Sunlight Financial publishes a wide APR range — 0.00% to 6.99% on standard solar loans, with a separate 30-year tier at 1.99%, 2.99%, or 3.99%. The number you see depends on three independent variables, and the lowest one is almost never what a typical borrower actually qualifies for.
Current APR ranges by product
| Product | APR range | Term | Loan size |
|---|---|---|---|
| Solar loan — standard | 0.00%–6.99% | 3 mo – 25 yrs | $10K–$100K |
| Solar loan — 30-year tier | 1.99% / 2.99% / 3.99% | 30 yrs | $10K–$100K |
| Orange® home improvement | Tier-dependent | Up to 20 yrs | $10K–$100K |
| Tangerine™ small-ticket | 0% promo to 9.99%+ | 6 mo – 7 yrs | $1K–$15K |
| Solar lease (IGS partner) | N/A (monthly lease) | 20–25 yrs | System fully covered |
What drives the APR you actually get
1. Credit tier
Sunlight uses several internal credit tiers. Approximate FICO breakpoints:
- Tier 1 (prime+): 740+ FICO — qualifies for 0.00%–1.99% APR promotional tiers (with corresponding dealer fee).
- Tier 2 (prime): 700–739 — qualifies for 2.99%–3.99% APR on most products.
- Tier 3 (near-prime): 650–699 — qualifies for 4.99%–6.99% APR.
- Below 650: generally declined or routed to the lease program.
2. Dealer fee
The contractor chooses a dealer-fee tier when generating your quote. A higher fee buys a lower APR. The fee is then folded into the financed system price — you pay it, just not as a line item.
- $0–$0.50/W typically maps to the highest APR tier (5.99%–6.99%).
- $0.50–$1.50/W typically maps to mid-tier (3.99%–4.99%).
- $1.50–$3.00/W typically maps to sub-3% APRs.
- $3.00–$5.00/W is required for 0.00%–1.99% promotional tiers.
On a 10-kilowatt (10,000-watt) system, that’s a dealer fee of up to $50,000 baked into your principal in exchange for the lowest APR.
3. Term length
Generally, shorter terms get lower APRs (the bank takes less duration risk). A 10-year loan at 3.99% is often the same dealer-fee tier as a 25-year loan at 4.99%.
Realistic rate scenarios
| Borrower profile | Likely APR | Term offered |
|---|---|---|
| FICO 760, 20% DTI, prime market | 1.99%–2.99% | 15–25 yrs |
| FICO 720, 35% DTI, average install | 3.99%–4.99% | 20–25 yrs |
| FICO 680, 40% DTI, low-fee installer | 5.99%–6.99% | 20–25 yrs |
| FICO 650, 45% DTI | 6.99% or decline | 25 yrs only |
| FICO <650 | Likely declined; lease offered | — |
How to negotiate a better rate
- Ask for the dealer fee in dollars. If your installer can’t state it, walk.
- Ask for the cash price. The difference between cash and financed price is the dealer fee.
- Get a second installer quote. Different contractors run different fee tiers on the same lender.
- Compare to a HELOC. If you have home equity, a HELOC is often cheaper.
- Run the lifetime cost. A higher-APR, no-dealer-fee loan often wins on total cost.