather than the full loan balance, when permitted under the Bankruptcy Code.
For many homeowners, this can significantly reduce the cost of keeping the equipment while eliminating other qualifying debts and providing a financial fresh start.
How Chapter 13 Bankruptcy Can Help
Chapter 13 offers powerful tools that may benefit homeowners with complicated solar financing.
In many cases, the first step is determining what the solar equipment is actually worth—not simply what the lender claims is owed. Depending on the facts of your case, the Bankruptcy Code may allow the secured claim to be limited to the value of the collateral, with any remaining balance treated as unsecured.
Additionally, if there are second or third liens against the solar equipment that are not supported by any remaining collateral value after the senior lien is accounted for, those junior claims may also be treated as unsecured through the Chapter 13 process. Those unsecured creditors are then entitled only to receive their pro rata share of the funds available for unsecured creditors under the confirmed Chapter 13 plan.
These powerful bankruptcy tools can dramatically reduce the amount ultimately paid on burdensome solar financing.
A Real Example
One of our recent Chapter 13 clients came to us with three separate loans that totaled over $406,000.00, tied to a single solar panel system with a backup battery. Like many homeowners, they did not realize they had obligated themselves to multiple lenders.
After carefully analyzing the loan documents, valuing the collateral, and negotiating with the lender, Branson Ainsworth PLLC resolved the primary secured solar claim for approximately $10,000. That secured amount is being paid through the client’s three-year Chapter 13 plan with interest at 8.75%, rather than paying the substantially larger balance originally claimed.
Because the remaining two solar-related claims were not supported by any remaining collateral value after accounting for the senior secured claim, they were treated as unsecured claims under the Chapter 13 plan. As unsecured creditors, they are entitled only to their pro rata share of any funds available for distribution to unsecured creditors under the confirmed plan.
Rather than struggling with payments to three separate solar lenders, our client was able to reorganize the debt through a single Chapter 13 plan and obtain substantial relief.
Every bankruptcy case is different. Results depend on the specific facts, loan documents, collateral value, applicable bankruptcy law, negotiations with creditors, and court approval. Past results do not guarantee similar outcomes.
Why Experience Matters
Solar financing agreements can be surprisingly complex. They often involve multiple lenders, Uniform Commercial Code (UCC) filings, competing lienholders, and difficult valuation issues. Successfully navigating these cases requires a careful review of the financing documents and a thorough understanding of the Bankruptcy Code.
Cole Branson, an attorney with Branson Ainsworth PLLC, has extensive experience handling complex solar financing matters. He has worked with homeowners facing multiple solar loans and understands how to analyze secured claims, evaluate collateral, negotiate with lenders when appropriate, and maximize the bankruptcy tools available to help clients obtain meaningful debt relief.
Don’t Wait Until You’re Out of Options
Many homeowners continue struggling with overwhelming solar payments because they believe there is nothing they can do. The sooner you seek legal advice, the more options you may have.
At Branson Ainsworth PLLC, we help individuals and families throughout Florida evaluate whether Chapter 7 or Chapter 13 bankruptcy can provide relief from burdensome debt—including complicated solar panel financing.
If you’re falling behind on your solar payments or you’re unsure exactly who you owe money to, let us review your financing documents and explain your options.
This can be especially true if you are thinking about selling your home. Most title agents require the termination of the UCC statements or assumption by the buyer that they will be responsible for the loan. This could turn the value of your home upside down if you owe too such to a solar panel finance company or worst multiple finance companies.
Contact Branson Ainsworth PLLC Today
If your solar panel loan has become a financial burden, don’t wait until collections, lawsuits, or foreclosure become a reality or when you have decided to sell your home.
The experienced bankruptcy attorneys at Branson Ainsworth PLLC will review your solar financing agreements, explain your legal options, and determine whether Chapter 7 or Chapter 13 bankruptcy may help you reduce your debt and regain financial stability.
Call Branson Ainsworth PLLC today to schedule your consultation with Cole Branson or another member of our experienced bankruptcy team. We proudly represent clients throughout Florida.