People's Electric provides financing for the purchase and installation of high efficiency electric heat pumps for qualified members. The specifics of this program are as follows:

• Equipment Requirements

• Air-to-air, dual fuel or ground source electric heat pumps will qualify.
• Financing is available for replacement units only. (Not available for new homes.)
• SEER rating must be 13 or greater.
• Equipment must have a manufacturer's warranty of at least a five years, or the life of the loan if loan term exceeds five years.
• Equipment must be installed by a Contractor who holds a Mechanical Contractor's License with a minimum of $50,000 general liability insurance and $5,000 workmanship bond. (Must have current copy of this information on file with PEC prior to loan closing.)
• Click here for a listing of contractors who have current information on file with PEC.
• Click here for a listing of contractors who install Ground Water Source Heat Pumps.
  
  

• Customer Requirements

• Must have been a PEC member for 24 months or longer.
• PEC credit history of no monthly payments received after the 20th of any month or any returned checks. Should also have a satisfactory credit report through the local Credit Bureau.
• The member must hold title to the structure where heat pump(s) is installed/financed and allow PEC to file a Mortgage on property where heat pump will be installed. (Cannot be renting the home.)
• The member must complete a PEC Credit Application.
• The member must sign a new Agreement for Electric Service for the term of the loan or until the loan is paid off.
• Mobile homes must be mounted on a permanent foundation on five (5) acres or more where the member holds the title.
• The member must agree to join PEC's Load Management Program (if implemented).
• The member must provide a copy of the Warranty Deed or Abstract (to be returned to the owner).
• The home may be subject to inspection/appraisal to satisfy mortgage requirements. In addition, PEC may require title insurance.
• An acceptable co-signer who meets these guidelines can be used with PEC's approval.

• Loan Provisions

• Before loan closing, the equipment must be installed with a copy of the contractor's bill provided to PEC, and is subject to PEC's inspection.
• A "pre-approved interest rate and loan" can be provided, which is good for 30 days.
• Checks will be issued directly to the contractor. If a copy is not on file, customer must provide proof of contractor's license and workmanship bond.
• Loans will not be made to re-finance electric heat pumps. In addition, these loans are not available for installations where PEC's rebate program has been chosen by the member.
• Loan must be paid off if the home is subsequently sold.
• The term of the loan can be up to ten years.
• All loans will require member to provide additional security by collateralizing with their PEC capital credits.

• Interest Rate/Term

• Interest Rate is subject to change on a daily basis; however, the rate on a particular loan is fixed for the life of that loan.
• The term of the loan can be up to ten years.
• Current rates available
• 5% - With PEC Sure B.E.T. Program
• 8% - Without PEC Sure B.E.T. Program
• Loan document fee is $35, which is added to the loan.

For more information or to apply for a heat pump loan, call toll-free 1-877-456-3031 or (580) 332-3031.  To electronically request more information, please complete the form below.