Founded in 2011, SoFi is an excellent financial solution for emerging professionals and students. To date, SoFi has issued over $14 billion in financial solutions. SoFi personal loans are consistently among the best in the industry with low rates and high maximum loan amounts. The company is currently headquartered in San Francisco, California.
- High Max Loan Amount
- Flexible Term Loans
- Competitive Rates
- No Hidden Fees
High Max Loan Amount
While most competitors cap their personal loans at $35,000, SoFi goes above and beyond the industry average by offering amounts up to $100,000 to select customers. The option for a larger loan amount provides borrowers more flexibility in what they can do with their money. A quick reminder, SoFi personal loans cannot be used for expenses relating to education. The amount accepted (and subsequent payback rates) are determined in large part by your eligibility. Factors that calculate your options include current employment, free cash flow, and more.
Flexible Term Loans
With loan terms falling between three and seven years, SoFi personal loans are some of the most flexible in the industry. This feature enables consumers to realistically pay back their loans over time with relatively low monthly payment amounts. Most top personal loan companies have terms averaging around five years. SoFi's longer personal loan terms make sense especially if a borrower receives close to $100,000.
Fixed interest rates fall between 5.49 percent and 14.24 percent for those who sign up with autopay through the company, and 5.74 percent and 14.49 percent for those without autopay. Variable interest rates are available between 5.17 percent and 11.32 percent (autopay), and 5.42 percent and 11.57 percent (no autopay), with a cap at 14.95 percent. These figures rank among the lowest interest rates in the industry, lower than many other top companies. Other competitive companies range from roughly 7 percent to 20 percent. Regardless of the length of your loan, low rates allow you to potentially pay less over the lifetime of your loan.
SoFi offers two options for increased flexibility: fixed interest rate or variable interest rate. A fixed interest rate is locked in for the entire duration of your loan. This rate does not change over time and can save you money and make managing your account simpler. A variable interest rate typically starts out as a lower than average rate but increases over time. This can be beneficial to you if you are able to pay off your loan before the raising interest becomes too high. Variable interest rates are capped at 14.95 percent. Whatever your preference, having options to choose from puts you, the borrower, in control and ultimately makes your experience more satisfactory.
No Hidden Fees
SoFi works hard to protect personal loan customers against hidden fees of any kind. This includes no loan origination fees or prepayment penalties. This transparency in costs should give potential borrowers confidence to proceed with SoFi. This is a huge factor when comparing different personal loan companies, and SoFi does an excellent job providing its personal loan customers with valuable information throughout its application.
- No Same-Day Approval or Funding Guarantee
- Not Available in Missisippi or Nevada
No Same-Day Approval or Funding Guarantee
Although many competitors offer a same-day guarantee of both approval as well as funding of personal loans, SoFi does not offer a same-day approval or funding guarantee. The overall process can take at least a week. For consumers who need emergency funding for something unexpected, this option may not be the best fit.
Not Available in Missisippi or Nevada
SoFi is available to make personal loans in 48 states, excepting Mississippi and Nevada. The reason for the unavailability in these states is not stated; however, do not be surprised if services are offered for personal loans in these states in the future. Despite the lack of total nationwide availability, SoFi still maintains a greater national reach than several other personal loan providers.