HVAC financing for customers is the set of payment plans you arrange with a lender so a homeowner can spread a system replacement across monthly payments instead of paying cash.
This page is for the owner or GM deciding whether to offer it and what saying yes costs, inside the replacement pipeline described at HVAC replacement leads.
Should an HVAC company offer financing?
The homeowner's side is stated intent: in a February 2026 Housecall Pro survey of 1,100+ US homeowners, 62% said they're more likely to move forward when financing or payment plans are offered, and 77% are delaying or scaling back projects because of cost; Housecall Pro, the survey's software vendor, says the non-probability sample should be read directionally.
The purchase is big: homeowners reported spending an average of about $8,400 on an HVAC replacement project (Harvard JCHS tabulation of the 2023 American Housing Survey, self-reported, DIY included).
The payment data puts that intent in context: JCHS reports that in 2023, 76% of home improvement projects were paid mainly with cash and 2% with contractor-arranged financing, but larger projects are far more likely to be financed, with home equity funding 11.7% of projects at $10,000 to $49,999 against 3.9% under $10,000 (all home improvement, not HVAC-only).
An HVAC replacement is one of those larger projects; JCHS writes that offering homeowners more financing options "could be a promising growth opportunity for the remodeling industry."
Having financing and offering it are different: in the ACCA / Farmington "Contractor of the Future" survey of more than 1,000 HVACR contractors fielded in fall 2025, 68% have financing available but only 37% offer it on every job and 32% never offer it.
Put it in front of every replacement estimate and measure your own close rate; correlations are not promises or guarantees.
What the ACCA survey ties to financing
Contractors that offer financing reported a 49% close rate against 38% for those that don't; shops that offer financing differ in other ways too, so it is an association, not proof of cause.
Close rate contractors reported, by whether they offer financing
Two more associations: the always-offer group reported 35% of sales financed against 17% for selective offerers, and 35% base-model sales against 50% for those that never offer it.
The test for what it does for you is your own estimates-to-signed number, covered at HVAC close rate.
HVAC financing companies for contractors
Among surveyed contractors, 78% use a private financing company and 22% a local bank; most found their partner through a manufacturer program, and the most-named lenders were Wells Fargo (25%) and Synchrony (24%), shares of answers, not loan-volume market share.
About a third of offerers keep a second-look lender, a backup for declined applicants, and reported 35% of sales financed against 23% at single-lender shops.
What financing costs the contractor
Lender pages describe three cost models, as published on October 1, 2026: a per-transaction merchant fee, a subscription with no per-loan fee, and promotional plans a manufacturer may partly rebate.
GreenSky's merchant FAQ says merchants "pay a small fee each time you run a transaction" without publishing the amount; Hearth describes a marketplace of 18+ lenders with "$0 dealer fees," though it states it does not make loans and its subscription price wasn't on the page read.
Wisetack, a point-of-sale lender for home-service companies, publishes its schedule: a flat 3.9% transaction fee per financed job, rising to 4.9%, 6.9% or 9.9% when the business opts into extended 0% APR plans and the customer qualifies for and picks a 6-, 12- or 24-month plan (a 3-month 0% option is included at the standard fee).
Its jobs run $500 to $65,000 (a June 15, 2026 press release raised that max from $25,000 and added 7- and 10-year terms starting at 9.9% APR); prequalification is a soft credit check, and consumer offers run 0 to 35.9% APR over 3 to 120 months.
The buydown model: the 2026 YORK / Synchrony promotion sheet gives Certified Comfort Expert dealers an up to 6% buydown for 12 months and Liberties Plus contractors up to 3% for 9 months, claimed as rebates within 30 calendar days of funding.
Synchrony, Service Finance and Wells Fargo published no dealer-fee percentage on the pages read, so get rate sheets in writing.
What the merchant fee costs on a financed job
How to market it: lead with the monthly payment, correctly
Presentation moved with financing in the same survey: 72% of contractors lead a proposal with the total price, 28% with a monthly payment, and the payment-first group reported financing 42% of new and replacement sales against 21%, self-reported and correlational.
The pitch writes itself: the Federal Reserve's G.19 release shows commercial-bank credit card plans averaging 20.94% APR as of May 2026 and 24-month personal loans at 11.86%, bank averages, not HVAC rates.
Homeowners search for it too: Google Keyword Planner US data, October 2026, puts "hvac financing" at about 2,900 searches a month and "ac financing" at about 1,300, national averages.
Print a payment amount and Regulation Z's closed-end ad rule (12 CFR 1026.24(d)) attaches: the ad must also state the down payment, the repayment terms, the annual percentage rate using that term, and whether the rate can increase, covering only terms actually available.
True 0% APR promotion
- Interest is never charged retroactively.
- Pairing it with a payment or period figure still triggers Regulation Z.
'No interest if paid in full'
- Deferred interest on a card-style plan: interest is charged from the purchase date if the balance isn't paid in full within the period (12 CFR 1026.16(h)).
- The ad must state the period clearly and conspicuously, say "if paid in full" when it says "no interest," and, in written and electronic ads, say near the first claim that interest will be charged from the purchase date if it isn't.
Meta requires credit ads to target people 18 or older, include legally required disclosures and not collect financial details in the ad, exempts ads that only mention a financial product without the ability to obtain it, and doesn't say whether an HVAC ad offering "0% financing available" falls under its financial products category.
The safe read: an ad offering terms risks review under it, which strips ZIP targeting and can reject the ad, while an ad selling the install that merely mentions financing exists sits closer to the exemption.
Which terms trigger what, and compliant ad structures, are covered at HVAC financing advertising rules.
Two rules that come with the lender paperwork
Regulation Z's advertising rules apply to all persons who advertise credit, including merchants that are not creditors, per the CFPB's official interpretation.
Which rule applies depends on whether the program is closed-end installment or card-style revolving credit; your lender usually supplies compliant ad language.
The FTC's Cooling-Off Rule reaches the kitchen-table close: a buyer can cancel a sale of $25 or more made at their home until midnight of the third business day, even when they invited the seller, and the seller may not assign the buyer's note to a finance company before midnight of the fifth business day.
It requires a dated contract or receipt, two cancellation notices and an oral notice of the right; confirm the details with your attorney and lender, as these are rule descriptions, not legal advice.
Roll it out as a test
- Get the merchant fee, extended 0% plan costs and any buydown terms in writing before you sign.
- Lead with the monthly payment on your pricing page, in estimate follow-ups and on landing pages, with your lender's disclosures.
- Measure estimates-to-signed before and after, one change at a time; treat any lift as your own result.
Frequently asked questions
What is the best way to finance an HVAC system for my customers?
Most surveyed contractors partner with a private financing company rather than a local bank: in the ACCA / Farmington survey fielded in fall 2025, 78% used a private financing company, 22% a local bank or funding source, and most found their partner through a manufacturer program. Compare each program's merchant fee and 0% plan costs in writing before you sign.
How much does it cost an HVAC company to offer financing?
It depends on the program: Wisetack publishes a flat 3.9% merchant fee per financed job, rising to 4.9%, 6.9% or 9.9% when the business opts into extended 0% APR plans and the customer qualifies for and picks a 6-, 12- or 24-month plan, while GreenSky says merchants pay a small fee per transaction without publishing the amount and Hearth advertises $0 dealer fees with a subscription. Ask every program for its rate sheet in writing.
What credit score do you need to finance HVAC?
Your lender sets approval criteria, not your dealership, and they vary by program. Wisetack says prequalification starts with a soft credit check; ask your financing partner for its criteria in writing.
What is second-look financing?
A backup lender that reviews applicants your primary lender declines. About a third of contractors that offer financing use one, and they reported financing 35% of sales against 23% for single-lender shops in the ACCA / Farmington survey, a self-reported correlation.
Is 0% financing the same as no interest if paid in full?
No. A true 0% APR promotion never charges interest retroactively, while a deferred-interest promotion charges interest from the purchase date if the balance is not paid in full within the promotional period, and the two carry different advertising disclosure rules.
Do financing advertising rules apply to contractors, not just lenders?
Yes. The CFPB's official interpretation of Regulation Z says its advertising rules apply to all persons who advertise credit, including merchants that are not creditors, so a contractor advertising a monthly payment is covered. The full checklist is on our HVAC financing advertising rules page.