NerdWallet rating: 5.0 / 5.0
Good for: Good credit, debt consolidation
Getting a SoFi personal loan can feel like joining an elite club, thanks to the lender’s high credit standards and members-only networking events. SoFi customers can attend social events and member dinners around the country or tap an online forum for career and financial advice.
SoFi may be a good fit if:
- Your credit score is 660 or higher. SoFi borrowers generally have scores above 700.
- Your income is high. Borrowers’ median income is $101,000.
- You’re new to credit. SoFi has no minimum credit history requirement.
- You’re early in your career and want support and networking opportunities. SoFi has perks like career counseling services and happy hours for its borrowers.
- You don’t live in Mississippi, the only state where SoFi doesn’t offer personal loans.
If you don’t have excellent credit, you might be better off considering these loan options.
SoFi at a glance
|Typical APR||5% – 15% (fixed and variable rates)|
|Loan amounts||$5,000 – $100,000|
|Time to funding||Typically 7 days|
|Soft credit check with application?||Yes|
|Reports payments to credit bureaus?||Yes, all three|
|Offers secured personal loans?||No|
|Allows co-signers or joint applications?||No|
Live in a state other than California and Michigan? Click the button below to fill out a pre-qualification form on NerdWallet. You’ll find out whether you qualify for a SoFi loan and at what rate.
SoFi personal loan review
To review SoFi, NerdWallet collected more than 30 data points from the lender, interviewed company executives, completed the online loan application process with sample data and compared the lender with others that seek the same type of customer or offer a similar personal loan product. Loan terms and fees may vary by state.
SoFi, founded by Stanford alumni in 2011, provides personal loans, mortgages and student loan refinancing. To SoFi, an applicant’s credit score doesn’t matter as much as other factors. Most important in determining your creditworthiness is free cash flow, or how much of your income is left over after expenses, according to the company.
To well-qualified borrowers, SoFi offers loans as large as $100,000. The average annual percentage rate for a three-year loan at SoFi is 8.5%.
SoFi is unusual in that it offers variable rate as well as fixed-rate loans. The fixed-rate option is more popular and comes with the peace of mind that the rate will never change. However, some SoFi borrowers choose the variable rate, particularly for loans of short duration, according to the company. Interest rates on variable-rate loans tend to be lower than those on fixed-rate loans, but they can go up over the life of the loan.
How Sofi loans compare
Online lenders Earnest and LightStream also cater to people with excellent credit and high incomes. Earnest charges no fees and offers flexible payment options to those with thin credit. LightStream has low interest rates that vary according to loan purpose, but it requires several years of credit history. SoFi also compares to Prosper, which offers similar starting rates, but smaller loan amounts.
Flexible payment options
SoFi gives borrowers some flexibility in payments, like letting you change your payment date. If you miss a payment but have a record of on-time payments, it might waive the late fee.
If you lose your job through no fault of your own, SoFi lets you apply for forbearance — temporary suspension of your monthly loan payments — for three months at a time, up to 12 months. While you’re participating in the Unemployment Protection Program, interest still accrues on the loan, but you can avoid having it added to your balance by making interest-only payments during the forbearance period.
How to apply for a SoFi loan
If you live in California or Michigan, you can check your rate on SoFi’s website by setting up an account and entering information about your education and employment.
For those in states other than California and Michigan, you can compare an offer from SoFi with those from other lenders by clicking the button below to fill out a pre-qualification form. NerdWallet will check its lender marketplace and display the loans and rates for which you qualify. Pre-qualifying won’t affect your credit score.
More about SoFi
SoFi loan requirements
- Minimum credit score: 660, but typically 700 or higher
- Minimum income: None, but borrowers’ median income is $101,000
- Minimum credit history: None
- Maximum debt-to-income ratio: None
- APR range: 5%-15% (fixed and variable)
- Loan amount: $5,000-$100,000
- Loan duration: Three to seven years
SoFi fees and penalties
- Origination fee: None
- Prepayment fee: None
- Late fees: 4% of payment due or $5, whichever is lower, after 15-day grace period
- Personal-check processing fee: None
- Learn how personal loans work
- 4 ways to consolidate credit card debt
- Read more personal loan reviews
Updated Jan. 22, 2018.
Personal Loans Ratings Methodology
NerdWallet’s ratings for personal loans awards points to lenders that offer consumer-friendly features, including: soft credit checks, no origination fees, payment options, short time to funding, interest rate caps of 36%, and absence of prepayment penalties. Features are considered for their positive impact on consumers’ credit history and financial health. We only review lenders that cap interest rates at 36%, the maximum rate financial experts and consumer advocates agree is the acceptable limit for a loan to be affordable. NerdWallet does not receive compensation of any sort for our reviews. Read our editorial guidelines.
— Among the very best for consumer-friendly features
— Excellent; offers most consumer-friendly features
— Very good; offers many consumer-friendly features
— Good; may not offer something important to you
— Fair; missing important consumer-friendly features
— Poor; proceed with great caution