SoFi is an American online personal finance company and online bank. SoFi offers a one-stop shop for financial services that, through its Lending and Financial Services products, allows members to borrow, save, spend, invest and protect their money.
In 2019, SoFi launched SoFi Money, SoFi Invest, and SoFi Relay. In that same quarter, SoFi also redesigned its end-to-end approach to mortgage lending and relaunched home loans. In the third quarter of 2019, SoFi introduced in-school loans, and in the third quarter of 2020, SoFi launched the SoFi Credit Card, which was expanded to a broader market in the fourth quarter of 2020.
SoFi Invest
SoFi Invest is an investment trading platform suitable for all kinds of investors, but beginner traders and passive investors will get the most out of it. SoFi offers low fees and account minimums.
They are known for their free stock and EFT for trading in the platform, multiple account options like a Robo-advisor, retirement savings account and varying investment options like crypto and margin trading.
It is a well registered and trustworthy platform and it is legit with no bad result so far. The company has no lawsuits or charges filed against them in the last three years.
Low fees are one of SoFi’s biggest perks. It doesn’t charge advisory fees or management fees, and it offers free stock and ETF trades.
How to Invest in SoFi
SoFi Invest offers investment accounts with no minimums. Investors can buy shares of stocks and ETFs right from an app. It’s also possible to buy fractional shares, which are partial shares of a stock. A full-service brokerage firm: The third option for buying shares is to use a full-service brokerage firm.
There technically isn’t an account minimum to open a SoFi Invest account. But there is a required $1 minimum to actually start investing for all account types. (They also do offer regular bonus for opening an account)
The Fractional shares can be bought in quantities of $5. So even though it isn’t technically an account minimum, you won’t be able to purchase fractional shares of a stock or ETF unless you have at least $5 in your account. Similarly, you need at least $2,000 to open a margin trading account.
Margin trading charges an 8.50% annual interest rate on your margin loan that is accrued daily and is deducted from your account once per month. Crypto trades charge a markup of 1.25% on crypto transactions
SoFi Invest vs. Robinhood
Sofi Invest and Robinhood are both competitive investment options for those in search of low fees and simple user interfaces. However, each platform offers different account types and investment choices.
While both are great for traders of stocks, ETFs, margins, fractional shares, and cryptocurrencies. In the next page you will also know more about Robinhood and how it operates like SoFi.
SoFi Credit Card
You don’t need a SoFi bank account to apply for this card, but you will need to open a SoFi Checking and Savings account to receive rewards deposits.
The SoFi Credit Card is a rewards credit card designed to help SoFi members save, invest or pay down debt. When you’re approved for the card and set up direct deposit, you can earn 2% unlimited cash back on purchases. Then, you can do any of the following:
- Deposit the cash back into your SoFi checking and savings account.
- Invest the cash through SoFi invest.
- Use it to make a payment towards a SoFi loan.
How to Qualify For SoFi Personal Loan
Personal loan applications are approved or declined based on a number of factors.
1. Credit Score Requirements: A Personal loan applicants must have a minimum FICO credit score of 650 to qualify for a SoFi personal loan.
2. Income Requirements: The Company requires personal loan applicants to have an annual income of at least $45,000 to qualify. And the average income of a SoFi borrower is over $100,000.
3. Co-signers and Co-applicants: SoFi also allows borrowers to apply with a co-applicant. Co-applicants—also known as a co-borrower once a loan is funded—are jointly responsible for loan repayment and must live at the same address as the primary applicant.
If you are eligible now to get a loan, you can now follow the procedure and get to apply for a SoFi personal loan.
How to Apply For SoFi Personal Loan
- You have to know which APR you can qualify for.
- You will complete an online application.
- You will wait for the approval of the application you submitted.
- Then you can sign a loan agreement.
- You will receive funds directly to your5 personal account.