SoFi Personal Loans Review 2021 | US News

SoFi, short for Social Finance, offers personal loans of up to $100,000 to borrowers with very good to excellent credit. The lender operates nationwide and is known for offering loans with no fees. In addition to personal loans, SoFi offers student loans, student loan refinancing, home loans and small business financing.

You can use a SoFi personal loan for personal, family or household purposes. Common loan uses include:

Borrowers can’t use loan funds for:

SoFi offers fixed-rate personal loans of $5,000 to $100,000. Repayment terms range from two to seven years, and you can expect to receive your funds within about seven days after approval.

SoFi doesn’t charge any fees, which means no origination or late fees or a prepayment penalty. You can receive a 0.25% discount on your interest rate if you sign up for automatic payments. However, a no-fee loan may mean you’ll pay a higher interest rate, so make sure you compare the annual percentage rate before applying.

Select your desired loan amount and loan purpose, your credit score range, and your state to see estimated annual percentage rates and loan terms.

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. However, the lender recommends very good to excellent credit for approval.

You must be currently employed or have a job offer starting within the next 90 days, or have sufficient income from other sources.

SoFi allows borrowers to get preapproved for rate quotes before officially applying. Co-borrowers are accepted, but they must reside at the same address as the primary borrower, and the application process may take an extra week or two.

SoFi has an A rating with the Better Business Bureau, but it is not BBB-accredited. In 2020, the Consumer Financial Protection Bureau received 18 personal-loan-related complaints about SoFi. The most common issues were related to getting a loan. SoFi provided a timely response to the CFPB for all complaints.

The entire SoFi loan process can be completed online, including preapproval, application, closing and account management. The lender’s customer service team is available by phone, email and chat.

SoFi offers an unemployment protection program that puts your loan into forbearance for up to 12 months if you lose your job involuntarily. You’ll also qualify for interest rate discounts on additional loans you take out through SoFi.

When you obtain a personal loan with SoFi, you become a member, which comes with perks for career building, financial planning and event access.