How to apply for SoFi Personal Loan
Due to its lack of fees and provision of considerate additional services, such as free financial advice, SoFi stands out as a top-notch lender for eligible customers.
A Top Lender for Qualified Individuals: SoFi Personal Loans
If you’re in search of a reputable lender, SoFi provides fixed-rate personal loans ranging from $5,000 to $100,000. They offer flexible repayment terms of two to seven years.
One of the key advantages of borrowing from SoFi is that there are no origination costs, late fees, or prepayment penalties. This means you can save on unnecessary fees and have the freedom to pay off your loan ahead of schedule without any additional charges.
For those looking to save even more, SoFi provides an opportunity to lower your interest rate by 0.25 percentage points if you enroll in automatic payments. However, it’s important to carefully consider the annual percentage rate (APR) before applying, as a no-fee loan may come with a higher interest rate.
In times of financial hardship, SoFi also offers unemployment insurance for borrowers who are current on their payments. Additionally, if you are approved for a SoFi personal loan, they can adjust your monthly payments and provide job placement support throughout your forbearance period, which can last up to 12 months.
With a SoFi personal loan, you also become a member, gaining access to various benefits such as career coaching, financial planning assistance, and exclusive event invitations.
Additional Details About SoFi Personal Loans
SoFi’s APRs range from 7.99% to 23.43% (with autopsy). Customers residing in certain states, including Alaska, Colorado, Connecticut, Hawaii, Illinois, Kansas, Maine, Oklahoma, South Carolina, Texas, Virginia, and Wyoming, enjoy the lowest maximum interest rates available from SoFi.
Furthermore, SoFi stands out by not charging any origination costs or late fees. Even if you make a late payment, you won’t be penalized with additional charges. Plus, there are no prepayment penalties, allowing you to pay off your loan early without any extra fees.
Eligibility for a SoFi Personal Loan
To apply for a SoFi personal loan, you need to have a minimum FICO credit score of 650. However, meeting this minimum requirement does not guarantee approval, as SoFi considers a range of factors when evaluating applications. Most successful applicants have a credit score of 700 or higher.
In addition to credit score, SoFi requires borrowers to have a minimum annual income of $45,000. On average, SoFi borrowers earn over $100,000 per year. SoFi also assesses applicants based on their debt-to-income (DTI) ratio and evaluates the amount of income left after monthly bill payments. Ideally, applicants should have a monthly free cash flow of at least $1,500.
If your credit is not strong enough, you can apply with a co-applicant who shares the same address and is jointly responsible for loan repayment. This allows individuals with lower credit scores to still qualify for a loan.
How to Apply for a SoFi Personal Loan
If you’re interested in a SoFi personal loan, you can start by visiting their website or using their mobile app. In just two minutes, you’ll be able to see what APR you may be eligible for without impacting your credit score.
Once you’ve explored your options and are ready to proceed, you can submit a personal loan application online or through the SoFi app. Throughout the process, a loan consultant will guide you and answer any questions you may have.
After you’ve submitted your application, SoFi will conduct a hard credit pull to obtain your complete credit report from one or more consumer reporting agencies. The evaluation and approval process typically takes two to four days, although self-employed individuals may experience a longer waiting period of up to 15 days.
Upon approval, you can expect to receive the loan funds within a few days, although larger loan amounts may require additional processing time. The loan proceeds will be deposited into your personal bank account. You’ll find your first due date in the final disclosure and first billing statement provided by SoFi after the loan funds have been disbursed.
To make loan payments, SoFi offers various convenient methods such as ACH, online bill pay, and paper checks. However, payments made by credit card are not accepted.
SoFi Personal Loan vs. Upgrade Personal Loan
Comparing SoFi to Upgrade, there are a few notable differences. SoFi allows borrowers to obtain loans up to $100,000, while Upgrade’s maximum loan amount is $50,000. Additionally, SoFi does not charge origination or late fees, whereas Upgrade does.
SoFi borrowers also have the advantage of unemployment benefits and the ability to adjust payments and receive job assistance. It’s important to note that SoFi has stricter credit score requirements, typically accepting applicants with good credit, while Upgrade welcomes applicants with reasonable credit scores.
Benefits of a SoFi Personal Loan
- No origination costs, late fees, or prepayment penalties
- Option for a joint loan with a co-applicant
- Autopay discounts on interest rates
- Program available for borrowers facing financial hardship
Benefits of an Upgrade Personal Loan
- Various discounts available
- Opportunity for loans with joint security
- Debt consolidation loans allow for direct payments to creditors
- Long repayment terms offered for home improvement loans
How to Apply for an Upgrade Personal Loan
If you’re interested in an Upgrade Personal Loan, you can find detailed information on the application process in our dedicated article on the topic.
