Advantages and disadvantages
SoFi Undergraduate Student Loans
Variable: 1.11% – 11.22%, Fixed: 3.49% – 10.66%
SoFi charges relatively low fixed and variable interest rates on its undergraduate student loans and does not charge any fees. The application process can be done in as little as three minutes.
SoFi offers a unique feature called Unemployment Protection on your student loans: Eligible borrowers can suspend your loan payments if you lose your job through no fault of your own, for up to 12 months. SoFi will also provide employment payment assistance. However, interest will continue to accrue during this forbearance period and will be added to your principal.
Additionally, if you co-sign an undergraduate loan, you can get a bonus of $ 200 deposited into a SoFi Money account until August 21, 2021.
SoFi graduate student loans
Variable: 1.09% – 11.33%, Fixed: 4.13% – 10.90%
SoFi graduate student loans are an extremely competitive option for graduate students as the lender has lower minimum and maximum APRs than many similar companies. SoFi has no fees and a variety of repayment terms.
Graduate borrowers are also eligible for the company’s Unemployment Protection Program, which offers up to 12 months loan forgiveness in the event you lose your job through no fault of your own.
How SoFi Student Loans Work
SoFi offers student loans for several types of degrees, including undergraduate, graduate, law school, and MBA degrees. The minimum you can withdraw is $ 5,000, with a maximum of 100% of the cost of participation.
You must meet the following qualifications to get a loan:
- Be a U.S. citizen or permanent resident or visa holder
- Be at least 18 years old
- Be enrolled in a diploma school part-time or more
- Make satisfactory academic progress as defined by your school
- Pass a credit check
- You or your co-signer must be employed or have sufficient income from other sources
Prioritize your federal student loan options before applying for a private student loan, including a student loan with SoFi, as you can often get better terms and protections through the government.
You can apply for a loan in just three minutes and you will need to provide the following information:
- Social Security number
- Expected Graduation Date
- Amount of the loan
- Financial assistance you expect to receive
- If you have ever had a private student loan with SoFi
Some borrowers may also need to provide proof of income or government issued identification.
You can contact SoFi customer support by phone Monday through Thursday, 5:00 a.m. to 7:00 p.m. PT, or Friday through Sunday, 5:00 a.m. to 5:00 p.m. PT. You can also contact the company by mail or tweet for assistance.
What options do I have to repay my SoFi student loans?
You have four options for paying off your student loan after you take it out: deferred, partial, interest-free, and immediate payment. Each option has its advantages for different types of borrowers.
Deferred payments are the more expensive option because you pay nothing while you are in school or during your grace period, so your balance will continue to increase until you graduate and start performing. payments.
Immediate payments are the cheapest option because by paying off your debt immediately in full monthly payments, you have less time for interest to accrue on your loan.
Is SoFi trustworthy?
The Better Business Bureau gives SoFi a A + in reliability. The BBB assesses reliability by measuring a company’s responses to consumer complaints, honesty in advertising, and clarity in business practices.
However, you might be concerned about a scandal that SoFi has been involved in over the past few years. In 2019, the company was loaded with misleading consumers about the savings they would get by refinancing with SoFi. The Federal Trade Commission then banned SoFi from pledging possible savings without reliable evidence to back up those claims.
Although SoFi has a top notch BBB score, you may decide that it is better to choose another student loan lender if this scandal makes you uncomfortable.
How SoFi Student Loans Compare to Similar Lenders
SoFi’s undergraduate student loan rates are about as good as those offered by similar lenders, although the rates depend on your creditworthiness and other financial factors. Here’s how SoFi stacks up against the competition:
SoFi exam vs College Ave exam
If you have good credit, you can get a slightly better fixed APR with College Ave than with SoFi, because College Ave has a lower minimum rate.
However, if your credit isn’t at its best, SoFi’s maximum interest rate is lower than what you could pay with College Ave. SoFi won’t charge any late fees, while College Ave can penalize you up to $ 25 for a late payment. .
SoFi also offers an Unemployment Protection Program that allows eligible borrowers to withhold loan payments if they lose their job through no fault of their own, for up to 12 months. College Ave does not have a similar offer.
SoFi exam vs. Sallie Mae exam
SoFi has a fixed minimum and maximum APR significantly lower than that of Sallie Mae. Both companies have almost identical APR ranges for variable rate loans.
You can start making immediate payments on your entire loan balance (principal plus interest) with a SoFi student loan, but Sallie Mae only offers deferred, fixed, and interest-free repayment plans.