$12.5B
FTC-reported fraud losses in 2024
FTC says consumers reported losing $12.5 billion to fraud in 2024.
High-pressure door-to-door salespeople misrepresent solar panel costs, savings, and government incentive programs to lock homeowners into predatory contracts or collect large upfront deposits.
“utility scam”
↑ 649%Key indicators
Estimated impact
$960
median reported loss
Scam breakdown
Salespeople knock on doors claiming to represent a government-backed solar program offering free or heavily subsidized panels
Homeowners sign contracts with hidden escalation clauses, inflated pricing, or long-term leases that reduce property value
Some operations collect large deposits and either never install the panels or install substandard equipment with no warranty
What to do first
Never sign a contract on the same day — take time to get competing quotes from licensed solar installers
Related terms
Real-world example
Based on reported patterns. Names and details are illustrative.
The setup
Fatima, 42, a homeowners, encountered what appeared to be a legitimate utility scams situation while using Door-to-door. Salespeople knock on doors claiming to represent a government-backed solar program offering free or heavily subsidized panels
Step 2
What happened next was calculated: Homeowners sign contracts with hidden escalation clauses, inflated pricing, or long-term leases that reduce property value
Step 3
The pressure escalated quickly: Some operations collect large deposits and either never install the panels or install substandard equipment with no warranty
The outcome
Fatima realized something was wrong when salesperson claims a government program will cover the entire cost of installation with no out-of-pocket expense. By that point, significant damage had already been done — money sent, personal information shared, or trust exploited.
The lesson
Never sign a contract on the same day — take time to get competing quotes from licensed solar installers Fatima's experience shows why salesperson claims a government program will cover the entire cost of installation with no out-of-pocket expense and high-pressure tactics demanding you sign a contract the same day before the offer expires are the clearest early warning signs.
How to identify it
What to do now
What to save before reporting
How big is this problem
These numbers come from government agencies and official reports. If you have been affected, know that this is a widespread problem — not something that only happens to careless people.
$12.5B
FTC says consumers reported losing $12.5 billion to fraud in 2024.
Imposters
FTC says imposter scams remained the most commonly reported fraud category in 2024.
History and evolution
Recovery and follow-up
Why this pattern keeps working
Even when the story changes, most scams still use the same pressure pattern: urgency, authority, and a request to move money or data fast.
The FTC has taken enforcement action against multiple solar companies for deceptive marketing, and state attorneys general have filed suits over misleading door-to-door solar sales
FTC Consumer Sentinel 2025
Where to report it
If you have been targeted by this scam, reporting it helps authorities track the pattern and protect others. United States has dedicated agencies that handle fraud reports.
ReportFraud.gov
Federal Trade Commission
Central U.S. consumer fraud reporting portal.
File an IC3 complaint
FBI Internet Crime Complaint Center
FBI portal for internet-enabled crime reports.
Start identity theft recovery
IdentityTheft.gov
Official U.S. identity theft recovery plan builder.
Explore further
Who is most at risk
Primary targets
Homeowners, Low-income households
Geographic concentration
United States, Australia, United Kingdom
Primary channel
Door-to-door — Utility scams
Why this group is vulnerable
Homeowners are particularly vulnerable because this scam exploits trust in familiar brands, authority figures, and time-sensitive decisions. The rapid increase in reports suggests that awareness among this demographic remains low.
Sources and methodology
OpenScam tracks scam patterns using a combination of government consumer protection databases (FTC, IC3, Action Fraud), platform-specific fraud reports, and verified consumer complaint data. Each entry is cross-referenced against at least two independent sources before publication.
Severity ratings are based on financial impact potential, reversibility of damage, and volume of reports across multiple reporting channels. Trend velocity reflects the rate of change in report volume over the most recent 90-day window.
This page was last verified on 2026-04-04. Red flags, recovery steps, and reporting resources are reviewed quarterly against current agency guidance.
Evidence and indicators
Source notes
Frequently asked questions
Salespeople knock on doors claiming to represent a government-backed solar program offering free or heavily subsidized panels Homeowners sign contracts with hidden escalation clauses, inflated pricing, or long-term leases that reduce property value Some operations collect large deposits and either never install the panels or install substandard equipment with no warranty
Salesperson claims a government program will cover the entire cost of installation with no out-of-pocket expense High-pressure tactics demanding you sign a contract the same day before the offer expires No written estimate, contract fine print hidden, or refusal to leave documentation
Never sign a contract on the same day — take time to get competing quotes from licensed solar installers Verify any government incentive claims by checking the DSIRE database at dsireusa.org or contacting your state energy office Report deceptive solar practices to your state attorney general and the FTC
This scam primarily targets Homeowners, Low-income households. It is most commonly reported in United States, Australia, United Kingdom and typically appears on Door-to-door.
solar panel door-to-door scam is currently surging — reports are increasing rapidly. It has been reported across US, AU, UK. Last updated 2026-04-04.
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Help someone avoid this scam.
Scammers succeed because people do not talk about it. If you or someone you know has been affected, there is no shame in it — it happens to millions of people every year. Share this page with friends and family so they know what to look for.