Company Overview
SoFi, short for Social Finance, offers personal loans of up to $100,000 with terms between two and seven years. The lender was founded in 2011 and offers personal loans with no origination fees in exchange for higher interest rates. In addition to personal loans, SoFi offers student loans, auto and student loan refinancing, and home loans.
2024 Editors’ Choice Award Winner: Best Lender for Paying Down Credit Cards
Amid stubborn inflation thatโs driven up the cost of essential expenses like food and shelter, many Americans are becoming increasingly reliant on credit cards to make ends meet. Given the current economic climate, consumers should find ways to pay down their high-interest credit card debt โ and one option for doing that is with a fixed-rate personal loan. What sets SoFi apart from other top-rated lenders is that it offers an extra incentive for borrowers who consolidate credit card debt: a 0.25% interest rate discount for new customers who let SoFi pay their creditors directly.
SoFi Is Best For:
- People who have very good or excellent credit.
- People who want the option to avoid fees in exchange for a higher interest rate.
- People who want to apply with a co-borrower.
How to Qualify
To qualify for a SoFi personal loan, you must be a U.S. citizen, permanent resident, or visa holder. You also must be considered an adult, according to your state’s laws. You should be employed, have an offer to start a job within the next 90 days, or have sufficient income from other sources. A good credit history also helps you qualify.
Co-borrowers are accepted, but they must reside at the same address as the primary borrower. The application process also may take an extra week or two.
What Credit Score Do You Need?
SoFi requires a minimum FICO credit score of 680 but doesn’t disclose other loan qualification data, including debt-to-income ratio, minimum credit history, or minimum income.
Where Does SoFi Operate?
SoFi personal loans are available in all states.
How to Apply?
You can prequalify for a SoFi personal loan without hurting your credit score. After you see what terms you qualify for, you can apply online in minutes with the help of a SoFi loan consultant.
Once you submit your application, SoFi performs a hard credit pull, which may affect your credit. When you’re accepted for the loan, SoFi sends a loan agreement for you to sign. Your funds become available in a few days.
Is SoFi Reputable?
SoFi has an A+ rating with the Better Business Bureau, but it is not BBB-accredited.ย In 2021, the Consumer Financial Protection Bureau received 14 personal-loan-related complaints about SoFi. The most common issues were related to getting a loan. SoFi provided a timely response to all but one complaint. In addition, SoFi has a 2.8 rating, an average score, on Trustpilot.