What is the interest rate for energy storage loans

What is a storage loan?

Storage loans are another way to own your system outright. They let you pay for the system over ten years, as opposed to all at once upfront. There are two different types of storage loans: Solar-plus-storage loan: the most common way to finance a storage system is through a dual solar-plus-storage loan.

How do I finance my energy storage system?

Similarly to solar, there are three primary models for financing your energy storage systems, with slight variations from what’s available for solar. The most common way to pay for a battery is through an upfront, or cash, purchase.

Should I get a solar-plus-storage loan?

Solar-plus-storage loan: If you pair your solar system with battery storage from the beginning, a solar-plus-storage loan can finance your entire solar project. Naturally, this will be a much larger loan with a longer payback period, but many lenders offer favorable interest rates and terms.

How much does energy storage cost?

But storage isn’t free: to take advantage of the myriad benefits batteries offer, you’ll first need to pay for your energy storage system. When paired with a solar panel system, a typical battery will cost around $15,000 on EnergySage.

What are the different types of storage loans?

There are two different types of storage loans: Solar-plus-storage loan: the most common way to finance a storage system is through a dual solar-plus-storage loan. If you’re buying a new solar-plus-storage system, adding the price of a battery to your solar loan will increase your monthly bills slightly.

What is a loan interest rate?

The loan interest rate is the single effective rate that would result in the same present value as discounting each cashflow at the interpolated U.S. Treasury rate for that borrowing date. This will be similar (but not equal) to the interpolated U.S. Treasury rate at the (spread) duration of the loan.