Why is there a difference in cash and loan pricing?

The loan price is your true system cost. The cash price includes a cash discount. Why the cash discount? Similar to closing costs on a mortgage, there are additional costs the installer incurs through a financed deal. The installer is not making more money on these deals, rather the financier is taking a small margin from the installer to deliver competitive rates. So by eliminating financing, the installer can give you a cash discount.