Is SoFi legit or a scam? What you need to know | finder.com

Is SoFi legit or a scam?

Find out how SoFi protects its borrowers’ personal and banking information.

SoFi is a safe lending platform founded by a Stanford graduate in 2011. SoFi takes pride in providing new approaches to lending, putting it a step above its competitors.

SoFi Personal Loan Fixed Rate (with Autopay)

SoFi Personal Loan Offer

SoFi offer you the chance to borrow up to $100,000 with the choice between a fixed or variable interest rate.

  • Recommended Credit Range: Good to excellent
  • Min. Loan Amount: $5,000
  • Max. Loan Amount: $100,000
  • Loan Term: 3, 5, or 7 years
  • Unemployment protection
  • Confidential and secure online application

    Is SoFi legit?

    Yes, SoFi is a legitimate lending platform. SoFi offers competitive APRs and exclusive customer perks. This nontraditional lender is potentially a good fit for those with an established credit history and good to excellent credit score.

    What makes SoFi unique?

    To get a loan through SoFi, you’ll need to have good to excellent credit. Here’s what makes SoFi stand out:

    • Low APRs. While the specifics of each loan varies, APRs are some of the lowest in the market.
    • No origination fee. You won’t pay a fee for getting a new loan with SoFi.
    • High loan maximum. Borrow from as little as $5,000 to up to $100,000.
    • Flexible terms. SoFi offers both variable and fixed rates.
    • Unsecured loans. You won’t need collateral for any loan through SoFi.
    • Flexible loan terms. Repay your loan over three to seven years.
    • Social events. SoFi hosts community events, an entrepreneur program, a referral program and a career advisory group for its borrowers.

    What to look out for

    • Slower turnaround. Loans with SoFi can take up to seven days to transfer to your account.
    • Services in 49 states. SoFi is not available in Nevada, which means you’ll need to look elsewhere if you’re a resident of the Silver State.
    • Late fees. After a 15-day grace period, you’ll pay a penalty equal to 4% of the payment due or $5, whichever is lower.

    Compare SoFi to its competitors

    Top online providers for student loan refinancing and private student loans

    Rates last updated February 25th, 2018
    Name Product Minimum Credit Score Max. Loan Amount APR Product Description
    LendingTree Student Loans
    Good to excellent credit
    Varies by lender
    From 2.75% (fixed)
    Compare multiple student loans and student loan refinancing options in one place.
    LendKey Student Loan Refinancing (with AutoPay)
    660
    $300,000
    From 2.56% (variable)
    Find competitive rates and unmatched loan benefits from LendKey’s network of not-for-profit lenders.
    SoFi Student Loan Refinancing Variable Rate (with Autopay)
    Good to excellent credit
    full balance of your qualified education loans
    From 2.58% (variable)
    A leader in student loan refinancing, SoFi can help you refinance your loans and pay them off sooner.
    Earnest Student Loan Refinancing Variable Rate (w/ autopay)
    650
    no maximum
    From 2.57% (variable)
    Get a tailored interest rate and repayment plan with no hidden fees.
    Purefy Student Loan Refinancing
    620
    $150,000
    From 3.11% (variable)
    Refinance all types of student loans — including federal and parent PLUS loans.
    Education Loan Finance Student Loan Refinancing
    Education Loan Finance Student Loan Refinancing
    Good to excellent credit
    None
    From 2.69% (variable)
    Lower your student debt costs with manageable payments, affordable rates and flexible terms. $100 welcome bonus.
    Credible Student Loan Refinancing
    Good to excellent credit
    None
    From 2.57% (variable)
    Get prequalified offers from top student loan refinancing providers in one place.
    CommonBond Student Loans
    Good to excellent credit
    $500,000
    From 2.81% (fixed)
    Finance your higher education or refinance existing student loans through a lender with a strong social mission and terms that fit your budget.

    Compare up to 4 providers

    Top online lenders and lender connection services for personal loans

    Rates last updated February 25th, 2018

    Reveal your potential loan offers and rates

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    Unfortunately, none of the personal loan providers offer loans for that credit score. If you are in urgent need of a small loan, you might want to consider a short term loan.
    Name Product Product Description Min. Credit Score Max. Loan Amount APR
    Even Financial Personal Loans
    Get connected to competitive loan offers instantly from top online consumer lenders.
    580
    $100,000
    From 4.99% (fixed)
    LendingClub Personal Loan
    A peer-to-peer lender offering fair rates based on your credit score.
    660
    $40,000
    From 5.99% (fixed)
    CompareFirst Personal Loans
    An easy-to-use loan connection service geared toward introducing first-time borrowers to affordable personal loans.
    580
    $100,000
    From 2.99% (fixed)
    Upgrade Personal Loans*
    620
    $50,000
    From 5.96% (fixed)
    Laurel Road Personal Loans
    Get a personal loan with no application or origination fees and a rate discount for autopay.
    680
    $45,000
    From 5.5% (fixed)
    FreedomPlus Personal Loans
    Consolidate debt and more with these low-interest loans. Cosigners welcome.
    640
    $35,000
    From 4.99% (fixed)
    Best Egg Personal Loans
    640
    $35,000
    From 5.99% (fixed)
    Prosper
    Borrow only what you need for debt consolidation, home improvements and more — with APRs based on overall creditworthiness.
    640
    $35,000
    From 5.99% (fixed)
    LendingPoint Personal Loans
    Get a personal loan with reasonable rates even if you have a fair credit score in the 600s.
    600
    $25,000
    From 15.49% (fixed)
    NetCredit Personal Loan
    Check eligibility in minutes and get a personalized quote without affecting your credit score.
    550
    $10,000
    From 34% (fixed)

    Compare up to 4 providers

    Is applying for a loan with SoFi safe?

    Yes. SoFi is a legitimate online lender that safeguards your personal and financial information.

    • A+ BBB rating. SoFi has an A+ Better Business Bureau rating.
    • Not FDIC insured. SoFi prides itself on not being a bank, but it means that your transactions aren’t insured by the Federal Deposit Insurance Corporation.
    • TLS encryption. SoFi protects your personal and financial information with Transport Layer Security encryption.

    What else do I need to know?

    SoFi is a lender that takes a harder look into your finances — your credit history, monthly income and expenses, for instance — which means turnaround can take more time than expected. Some SoFi borrowers complain of having to wait up to 30 days from application to approval. If you need a personal loan with a faster turnaround, you may want to look into other options.

    Bottom line

    Having funded loans to over 275,000 borrowers, SoFi is a safe lender for those with a decent credit history who are looking for lower APRs than other online competitors. The additional support provided by social events and career advice could sweeten the deal.

    But before making a final decision, be sure to compare your available loan options to get the best rates and terms that you’re eligible for.

    Common questions about SoFi

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    US Personal Loans Offers

    Important Information*
    Even Financial Personal Loans

    Get connected to competitive loan offers instantly from top online consumer lenders.

    Prosper

    Borrow only what you need for debt consolidation, home improvements and more — with APRs based on overall creditworthiness.

    LendingClub Personal Loan

    A peer-to-peer lender offering fair rates based on your credit score.

    SoFi Personal Loan Fixed Rate (with Autopay)

    Borrow up to $100,000 with a competitive APR and no fees.

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