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On-Bill Loan Repayment

For Home Retrofit

Expanding business opportunities through On-Bill Loan Repayment options

As a participating trade ally contractor, you can gain a competitive edge by offering on-bill financing to homeowners who install qualifying energy improvements. Energy Trust is working with Portland General Electric, Pacific Power, NW Natural, Avista and regional nonprofit lenders Craft3 (NMLS ID#390159) and Puget Sound Cooperative Credit Union (PSCCU) (NMLS ID#619183) to provide On-Bill Loan Repayment and preferred rates for select energy-efficiency projects.

With On-Bill Loan Repayment, trade allies receive a 50% advance on the loan from Craft3 or PSCCU before beginning work, and full payment upon completion of the project. Homeowners then pay back costs through their home heating utility bill. The energy savings may offset much of the loan cost, so customers could see little to no increase on their energy bill.

Contact onbill@energytrust.org to learn more about becoming an eligible On-Bill Loan Repayment trade ally.

  • Straightforward, low rates for customers at no cost to you
  • Access a wider market of moderate-income customers without risk to your business
  • Fast processing
  • Online applications available
  • Electronic document signing
  • Electronic payment to contractors
  • Oregon Upgrade
  • Savings Within Reach (Oregon only)
  • NW Natural Washington (Washington only)

Loans may only be used to cover the cost of materials and installation for projects that qualify for Energy Trust incentives. Please review the following table to determine maximum allowable loan amounts. Not all homeowners will qualify for these loans or maximums.

OfferingLoan amountRepayment period
Oregon On-Bill Loan RepaymentUp to $10,000Up to 10 years
Savings Within Reach Up to $10,000, depending on upgradeUp to 10 years
NW Natural in Washington Up to $15,000Up to 15 years

Project eligibility is determined by Energy Trust. Loan availability, terms and conditions are current as of 1/1/22 and are subject to change without notice. Not all applicants will qualify. Both Craft3 (NMLS ID#390159) and PSCCU (NMLS ID#619183) are equal opportunity lenders.

  1. Trade ally determines customer eligibility.
  2. Participating trade ally and customer apply to lender.* The process takes less than 10 minutes.
  3. Lender* emails the loan approval decision to customer and trade ally within 3 to 5 business days.
  4. If approved, customer signs loan document electronically and lender notifies trade ally when the loan is closed, and work may begin.*
  5. Up to 50% of payment may be available to trade ally from lender.*
  6. Trade ally completes work.
  7. Trade ally and customer submit final signed invoice to lender.*
  8. Lender* pays remaining balance to trade ally.
  9. Energy Trust pays incentive to trade ally within 4 to 6 weeks.
  10. Customer repays loan via heating utility bill.

Lenders:

Craft3
homeenergy@craft3.org
1.888.231.2170 ext. 225
www.Craft3.org/HomeEnergy

PSCCU
askus@psccu.org
1.800.273.1550
www.psccu.org/energy-smart

*For homes that are primarily heated by gas provided by Avista, apply with PSCCU. All other customers apply with Craft3.

Oregon On-Bill Loan Repayment is available to customers who both own and reside in the single-family, manufactured home, or a multifamily residence that is an attached side-by-side unit like a rowhome, or is a unit within a duplex, triplex or fourplex receiving the upgrades. To qualify, the home must be heated with electricity or natural gas provided by Portland General Electric, Pacific Power or NW Natural.

Craft3 offers home energy-efficiency loans to qualifying customers. Incentive amount cannot exceed cost of materials and installation. Repayment method is the home heating bill.

For loan details, please visit Craft3’s webpage.

Energy-efficiency upgradeIncentives*Requirements
Ductless heat pump$500Home must be a single-family or manufactured home with land ownership, and currently use electric resistance heat as the primary heat source.

One indoor unit must be installed in the primary living area of the home, must replace electric resistance heat, have a heating seasonal performance factor (HSPF) of 9.0 or greater and be installed by a qualified contractor.
Ductless heat pump in Multifamily properties**$800Home must currently use electric resistance heat as the primary heat source.

One indoor unit must be installed in the primary living area of the home, must replace electric resistance heat.
Heat pump$700Minimum efficiency HSPF 8.5 or greater. Incentive is only available for homes replacing an electric furnace.

Cannot be combined with other heat pump, heat pump controls or thermostat incentives.
Extended capacity heat pump replacing electric resistant heat as primary heating source$650Must be home’s primary heating source and replace electric resistant heat. Unit must be included in Energy Trust’s list of qualifying products. Controls must be set with an auxiliary heat lockout setting when available.

Heat pump cannot have a backup gas heating system. Cannot be combined with other Energy Trust heat pump, heat pump controls or smart thermostat incentives.
Extended capacity heat pump replacing electric force air furnace as primary heating source$1,350Must replace electric forced air furnace as home’s primary heating source.

Unit must be included in Energy Trust’s list of qualifying products. Controls must be set with an auxiliary heat lockout setting when available.

Heat pump cannot have a backup gas heating system. Cannot be combined with other Energy Trust heat pump, heat pump controls or smart thermostat incentives.
Heat pump controls$250Controls must be included in Energy Trust’s list of qualifying products. Controls must have an outdoor temperature sensor or be web-enabled and retrieve weather data from the internet. Must lockout electric furnace auxiliary heat at 35°F or lower. Installation must be performed by a contractor with a valid Oregon Construction Contractors Board license.

Existing or replacement heat pump must have electric furnace backup to qualify.

Cannot be combined with other heat pump, heat pump controls or smart thermostat incentives.
Central air conditioners***$100Minimum system Seasonal Energy Efficiency Rating (SEER) of 15, and a minimum system Energy Efficiency Rating (EER) of 12 or greater.

System must be a qualifying central air conditioner serving most or all of the home.


Central air conditioners***$250Minimum system Seasonal Energy Efficiency Rating (SEER) of 16 or greater, and a minimum system Energy Efficiency Rating (EER) of 12 or greater.

System must be a qualifying central air conditioner serving most or all of the home.
Attic insulation†$0.50 $1.25 per square foot ††Amount listed includes limited-time bonus incentive. Installation must be completed between June 1 and December 1, 2022.

Visit the insulation page for full requirements.
Floor insulation†$0.30 per square footVisit the insulation page for full requirements.
Wall/knee wall/rim joist insulation†$0.30 per square footVisit the insulation page for full requirements.

* Incentive amounts cannot exceed cost of materials and installation.
** Stacked structures with five or more units are also eligible for the ductless heat pump and heat pump water heater incentives.
*** Central air conditioners may be financed for customers of Pacific Power and/or NW Natural only through the Oregon On-Bill Repayment offering for Oregon customers of:

  • Pacific Power
  • NW Natural and Pacific Power
  • NW Natural and Portland General Electric

† Insulation projects are eligible for On-Bill Loan Repayment in single-family homes when installation is combined with a qualifying heat pump or central air conditioning upgrade.

Download our Oregon On-Bill Loan Repayment Workflow.

Savings Within Reach helps make home energy upgrades more affordable for income-qualified households in Oregon.

Craft3 and PSCCU offer home energy-efficiency loans to qualifying Portland General Electric, Pacific Power, NW Natural and Avista customers.

To learn more about the loan, loan terms and to apply for financing, visit Craft3’s or PSCCU’s webpages:

*For homes that are primarily heated by gas provided by Avista, apply with PSCCU.

Loan and recording fees are covered by Energy Trust. Repayment method is the home heating bill.

Energy-efficiency upgradeIncentives*Requirements
Attic insulation$0.50 $1.25 per square foot ††Amount listed includes limited-time bonus incentive. Installation must be completed between June 1 and December 1, 2022.

Visit the Program Incentive Guide for full requirements.
Wall insulation$0.50 per square footVisit the Program Incentive Guide for full requirements.
Floor insulation$0.40 per square footVisit the Program Incentive Guide for full requirements.
Heat pump$1,000Minimum efficiency heating seasonal performance factor (HSPF) 8.5. Incentive is only available for homes upgrading from an electric furnace.

Cannot be combined with other heat pump, heat pump controls or thermostat incentives.
Extended capacity heat pump replacing electric force air furnace as primary heating source$1,650Must replace electric forced air furnace as home’s primary heating source. Home must have electricity provided by Portland General Electric or Pacific Power. Unit must be included in Energy Trust’s list of . Controls must be set with an auxiliary heat lockout setting when available.

Heat pump cannot have a backup gas heating system. Cannot be combined with other Energy Trust heat pump, heat pump controls or smart thermostat incentives.
Central air conditioners**$100Minimum system Seasonal Energy Efficiency Rating (SEER) of 15, and a minimum system Energy Efficiency Rating (EER) of 12 or greater.

System must be a qualifying central air conditioner serving most or all of the home.
Central air conditioners**$250Minimum system Seasonal Energy Efficiency Rating (SEER) of 16 or greater, and a minimum system Energy Efficiency Rating (EER) of 12 or greater.

System must be a qualifying central air conditioner serving most or all of the home.
Ductless heat pump***$1,000Home must currently use electric resistance heat as the primary heat source.

One indoor unit must be installed in the primary living area of the home, must replace electric resistance heat, have a heating seasonal performance factor (HSPF) of 8.5 or greater and be installed by a qualified contractor.
High-efficiency gas furnace$550 $1000 ††Amount listed includes limited-time bonus incentive. Installation must be completed between June 1 and December 1, 2022.

90% annual fuel utilization efficiency (AFUE) or greater. Gas furnaces used as backup for high-efficiency heat pumps, also known as hybrid systems, are not eligible.
Heat pump water heater (Tier 3)$270Eligible models must meet NEEA’s Advanced Water Heater Specification Tier 3 and replace an existing electric water heater.
Heat pump controls$250Controls must be included in Energy Trust’s list of qualifying products. Controls must have an outdoor temperature sensor or be web-enabled and retrieve weather data from the internet. Must lockout electric furnace auxiliary heat at 35°F or lower. Installation must be performed by a contractor with a valid Oregon Construction Contractors Board license.

Existing or replacement heat pump must have electric furnace backup to qualify.

Cannot be combined with other heat pump, heat pump controls or smart thermostat incentives.

Windows$1.75 per square foot

$4 per square foot

$6 per square foot
U-Value 0.28–0.30


U-Value 0.27 or less


U-Value of 0.25 or less
Gas tank water heater†N/AUniform Energy Factor (UEF) must be 0.66 or greater for tank size of 40 gallons or less

Uniform Energy Factor (UEF) must be 0.69 or greater for tank size of 41-74 gallons

Uniform Energy Factor (UEF), must be 0.86 or greater for tank size of 75 gallons or greater

* Incentive amount cannot exceed cost of materials and installation.
** Central air conditioner financing is available for Oregon customers of:

  • Pacific Power
  • NW Natural or Avista and Pacific Power
  • NW Natural and Portland General Electric

*** Please note: Stacked structures with five or more units are eligible for the ductless heat pump and heat pump water heater incentives only.
† There is no customer-facing incentive for a gas tank water heater, but the cost of the unit and installation may be financed with Savings Within Reach On-Bill Loan Repayment.
†† Limited-time bonus incentives are available while funds last.

 

Download our Savings Within Reach On-Bill Repayment Workflow.

On-Bill Loan Repayment is available to homeowners who reside in Washington and are utility customers of NW Natural.

Craft3 offers home energy-efficiency loans to qualifying customers. Loan fees are covered by Energy Trust. Repayment method is the home heating bill.

For loan details please visit Craft3’s webpage.

Energy efficiency upgradeIncentives*Requirements
Attic, floor and wall insulation$0.75 per square footVisit Program Incentive Guide for full requirements.
Windows$6 per square foot
$4 per square foot
$1.75 per square foot
U-Value 0.24 or less

U-Value of 0.27 or less

U-Value of 0.28-0.30
High efficiency gas furnace$55095% or greater annual fuel utilization efficiency (AFUE) or greater. Gas furnaces used as backup for high-efficiency heat pumps, also known as hybrid systems, are not eligible.

Central air conditioners may be financed when installed with a qualified gas furnace. Qualifying gas furnace must account for at least 51% of loan amount for central air conditioner to be eligible for financing.
Direct-vent gas fireplace**$250

$150
Fireplace efficiency (FE) ≥ 75%

FE ≥ 70–74.9%
Gas tankless water heater**$400Uniform Energy factor (UEF) ≥ 0.81

*Incentive amount cannot exceed cost of materials and installation.

Download our NW Natural Washington On-Bill Loan Repayment Workflow.

How does On-Bill Loan Repayment benefit my customers?

With more approvals than traditional lenders and low monthly payments, loans are designed to make energy-efficiency upgrades more accessible. Your customers may be eligible even with less-than-perfect credit, as these loans use flexible credit criteria based on utility payment history. With On-Bill Loan Repayment, loan payments are included as a line item on customers’ utility statement, so they don’t have to worry about extra bills to pay.

How can I help customers through the loan process?

Encourage your customers to apply for a loan with Craft3 or with PSCCU at the same time you submit their incentive application and supporting documentation to lender. Online applications receive quicker approval, but paper applications are available upon request.

When will customers start seeing loan payments on their utility bills?

Customers can expect to begin loan payments one-to-two bill cycles after funds have been distributed to trade allies.

What happens if a customer with a Craft3 loan sells their house?

Loans are typically paid off in the home refinance or sale process, but there are other options. Refinancing options include subordinating the loan to the new homeowner. In a home sale, customers may transfer the loan to the next homeowner with Craft3’s approval (fees may apply). Craft3 can support homeowners through this process.

What happens if a customer with a PSCCU loan sells their house?

The customer will need to pay off the remaining balance of the loan at the time of the home sale.

What if the project costs change once work begins?

If the cost of the project increases after loan documents have been signed, you may need to sign and submit updated documentation to Energy Trust. The homeowner will also need to re-apply for the loan and sign amended loan documents with Craft3.

Can a customer who previously received an On-Bill Loan Repayment loan, receive another loan for a different measure?

Customers with active on-bill loans who are interested in financing additional energy efficiency projects may be able to update their loan terms to include additional energy savings measures. Please work with the lender for more information.

Questions?