Earlier this year, the Consumer Financial Protection Bureau (CFPB) solicited input on how to “stop the student debt domino effect.” Tens of thousands of individuals and organizations responded with their comments and suggestions along with our very own CEO Mike Cagney.
Read moreSan Francisco, CA – April 10, 2013 – Social Finance, LLC (www.sofi.com), the private student lender, announced today it is expanding its selection of loan products for eligible customers refinancing their student loans.
As a result of customer demand for increased flexibility in loan terms and interest rates, SoFi now offers a range of fixed-interest loans with varying terms from 5 years to 15 years. Customers who select a 5-year-term can refinance at a rate of 5.74% APR. This rate is further discounted to 5.49% APR when customers make monthly principal and interest payments by an automatic, monthly deduction from a savings or checking account.
SoFi’s new 10-year and 15-year loan terms have fixed-interest rates set at 6.375% APR and 6.875% respectively, and these loans are also eligible for a 0.25% discount when a customer makes automatic payments. SoFi’s rates compare favorably to Federal Direct PLUS Loan rates, which are fixed at 7.9% with a 4% origination fee. SoFi does not charge an origination fee for refinancing customers.
“We are grateful to have such enthusiastic customers and are acting on their suggestions to increase the range and flexibility of our products,” said SoFi’s Chief Executive Officer Mike Cagney. “SoFi borrowers are now able to select the loans terms that best meet their needs.”
About SoFi
SoFi is transforming the $1 trillion student loan market. By connecting accredited alumni investors with students and recent graduates through school-specific loan funds, investors can earn a compelling risk-adjusted return while helping borrowers reduce the cost of their loans. Founded in 2011 by a team of Stanford Graduate School of Business alumni, SoFi has funded over $90 million in new and refinanced student loans to students and alumni of 78 schools. To learn more about SoFi visit www.sofi.com.
Private student lender SoFi recommences origination of loans to borrowers as a result of alumni investments and the recent Morgan Stanley warehouse facility.
San Francisco, CA – April 2, 2013 – Social Finance, LLC (www.sofi.com) recommences lending today for current students and graduates from the majority of the 78 schools in the company’s footprint.
SoFi paused lending in November of 2012 after demand for loans far outstripped the supply of alumni capital. The company had originated over $90 million in loans to that point. SoFi has recently raised additional alumni and institutional capital that will provide funding for new loans.
“As a result of more alumni investment and the recent Morgan Stanley warehouse facility, SoFi is able to start lending again,” stated Mike Cagney, Chief Executive Officer, SoFi. “We are aggressively raising additional alumni capital to meet both our current backlog and ongoing demand. Our ability to fund loans for a given school will continue to be driven by our success raising alumni capital for that school.”
About SoFi
SoFi is transforming the $1 trillion student loan market. By connecting accredited alumni investors with students and recent graduates through school-specific loan funds, investors can earn a compelling risk-adjusted return while helping borrowers reduce the cost of their loans. Founded in 2011 by a team of Stanford Graduate School of Business alumni, SoFi has funded over $90 million in new and refinanced student loans to students and alumni of 78 schools. To learn more about SoFi visit www.sofi.com.
Earlier this year, we launched the SoFi Entrepreneur Program to connect borrowers who have entrepreneurial aspirations with SoFi investors interested in furthering their potential. Current SoFi borrowers interested in refining a start up idea and developing skills critical to getting early-stage funding were invited to apply for the 4 month-long program. The pilot class was selected from a competitive pool of applicants and has since participated in a combination of hands-on workshops to improve their pitch decks, meetings with SoFi Executives who are influencers in the startup community and conversations with sophisticated venture capital and angel investors.
Here, SoFi Entrepreneur Benny Joseph shares his experience and explains how the program is setting him up for startup success:
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SoFi continues to make waves in the media this week on public radio and in print. We were thrilled to see top business radio program Marketplace bring much needed attention to important education issues. In this recent story, Amy Scott reports on the challenge of refinancing Federal student loans. While one youth advocacy group is encouraging the government to take action on this issue, SoFi already helps graduates refinance their private and Federal educational debt!
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