Rewards Plan
Sign up Bonus
Credit Rating
0% Intro
Annual Fee
APR
- Unlimited Cash Back
- No Foreign Transaction Fee
- No Sign Up Bonus
- Balance Transfer Fee
Rewards Plan
Sign up Bonus
0% Intro
PROS
- Unlimited Cash Back
- No Foreign Transaction Fee
CONS
- No Sign Up Bonus
- Balance Transfer Fee
APR
17.74% - 29.74% Variable
Annual Fee
$0
Balance Transfer Fee
$10 or 5% (whichever is higher)
Credit Requirements
Good – Excellent Credit
The SoFi credit card is a simple card offering 3% cash back rewards for a year when you set up direct deposit with SoFi. After that, earn 2% unlimited cash back on purchases when redeemed toward investing, saving, or paying down an eligible loan with SoFi, but it is designed a little differently compared to other cards with similar rewards. The card has no foreign transaction fee and no annual fee.
You can accumulate your cash back and redeem the rewards towards saving, investing or paying down a SoFi loan. While you don’t need to be a Sofi customer, this makes the card an attractive option for those with existing SoFi accounts to get the highest value rewards.
The SoFi credit card is a Mastercard and so it comes with some additional benefits such as discounts from participating merchants and up to $1,000 in cell phone protection.
- Encourage Savings
- APR Reduction
- No Foreign Transaction Fee
- No Foreign Transaction Fee
- Innovative App
- Designed for SoFi Loans
- Average Cashback Rate
- Balance Transfer Fee
My Application Was Denied. Why? What Can I Do?
As with most credit card companies, Sofi is unlikely to give you a specific reason if your application is declined. Sofi will make a credit decision based on your credit report and the details on your application.
So, if you are declined, it could relate to your income, credit score or other factors. Fortunately, you can continue to use your Sofi checking and savings account to boost your credit report and get your finances under control. You can then consider reapplying in six months or more.
How Does The Sofi Card Integrate With Sofi Money?
One of the great things about Sofi is that all the products do integrate. In fact, you can use the cash back you earn on your credit card to save in your Sofi savings account, invest with Sofi Invest or pay down your Sofi loan.
When Should You Consider It?
The Sofi credit card and associated Sofi banking products are a great option if you want to simplify your finances.
While the card does not offer the best possible rewards, it is weighted towards helping you to save, invest or pay down debt. This can help you on your journey to financial independence.
In This Review..
Benefits
Let’s take a look at the benefits of the SoFi card and see if it’s the right one for your wallet or not.
- Encourage Savings
You can redeem your card rewards into your SoFi Invest account, SoFi Money account or into your personal or student loan accounts. These redemption options can help you to improve your finances rather than just getting a little extra cash to spend.
- APR Reduction
SoFi offers an APR reduction of 1% if you make at least the minimum payment on time every month for a year.
You will need to continue making payments on time to maintain the new rate, but this is a nice benefit that not only rewards you for building good financial habits, but also lowers your costs.
- No Foreign Transaction Fee
If you enjoy traveling, you can use your SoFi Mastercard without worrying about getting hit with exorbitant foreign transaction fees.
- Flat Rate Cash Back
This card offers 3% cash back rewards for a year when you set up direct deposit with SoFi. After that, earn 2% unlimited cash back on purchases when redeemed toward investing, saving, or paying down an eligible loan with SoFi. This means that when you redeem towards saving, investing or paying down a SoFi loan, you there is no cap.
This higher redemption rate even matches some of the popular no annual fee reward cards currently available.
- Innovative App
The SoFi app allows you to not only manage your card, but you can redeem cash back towards your SoFi accounts each month quickly and easily.
Get Credit Score Updates: SoFi makes it easy to get credit score updates and keep an eye on how your score is doing. So, you can see the progress you’re making by using your SoFi credit card optimally.
Drawbacks
Here are the most important cons you should consider before apply to the SoFi card:
- Designed for SoFi Loans
As touched on above, this credit card is better for those with SoFi products.
So, if you have federal student loans or loans from another private lender, there is no real reward incentive. You may prefer a card that allows you to redeem your rewards towards any student loan, such as the Sallie Mae Accelerate.
- Average Cashback Rate
There are no higher earning categories or one time bonuses with this card. The card is only really favorable for those with SoFi loans, savings or investment accounts.
So, unless you already use these products or are planning to in the future, you may find the rewards structure frustrating.
- Balance Transfer Fee
If you want to transfer a balance to your SoFi credit card, you can expect to pay a fee of $10 or 5% (whichever is higher). Additionally, there are times when SoFi does not permit balance transfers.
How To Apply For SoFi Credit Card?
- 1.
You can start the application form for the SoFi Credit Card on the company website.
- 2.
After you click “Apply Now”, you’ll be redirected to a basic information form. You’ll need to provide your name, state, email and set a password. At this point, if you already have a SoFi account, you can simply opt to log in.
- 3.
You will then need to provide some more detailed information, starting with your address.
At this point, SoFi requires a cell phone number, so the team can send you a verification code. Once you enter the code, you will be able to continue with your application.
- 4.
You’ll need to provide financial details, such as your income, current finance obligations and expenses, so the SoFi team can assess whether you qualify for the card.
You will have the opportunity to review all your details, before you submit your application. SoFi will also perform a hard credit check before making a decision.
Is the SoFi Credit Card Right for You?
If you already have SoFi savings, investment or loan accounts, the SoFi credit card could be a good option for you. You can accumulate 3% cash back rewards for a year when you set up direct deposit with SoFi. After that, earn 2% unlimited cash back on purchases when redeemed toward investing, saving, or paying down an eligible loan with SoFi that can be redeemed into your account.
While this may not seem a massive amount, you could be able to chip away at your existing debt or increase your investment fund, simply with your day to day spending.
Compare The Alternatives
If you have good – excellent credit and you're looking for a cash back rewards credit card – the SoFi card is definitely a good option, but there are some good alternatives:
|
|
| |
|---|---|---|---|
American Express EveryDay® Card | Chase Freedom Flex℠ Card | Citi® Double Cash Card | |
Annual Fee | $0
. See Fees & Rates
| $0
| $0
|
Rewards |
1X – 2X
2X at U.S. supermarkets (up to $6,000 each year), then 1x on all purchases
|
1-5%
5% cash back on up to $1,500 in combined purchases on selected categories each quarter and 5% cash back on travel purchased through Chase Ultimate Rewards®. Also, you can earn 3% cash back on dining at restaurants (including takeout and eligible delivery services), drugstore purchases , and 1% on all other purchases
|
2% (1% when purchase and another 1% upon payment)
2% cash back rewards rate – 1% every time you swipe and another 1% upon payment.
|
Welcome bonus |
10,000 points
10,000 points after you spend $1,000 in purchases on your new card within the first 3 months
|
$200
$200 bonus after you spend $500 on purchases in the first 3 months from account opening
|
None
None
|
Foreign Transaction Fee | 2.7%
| 3%
| 3%
|
Purchase APR | 17.49% – 28.49% variable
| 20.24%–28.99% variable
| 19.24% – 29.24% (Variable)
|
FAQ
Sofi allows you to earn unlimited cash back on your purchases with very few restrictions. These exceptions are similar to other credit card brands. This means interest fees, gift cards and other cash related purchases are not likely to earn you any cash back.
You can apply online for a Sofi card and the company states that you’ll need to wait up to 30 days to process your application. This means that you may need to wait several business days to get an official approval, but this is not as quick as some other credit card providers.
Sofi does not publish the typical initial credit limits, but previous and current customers have reported starting limits of $1,000 up to as high as $25,000. Your specific credit limit will be assessed as part of the application approval process according to your income, employment status and other factors.
Sofi states on its website that applying for this card will not affect your credit score. When you apply, Sofi will only initiate a soft credit pull that does not affect your score. There will only be a hard credit pull if your application is approved and you decide to proceed.
However, Sofi does state that after evaluating your completed application and your credit report, the company may decline to offer credit.
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Disclaimers:
See offer details: www.sofi.com/card/rewards
See terms and conditions: www.sofi.com/card/terms
*Cell Phone Insurance Protection, Mastercard ID Theft Protection™ , Lyft and Other Partner Rewards have additional terms and conditions, which can all be accessed through the World Elite Mastercard® Benefits portal. Please see the guide to benefits for details or call 1-800-MASTERCARD.
