New "clean energy" loans help lower heating bills
The frigid weather this winter will bring higher utility bills to many Maryland households, but residents can now apply for low-cost loans to beef up their homes' insulation and heating systems.
The Maryland Clean Energy Center this week launched the Maryland Home Energy Loan Program, under which qualified applicants can borrow up to $20,000 to plug air leaks, seal ducts and replace aging furnaces, among other things.
To qualify, a resident first must get a home energy audit. The loans need not be secured by the applicant's home. The interest rate is 6.99 percent - which the center says is half what commercial banks charge on most unsecured loans.
The loan program, offered in partnership with the Maryland Energy Administration, is underwritten with federal stimulus funds. It's aimed at helping the state achieve its twin goals of reducing energy use 15 percent by 2015 and of cutting carbon-dioxide emissions 25 percent by 2020.
To apply or learn more, go here. Or call 301-738-6280 or email loans@mdcleanenergy.org
(Energy auditor checking for drafts in Lauraville home. Baltimore Sun photo by Amy Davis)
Comments
Let me see if I got this right. We're offering loans to make repairs that will lower bills that they already don't pay? And they're expecting the loans to be paid back? LMAO
TW: Who's the "they" you're talking about here? The loans are available to anyone regardless of income - even you, assuming you pay your bills. One of the main hurdles to reducing household energy use is the upfront cost to make the needed home improvements that can cut down on heat loss. This program offers a chance to borrow the needed capital at a lower interest rate than banks typically charge for unsecured loans. For more, go here: http://www.mcecloans.com/Module/Ext/ExtInfo.aspx?ModulePageAdmin=0fe789d7-d5fc-4297-9917-db58ccb8a660&&ModulePageVisitor=4b0b3b8a-4f4a-4192-98e8-4f0e35b75d90
Posted by: greg shipley | December 22, 2010 12:30 PM
Applicants need good credit to secure a loan under this program. Any possible payment challenges would be addressed up front. Someone who has a poor record of paying their utility bills is not likely to be approved for an MHELP loan. In the end, making efficiency improvements in one's home can LOWER their bills and that certainly will make them easier to pay.
Posted by: Jim Pierobon | December 22, 2010 4:05 PM
"They" refers to those who do not pay their utility bills. Those with good credit are not going to take this offer because they can get a much better rate with a home equity.
Posted by: greg shipley | December 23, 2010 7:25 AM