Inspired by the realization that payday lenders typically charge up to 400% interest, SoLo aims to provide affordable loans to those in need. Lenders can issue loans on both iOS and Android, but there’s no guarantee that borrowers will be able to make payments and your profits depend solely on tips.
$0
Minimum deposit
| Annual Fee | $0 |
|---|---|
| Available asset types | Other |
| Account types | Other |
| Average return | 3% to 10% |
| Minimum deposit | $0 |
SoLo is designed to help borrowers overcome short-term financial issues while creating a unique opportunity for investors. While it’s not intended for making big profits, SoLo is best for:
SoLo offers a suite of benefits that can help investors grow their portfolio:
Despite its intention to help those who need small-dollar loans, this platform is not good for long-term investments and large returns. Watch out for these other negatives:
While there’s no limit to how much you can invest each month, Solo Funds implements an internal tier system to mitigate risk. As Solo Funds becomes more comfortable with your risk profile, it’ll raise your monthly contributions.
Since borrowers set the terms, your return varies based on your lending strategy. “We do see that the average amount for a SoLo loan is around $200, for things such as utility bills, childcare, unplanned car troubles, rent or other expenses,” reports co-founder and CEO Travis Holoway. “Our average period for these loans is typically under 30 days as well.” So the more loans you fund that meet borrower criteria, the more you stand to make on borrower tips, which generally range from 3% to 10% of the loan.
And to make sure that you don’t receive negative returns, SoLo offers a Lender Protection Service for a small fee. If the borrower is delinquent and unable to fulfill the terms of the agreement, you’ll be credited the full principal of the loan, which you can then apply toward another SoLo loan.
Becoming a SoLo lender could help you earn a bit of extra money, but there’s no guarantee you’ll get your money back. Borrowers have SoLo scores that reflect their ability to repay loans, but if they stop making payments, the most you can do is send the loan to collections. SoLo claims to have a default rate of only 3%, but customer reviews may indicate that default is much more common.
SoLo Funds is not yet accredited by the BBB, but it holds a B- rating for resolving 59 customer complaints in the last three years. Reviewers rank SoLo with 1.42 out of 5 stars on the BBB, as of March 2022. Opinions are more positive on SoLo’s apps, earning 3.9 stars on Apple App after 7,000 reviews and 4.6 on Google Play with over 2,000 reviews.
Many lenders have had issues getting their money back when borrowers default on loans and mention that SoLo customer service didn’t do much to help. Users also complain about the mobile app, citing problems with repeated requests for information they already provided.
SoLo operates entirely online. Visit the website or app store to download the mobile app and get started:
After downloading the app, you’ll need to meet a few eligibility requirements in order to open an account:
During your application, you’ll be asked for the following information:
There’s no phone number to call SoLo customer service, but you can contact the company online. Visit the SoLo website to start a live chat or submit a support ticket.
SoLo is a peer-to-peer lending app that connects lenders with borrowers who need extra money. It’s free to sign up and use, but returns are entirely tip-based and there’s no guarantee your loan will be repaid.
Not sure if it’s right for you? Compare your trading options to find the right fit.
SoLo
Available asset types
Other
Minimum deposit
$0
Complete signup bonus
Streitwise
★★★★★
Finder rating 3.8 / 5
Available asset types
Real estate
Minimum deposit
$2,522.50
Complete signup bonus
N/a
SoLo is not currently available on Finder
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