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How to Cancel or Get Out of a Mosaic Solar Loan

Stuck with a Solar Mosaic loan you regret? Between undisclosed dealer fees, a state attorney general lawsuit, and a loan portfolio that has changed hands, Mosaic borrowers often have more leverage than they realize. Here is how to tell if you can cancel, dispute, or exit yours.

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Can you get out of a Mosaic loan?

Often, yes. Whether you can cancel or dispute your Mosaic loan turns on how it was sold and what you were told — but Mosaic's dealer-fee practices are named in a state lawsuit, and its loans have moved between servicers, both of which can work in a borrower's favor. You don't need to prove your case yourself; a free review of your documents will tell you where you stand.

Who is Mosaic?

Solar Mosaic is one of the earliest and largest financiers of residential solar in the U.S. It doesn't sell or install panels — it funds deals originated by third-party solar dealers, and that dealer model is where most complaints begin. Mosaic has since restructured, and its large loan portfolio has moved, which is why some borrowers have seen their servicer or payoff details change.

Why Mosaic loans are under scrutiny

The most significant action against Mosaic:

  • Minnesota Attorney General lawsuit (2024). Minnesota sued Solar Mosaic — alongside GoodLeap, Sunlight Financial, and Dividend — alleging the lenders concealed upfront dealer fees inside financing agreements, in violation of the state's Regulated Loan Act.
  • The numbers. Per the complaint, Mosaic's average upfront fee was about 17.6% of each loan, adding an average of roughly $5,800 to Minnesota consumers' balances — over $12 million in upfront fees across those borrowers.
  • Servicing upheaval. As Mosaic restructured and its portfolio changed hands, borrowers have reported payoff delays, incorrect payoff amounts, and confusion over who to pay.

These are allegations being litigated, not settled findings — but they map directly onto the grounds an individual homeowner can raise about their own loan.

Grounds to cancel or dispute a Mosaic loan

Hidden or excessive dealer fees

If a large dealer fee — around 17.6% on average, per the Minnesota complaint — was baked into your financed amount without clear disclosure, that can support a claim that the loan's true cost was misrepresented.

Misrepresentation at the point of sale

"Free" panels, guaranteed savings, a disappearing bill, a "government program" — if the dealer's pitch didn't match your contract, a loan induced by false promises can be challenged.

Truth in Lending Act (TILA) violations

When fees are buried, the APR understated, or the amount financed misstated, that can be a TILA violation — which in some cases extends your right to rescind well beyond the standard window.

The 3-day right to cancel

If your loan was signed at your home, the FTC's Cooling-Off Rule generally gave you until midnight of the third business day to cancel, and many states add their own protections.

UCC-1 lien blocking your home

A UCC-1 fixture filing can surface in title work and stall a sale or refinance. Where the loan involved misrepresentation, it can often be challenged or cleared as part of a dispute.

A system that never worked — or an installer that vanished

If your system underperformed, was never activated, or your installer went bankrupt while the loan kept billing, that gap can support a breach or dispute claim.

How to get out of your Mosaic loan

1

Gather your Mosaic documents

Your loan agreement, the Truth in Lending disclosure, the sales contract, and any fee breakdown — plus recent statements if your servicer changed.

2

Identify your grounds

Match your situation to the grounds above — hidden fees, misrepresentation, a lien, a broken system. A free review confirms which are strongest.

3

Dispute in writing

Raise it with Mosaic or its current servicer and, where warranted, file complaints with the CFPB and your state attorney general.

4

Escalate if needed

Depending on your facts, the path may be negotiation, a referral to an attorney handling solar-loan cases, or evaluating whether you fit existing litigation.

Mosaic solar loan FAQ

Can I cancel my Mosaic solar loan?

Possibly. If your Mosaic loan was sold at your home you may have had a 3-day right to cancel, and beyond that, grounds like undisclosed dealer fees, misrepresentation, or Truth in Lending Act violations can support cancelling or disputing the loan long after signing. Mosaic's dealer-fee practices are named in a state attorney general lawsuit, which is the kind of issue that can give a borrower leverage. Whether it applies to your loan depends on your documents.

Is Mosaic being sued?

Yes. In 2024 the Minnesota Attorney General sued Solar Mosaic — alongside GoodLeap, Sunlight Financial, and Dividend — alleging the lenders concealed upfront dealer fees inside solar financing agreements in violation of state lending law. According to the complaint, Mosaic's average upfront fee was about 17.6% of the loan, adding an average of roughly $5,800 to consumers' balances.

Who owns or services my Mosaic loan now?

Servicing and ownership of Mosaic loans have shifted as the company restructured, and its large loan portfolio moved as part of that process. If your statements, payoff contact, or autopay details changed, that is why — and it is also a common source of payoff delays and incorrect payoff amounts. Keep every document; a changed servicer does not erase the grounds you may have on the original loan.

Does Mosaic charge dealer fees?

Yes. Dealer fees are standard in solar financing. Per the Minnesota Attorney General's complaint, Mosaic's average upfront fee was about 17.6% of each loan — money added to what you finance and pay interest on for years, often without clear disclosure. Undisclosed dealer fees are a common basis for disputing a solar loan.

Does Mosaic put a lien on my house?

Like other solar lenders, Mosaic loans are commonly secured by a UCC-1 fixture filing tied to the equipment. It is not a mortgage, but it can appear in title work and stall a home sale or refinance until resolved. Where the loan involved misrepresentation, that filing can often be challenged as part of a dispute.

My installer went out of business — do I still owe Mosaic?

You are not necessarily on the hook for a system that was never delivered as promised. Many solar borrowers are left paying a loan while the installer that sold it has vanished and the system underperforms or was never activated. That gap between what was promised and delivered can support a breach or dispute claim against the financing.

How do I dispute Mosaic or fix a wrong payoff amount?

Gather your loan agreement and fee disclosures, then dispute in writing — to Mosaic (or its current servicer) and, where warranted, to the Consumer Financial Protection Bureau (CFPB) and your state attorney general. Payoff confusion is common after a servicing change, so a written paper trail matters. A free review can tell you the strongest path.

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Sources & further reading:Minnesota Attorney General, "Attorney General Ellison sues solar lenders over $35M in deceptive hidden fees" (ag.state.mn.us); pv magazine USA, "Minnesota sues GoodLeap, Sunlight, Mosaic and Dividend over dealer fees" (pv-magazine-usa.com). Allegations described here are drawn from these public filings and reports and have not been proven in court.