Energy efficiency loans
Borrow for heat pumps, insulation, LED lighting or efficient appliances at an existing NAEC member property in northern Arkansas.
Diese Finanzierungsmöglichkeit ist derzeit auf Englisch beschrieben.
NAEC lends money through the USDA Rural Energy Savings Program for improvements to existing homes and businesses. This listing covers heating and cooling, LED lighting, insulation and air sealing, and efficient appliances.
You can borrow at least $1,000. Loans above $20,000 need board approval. NAEC publishes a 1% interest rate for the duration of a loan, dated 1 January 2023, and says the offered rate is subject to change.
Maximum repayment periods depend on the work:
- Mini-splits and air-source heat pumps: eight years; geothermal systems: ten years.
- LED lighting: five years for residential installations and ten for commercial installations.
- Insulation, air sealing and other qualifying building improvements: five years below $5,000, or ten years at $5,000 or more. Labor and materials can be financed; if you install the materials yourself, only their cost can be financed.
- Qualifying appliances: five years.
NAEC registers a lien on financed equipment attached to the property: the loan is secured against that equipment. It charges $50 to file the required forms. You repay the loan through scheduled monthly bills, and receive an annual statement of principal and interest paid.
Eligibility
- You must have been an NAEC member for at least six months. Eligible locations include existing residential, commercial, industrial, public, community and agricultural buildings or facilities, and other locations accepted by NAEC.
- NAEC assesses your credit report, utility payment history, requested amount, activity, location and potential energy savings. Where an audit or blower-door test is needed, its results must show that the improvements are cost effective and reduce the building’s overall energy use.
- For heating and cooling, an NAEC energy adviser conducts an energy audit and blower-door test to determine the right unit size after approval. You choose the dealer, who must be licensed in Arkansas; NAEC also recommends valid liability and workers’ compensation insurance.
- An NAEC adviser must calculate potential savings for LED lighting and conduct an energy audit for weatherization work. Qualifying building work includes ENERGY STAR windows and doors, ceiling, floor or wall insulation, duct work and certain roofing applications.
- Appliances must be ENERGY STAR rated and permanently installed at the property. Supply photos of the appliances and their ENERGY STAR labels.
- You must agree to a possible inspection of installed measures within six months of installation.
How to apply
- Status
- Laufende Antragstellung
- Beschränkungen dieser Antragsrunde
- NAEC membership for at least six months; approval and available funds are required before ordering or installation.
Apply through NAEC’s online Consumer Loan Application, or obtain a paper application during business hours at the Salem, Ash Flat or Mountain Home office. The online form includes a warranty-deed attachment and authorizes credit, employment and other checks; disclose all financial obligations, including guarantor or co-signer liabilities.
After approval, a Member Services representative explains the liens, deed copy, audits or tests, documents, invoices and payment procedures. Do not order or install the financed equipment or measures until the loan is approved and funds are available.
When the work is complete, submit all invoices for loan closing. NAEC pays you by check at closing, and you are responsible for paying the contractor. It will not advance money to you or the contractor without assurance that the work has been properly completed.