topic Re: SoFi Personal Loan in General Credit Topics

SoFi Personal Loan

Anonymous — Wed, 09 Mar 2016 01:25:18 GMT

Just thought I would post my experience with SoFi here, since I spent a lot of time looking for info before applying without finding a whole lot.

I currently have about $50K in credit card debt (yes I know) that I have been working on paying down, and we've been making some progress over the last couple of years.

However, monthly payments are so high that is tough to make real progress, but we've gotten things to a level where I felt with my credit score I could get a reasonable personal loan to consolidate my cards. At the time my FICO 8 scores were: EQ ???, TU 696, EX 717. Mostly my scores are where they are because of high UT. No derogs or anything.

I took a look at the various lenders out there (Lending Club, Prosper, etc.) as well as a couple of local CUs (DCU for one) to see what I might be able to get for both total $$ and rate.

For the most part, I got rates that were 13-14% with loan amounts from $20-$35K which was ok, but not really enough $$ nor a good enough rate improvement to see significant monthly payment reductions, although any interest drop was probably going to be worth it for both my credit score and my budget.

Somehow I stumbled into SoFi (nerdwallet maybe?) and I felt like I hit the jackpot, if only I could get approved. In January I did the pre-approval for $55K to see what I would get, and was pre-approved for the full amount at around 8%, but I was worried about my credit scores possibly messing with the actual real approval.

I did some research that suggested they did an Experian pull (they do), so the nervous me decided to wait a month until my cards all reported as I had just used my a sizable portion of my tax refund to pay my cards down so all were below 90% util (some were already).

So on Friday everything finally reported and my scores jumped a bit to EQ 708, TU 708, EX 740, so I decided to bite the bullet and submit my application for real on Monday morning. I already had all the proper documentation uploaded, so it was just submitting and waiting. I didn't wait long.

They called me about 15 minutes later to request one additional paystub (EOY 2015), and then less than two hours later my loan was approved!

The rate was a bit higher than I had hoped at 10.125%, but still a good improvement both interest wise over my cards, and monthly payment wise to help me pay down my cards faster and establish some savings for emergencies. Now it is waiting 7-10 business days for funding, although the customer rep I spoke with seemed to imply it could be faster than that, so we will see.

I am happy to answer any questions on the process for anyone who is interested

I'll also update everyone when I get the funds so there's another reference point.

One question though I have for you out there. Looking at my loan app after the fact, the score they used was Experian at 717, which was where it was back in January when I did the pre-approval, not what it was when the hard pull was run (which actually reported today). I wonder why that is, since why did they bother doing a hard pull if they weren't going to use the higher score? Supposedly scores don't matter as much to SoFi, so who knows if it made a difference. I am going to speak to them today to see if I can get more details.

Re: SoFi Personal Loan

trachkids — Tue, 08 Mar 2016 16:34:26 GMT

Congratulations on the loan. Hope it helps

Re: SoFi Personal Loan

Anonymous — Tue, 08 Mar 2016 18:47:49 GMT

Congrats! They have really good rates compared to other lenders! Got mine approved about 2 weeks ago. They deposited my money in less than 24 hrs afetr approval ... I highly recommend SOFI . Did you get the full $50K?

Re: SoFi Personal Loan

Anonymous — Tue, 08 Mar 2016 20:48:37 GMT

@Anonymous wrote:
Congrats! They have really good rates compared to other lenders! Got mine approved about 2 weeks ago. They deposited my money in less than 24 hrs afetr approval ... I highly recommend SOFI . Did you get the full $50K?

I did take the full $55K that I had applied for. I wish it was less than 24 hours for me! I can't wait to pay off my cards.

Re: SoFi Personal Loan

Anonymous — Tue, 08 Mar 2016 20:52:17 GMT

@cmoynihan wrote:

One question though I have for you out there. Looking at my loan app after the fact, the score they used was Experian at 717, which was where it was back in January when I did the pre-approval, not what it was when the hard pull was run (which actually reported today). I wonder why that is, since why did they bother doing a hard pull if they weren't going to use the higher score? Supposedly scores don't matter as much to SoFi, so who knows if it made a difference. I am going to speak to them today to see if I can get more details.

I did get a little bit of clarity on this.

SoFi couldn't tell me what score they use, at least the CS rep I spoke to didn't know, just that it was definitely the hard pull score from yesterday on the report. They also said they don't use the number as much as they do the payment history and missed payment indicators in the report. They say as much on their site, but just more info to back that up.

Experian verified that my FICO 8 is 740 (no surprise there as myFICO says the same thing), and told me that SoFi may use the FICO 8 score but tweak the model to fit their criteria perhaps resulting in the score difference.

Re: SoFi Personal Loan

Revelate — Tue, 08 Mar 2016 21:34:22 GMT

@cmoynihan wrote:
@cmoynihan wrote:

One question though I have for you out there. Looking at my loan app after the fact, the score they used was Experian at 717, which was where it was back in January when I did the pre-approval, not what it was when the hard pull was run (which actually reported today). I wonder why that is, since why did they bother doing a hard pull if they weren't going to use the higher score? Supposedly scores don't matter as much to SoFi, so who knows if it made a difference. I am going to speak to them today to see if I can get more details.

I did get a little bit of clarity on this.

SoFi couldn't tell me what score they use, at least the CS rep I spoke to didn't know, just that it was definitely the hard pull score from yesterday on the report. They also said they don't use the number as much as they do the payment history and missed payment indicators in the report. They say as much on their site, but just more info to back that up.

Experian verified that my FICO 8 is 740 (no surprise there as myFICO says the same thing), and told me that SoFi may use the FICO 8 score but tweak the model to fit their criteria perhaps resulting in the score difference.

Doubtful; on the score disclosure you got, did it say FICO on it or not? If it did, no modification. If it didn't it might be an internal score using Experian's data.

What you're looking for is the score range, as that can often identify (at least currently) which verion was actually used. If you wouldn't mind sharing that data I'd appreciate it if it's there, I'm going to need to be sorting some financing in the future and while SoFI is more for student loan consolidation for me in the future if I go that route, I'd be very intersted in seeing if we can figure out what version they are using.

Re: SoFi Personal Loan

trnl2016 — Tue, 08 Mar 2016 23:27:41 GMT

Congrats on your loan! I appreciate you sharing... your story is very helpful in my personal journey. This may be too personal, and feel free to decline sharing, but do you mind sharing what 50k in debt equaled in terms of total % utilization? In addition, what's your income? The reason I ask is bc I'm looking to get a $25k loan to pay off my cards as well. We're at about 77% utilization, $25k revolving debt, and $40k income, and most people are saying that we likely won't get approved, or might get approved for less with a much higher rate.

Re: SoFi Personal Loan

Anonymous — Tue, 08 Mar 2016 23:29:08 GMT

Just thought I would let you know, that I clicked on this specifically because you mentioned Sofi. I had never heard of them until last week... not for a loan or anything. I just had a really good friend join them as an employee/VP last week and he called and told me about his job change.

From what I gathered, Sofi is a very well known lender in the student loan marketplace but is heavily expanding their offerings in the personal loan and mortgage markets.

From what I understand, they are taking a different approach than most lenders with internal UW criteria that is not focused on scores.... that being said, I am sure for the size of your PL they want a score of over 700 and clean history... most likely looking for a history of monthly payment in the range of what your monthly payments will be on the $55k. He mentioned that for mortgages they consider applicants rent payment's... example you have been paying $1500 a month for rent for 3+ years on time and now you are applying for a mortgage in which your payment would be $1500 or less... ( I think I got that right)

Interesting timing on your post... hope this post gets traction as Sofi might be a great lender for some folks on this board. My buddy said they have a stellar reputation in the student loan marketplace with high satisfaction ratings. For the record, I have zero affiliation with them... again a buddy just landed a job with them last week... he was heavily recruited. Not stating that anyone should apply without doing research again... I clicked becasue last week was the only time I had ever heard of them and then saw your post tonight.

Re: SoFi Personal Loan

Anonymous — Wed, 09 Mar 2016 02:17:57 GMT

@Revelate wrote:
Doubtful; on the score disclosure you got, did it say FICO on it or not? If it did, no modification. If it didn't it might be an internal score using Experian's data.

What you're looking for is the score range, as that can often identify (at least currently) which verion was actually used. If you wouldn't mind sharing that data I'd appreciate it if it's there, I'm going to need to be sorting some financing in the future and while SoFI is more for student loan consolidation for me in the future if I go that route, I'd be very intersted in seeing if we can figure out what version they are using.

Here is a screenshot of the score in my application. What you say makes more sense to me, but the ambiguity of the page in that screenshot lends to confusion.

Re: SoFi Personal Loan

Anonymous — Wed, 09 Mar 2016 02:23:18 GMT

@trnl2016 wrote:
Congrats on your loan! I appreciate you sharing... your story is very helpful in my personal journey. This may be too personal, and feel free to decline sharing, but do you mind sharing what 50k in debt equaled in terms of total % utilization? In addition, what's your income? The reason I ask is bc I'm looking to get a $25k loan to pay off my cards as well. We're at about 77% utilization, $25k revolving debt, and $40k income, and most people are saying that we likely won't get approved, or might get approved for less with a much higher rate.

My current util is 87%. I currently have a mortgage loan, two car loans, a very small personal loan almost paid off (home improvement), and the CC debt.

I think what was/is in my corner for this one is my income. It is a good amount over $100K, plus some bonus income. SoFi had me upload both my most recent pay stub, plus the last pay stub of 2015 to calculate bonus/commisions.

Re: SoFi Personal Loan

Revelate — Wed, 09 Mar 2016 02:33:09 GMT

@cmoynihan wrote:

@Revelate wrote:
Doubtful; on the score disclosure you got, did it say FICO on it or not? If it did, no modification. If it didn't it might be an internal score using Experian's data.

What you're looking for is the score range, as that can often identify (at least currently) which verion was actually used. If you wouldn't mind sharing that data I'd appreciate it if it's there, I'm going to need to be sorting some financing in the future and while SoFI is more for student loan consolidation for me in the future if I go that route, I'd be very intersted in seeing if we can figure out what version they are using.

Here is a screenshot of the score in my application. What you say makes more sense to me, but the ambiguity of the page in that screenshot lends to confusion.

For what it's worth I find that a little ambiguous too. I don't have the letter handy but for example when JCB approved me, they pulled a TU (300-850) which matched FICO 8 exactly, and EX and gave me a score range of 320-844 which is uniquely EX Risk Model v2... which I also happened to know since it was just post mortgage application and that matched my EX score from there.

I'm actually a little disappointed by SOFI's score disclosure, ah well.

Re: SoFi Personal Loan

Anonymous — Wed, 09 Mar 2016 17:46:54 GMT

From what I understand, they are taking a different approach than most lenders with internal UW criteria that is not focused on scores....

I think this is absolutely correct. I've apped, (checked rates), with all of them and I've gotten approvals from every one except SoFi. The last time I apped with them my EX score was sitting at 799.

Re: SoFi Personal Loan

Revelate — Wed, 09 Mar 2016 19:52:03 GMT

@Anonymous wrote:
From what I understand, they are taking a different approach than most lenders with internal UW criteria that is not focused on scores....

I think this is absolutely correct. I've apped, (checked rates), with all of them and I've gotten approvals from every one except SoFi. The last time I apped with them my EX score was sitting at 799.

Was it a SP or HP and I assume your score was from either here or CCT?

Re: SoFi Personal Loan

Anonymous — Wed, 09 Mar 2016 20:36:16 GMT

@Revelate wrote:
@Anonymous wrote:
From what I understand, they are taking a different approach than most lenders with internal UW criteria that is not focused on scores....

I think this is absolutely correct. I've apped, (checked rates), with all of them and I've gotten approvals from every one except SoFi. The last time I apped with them my EX score was sitting at 799.
Was it a SP or HP and I assume your score was from either here or CCT?

For me, it was a SP to check rates and get preapproval. HP appeared the day I submitted my app.

Re: SoFi Personal Loan

Anonymous — Wed, 09 Mar 2016 20:36:53 GMT

@Revelate wrote:
@Anonymous wrote:
From what I understand, they are taking a different approach than most lenders with internal UW criteria that is not focused on scores....

I think this is absolutely correct. I've apped, (checked rates), with all of them and I've gotten approvals from every one except SoFi. The last time I apped with them my EX score was sitting at 799.
Was it a SP or HP and I assume your score was from either here or CCT?

Soft pull, and the score was from CCT.

Re: SoFi Personal Loan

Revelate — Wed, 09 Mar 2016 20:42:22 GMT

Thanks both of you!

Re: SoFi Personal Loan

Appleman — Fri, 11 Mar 2016 01:24:54 GMT

Congrats on your SoFi.com loan. Like you I felt I was stuck with high utilization on my CCs. When I applied my Exp score was 716 or so. I have a flawless payment history and an income north of $100,000. Sincxe my utilization dropped like a rock and my scores have increased. Currently I am at 756 with Experian as I did go on a bit of an app spree (Exp seems to be pulled the most). I do have 20 year old tradelines so my AAoA was good with current AAoA at 8 years plus.

I was very pleased that SoFi.com helped me re-finance my CC debt and save plenty on payments and interest charges. I still use my credit cards a lot but I am also on a budget and only buy what I can pay off immediately. YNAB truly changed the way I view money and I believe will keep me on track to continue to shed debt.

I have the same interest rate of 10.125% but this beat Prosper and LendingClub offers by 5%.

It has been 6 weeks and SoFi has not posted the account to the CRAs so we will see what that does to my scores.

As an aside, on my same HP I also refinanced my student loans saving 2% on the rate ($3,500 in savings with the same payment schedule but less monthly payment).

Enjoy paying off those credit cards!. You should be getting a SoFi.com gift box 6 weeks or so after your loan is funded.

Re: SoFi Personal Loan

Anonymous — Fri, 11 Mar 2016 01:37:43 GMT

@Appleman wrote:

As an aside, on my same HP I also refinanced my student loans saving 2% on the rate ($3,500 in savings with the same payment schedule but less monthly payment).

Enjoy paying off those credit cards!. You should be getting a SoFi.com gift box 6 weeks or so after your loan is funded.

Thanks! I am very excited to getting things moving in the right direction.

I plan on looking at the student loan rates again at some point, as the rates I got on pre-qualification were too high to make it worth redoing them. I am going to chat with them to see what I would need to get their lowest rate. The best they had was 4.74% for 5 years fixed, and 3.69% for 5 year variable. If it was 2-3% then I'd be in.

Re: SoFi Personal Loan

Anonymous — Fri, 11 Mar 2016 16:02:18 GMT

I just got a letter from them saying I've been "pre-selected" for a loan up to $98,370 dollars! lol, I have no idea where that number came from, but cripes, that's a lot and I would never borrow that much, ever. It said variable rate at 4.73% APR or fixed rate at 5.95%, which is slightly lower than my Lending Club loan. Unfortunately, even though the APR is just slightly lower than what I got earlier, with the origination fees I already paid between the earlier and what I will have to pay for the latter, net-present-value of both options is still cheaper if I stay put in my Lending Club loan.

In any case, I didn't really know about SOFI prior to me getting my Lending Club loan. I probably would have went for SOFI first just because the APR is seemingly less, but it's too late now. Both have origination fees, which is a percentage of the loan, so please take that into consideration.

Re: SoFi Personal Loan

Appleman — Fri, 11 Mar 2016 16:09:52 GMT

Yes, SoFi goes up to $100,000 so you about topped it out.

I did the pre-qual soft pull and was told I was approved for $88,000. I took the loan but for a lower amount.

SoFi.com is very easy to work with and it is good to know they are there if you need them.