SoFi Personal Loan full review
Few lenders are better than SoFi, thanks to the absence of fees and thoughtful extras such as free financial advice that qualified individuals can benefit from.
Borrow Up to $100,000 with Personal Loans from SoFi
SoFi, founded by Stanford Business School students in 2011, is a fintech business that has grown to become a leading online lender. While initially focusing on student loan refinancing, SoFi has expanded its offerings to include mortgages, personal loans, and cryptocurrency trading. Since going public in 2021, SoFi has gained over 2.5 million subscribers.
When it comes to personal loans, SoFi provides borrowers with flexible options to suit their needs. Whether it’s consolidating credit card debt, financing home improvements, or covering wedding expenses, SoFi has you covered. However, it’s important to note that personal loans from SoFi cannot be used for educational purposes.
Key Features of SoFi Personal Loans
- Fixed interest rates
- Unsecured loans (co-borrowing not allowed)
- No co-signers allowed
- Additional loan products available, such as mortgages, student loans, and parent-student loans
For a comprehensive review and a closer look at how SoFi operates, check out our full article.
How Does the SoFi Personal Loan Process Work?
SoFi is an online lending marketplace that offers unsecured personal loans, except in Mississippi. Loan amounts range from $5,000 to $100,000, with loan terms of two to seven years. While a minimum credit score of 650 is required, highly qualified applicants can secure larger loan amounts and the lowest interest rates.
Once approved, borrowers can expect to receive their funds within a few days. The funds can be used for various personal, family, or home-related needs. SoFi also allows applicants to check their prequalification status without affecting their credit score. With the help of a SoFi loan expert, applicants can quickly apply online and review the terms they qualify for. It’s important to note that SoFi performs a hard credit pull when the loan application is submitted, which may impact the applicant’s credit.
After approval, borrowers sign a loan agreement and can typically access their funds within a few days.
Benefits of SoFi Personal Loans
No Fees
SoFi does not charge origination fees, late fees, or prepayment penalties. This feature sets SoFi apart from many other online lenders.
Flexible Repayment Terms
Unlike some lenders, SoFi offers a variety of repayment term options ranging from two to seven years. This allows borrowers to choose between lower monthly payments over a longer period or paying less interest with a shorter term.
Discount Opportunities
Borrowers may be eligible for multiple discounts that can reduce their interest rates. Setting up autopay can result in a 0.25% rate reduction, while establishing a monthly direct deposit of at least $1,000 to a SoFi checking account can lead to an additional 0.25% rate discount. Borrowers who opt for debt consolidation and have SoFi pay their creditors directly can receive an extra 0.25% rate reduction.
Joint Borrowing
Borrowers have the option to add co-applicants to their loan applications. Adding someone with a better credit score or higher income can increase the chances of approval or secure a lower interest rate. However, each co-borrower is equally responsible for repaying the loan.
Unemployment Protection
SoFi offers an unemployment protection program for borrowers who lose their jobs while repaying their loans. Approved applicants can have their monthly payments and forbearance terms adjusted. It’s important to note that interest continues to accrue during this period, but borrowers have the option to make interest-only payments to prevent their principal from increasing.
Financial and Career Guidance
SoFi provides borrowers with access to one-on-one career coaching to assist with job searches, career changes, and personal branding. Customers can also access affordable estate planning services and receive unlimited financial guidance.
Mobile App
Applicants can manage their loans on the go using the SoFi mobile app. The app allows users to check rates, submit loan applications, and make payments conveniently from their smartphones.
How to Apply for a SoFi Personal Loan
For a detailed guide on the application process, refer to our next article for more information.
