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Navigating a bank crisis and inflation, the Fed walked the line with a 25-bps hike. SoFi’s Head of Investment Strategy weighs in.

SAN FRANCISCO – March 22, 2023 –SoFi Technologies, Inc. (“SoFi”), the digital personal finance company, announced that its SoFi Checking and Savings members will be able to access up to $2 million of FDIC insurance¹ through a network of participating banks, designed to provide the best benefits to SoFi members. All SoFi Checking and Savings members will be eligible to increase their FDIC insurance, by allowing SoFi to seamlessly place their deposits beyond the standard insurance with specifically identified FDIC insured banks. This benefit will be available for new SoFi Checking and Savings members and, over the next week, existing members will be notified via email when they become eligible.

“It’s our goal to help people get their money right, which we know goes hand in hand with feeling good about the safety of their funds,” said Anthony Noto, CEO of SoFi. “By offering access to up to $2 million in FDIC insurance, we are making sure our members have peace of mind about their money at SoFi. We know the last few weeks have been unnerving for many consumers, and we hope this helps. We will keep pushing ourselves to drive innovation to better meet our members’ needs and ensure they have complete trust in us.”

SoFi members will be able to opt in to increased FDIC insurance through the SoFi app or website with one click. New members will have the opportunity to enroll when completing their sign up for Checking and Savings.

The network will functionally allow members the benefits of multiple accounts by offering enhanced insurance, while providing uninterrupted access to all their funds within SoFi Checking and Savings. 

SoFi Checking and Savings offers an award-winning member experience, including a 4.00% savings account APY (Annual Percentage Yield)² for members with direct deposit, up to 2-day early paychecks³ and no fee Overdraft Coverage⁴, with the goal of making managing money easier than ever. Offering enhanced deposit insurance is the next phase of how SoFi Checking and Savings is offering members extra security for their funds and empowering them to get their money right.

About SoFi
SoFi (NASDAQ: SOFI) is a member-centric, one-stop shop for digital financial services on a mission to help people achieve financial independence to realize their ambitions. The company’s full suite of financial products and services helps its more than 5.2 million SoFi members borrow, save, spend, invest, and protect their money better by giving them fast access to the tools they need to get their money right, all in one app. SoFi also equips members with the resources they need to get ahead – like career advisors, credentialed financial planners, exclusive experiences and events, and a thriving community – on their path to financial independence.

SoFi Technologies innovates across three business segments: Lending, Financial Services – which includes SoFi Checking and Savings, SoFi Invest, SoFi Credit Card, SoFi Protect, and SoFi Insights – and Technology Platform, which offers the only end-to-end vertically integrated financial technology stack. SoFi Bank, N.A., an affiliate of SoFi, is a nationally chartered bank, regulated by the Federal Reserve, OCC, and FDIC. The company is also the naming rights partner of SoFi Stadium, home of the Los Angeles Chargers and the Los Angeles Rams. For more information, visit SoFi.com or download our iOS and Android apps.

Disclosures

SoFi Checking and Savings is offered through SoFi Bank, N.A. Member FDIC. Advisory services are offered through SoFi Wealth, LLC an SEC-registered investment adviser. Brokerage products and SoFi Money® are offered through SoFi Securities LLC, member FINRA/SIPC.

1. SoFi Bank is a member FDIC and does not provide more than $250,000 of FDIC insurance per legal category of account ownership, as described in the FDIC’s regulations. Any additional FDIC insurance is provided by a network of participating banks. Deposits may be insured up to $2M through participation in the program. See full terms at sofi.com/banking/fdic/terms/

2. SoFi members with direct deposit can earn up to 4.00% annual percentage yield (APY) on savings balances (including Vaults) and 1.20% APY on checking balances. There is no minimum direct deposit amount required to qualify for the 4.00% APY for savings. Members without direct deposit will earn 1.20% APY on all account balances in checking balances and savings balances without direct deposit (including Vaults). Interest rates are variable and subject to change at any time. These rates are current as of 3/17/2023. Additional information can be found at https://www.sofi.com/legal/banking-rate-sheet.

3. Early access to direct deposit funds is based on the timing in which we receive notice of impending payment, which is typically up to two days before the scheduled payment date.

4. Overdraft Coverage is limited to $50 on debit card purchases only and is available to customers with monthly direct deposits of $1,000 or more. Members with a prior history of non-repayment of negative balances are ineligible for Overdraft Coverage.

©2023 Social Finance, LLC All rights reserved.

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How It Works

Funds participating in the SoFi Insured Deposit Program are deposited into deposit accounts at banks which are insured by the Federal Deposit Insurance Corporation (FDIC) for up to $250,000 for each category of legal ownership (individual and joint), including any other balances you may hold directly or through other intermediaries, including broker-dealers. The total amount of FDIC insurance for your account under this program is limited to $3M. Review the Program Terms and Conditions carefully before enrolling in the program and for other important disclosures and information. To assure your FDIC coverage, regularly review banks in which your funds have been deposited and you may be required to take appropriate action to ensure you retain full insurance coverage at each participating bank. The program is administered by a technology service provider to SoFi Bank.

Already a member of SoFi Checking and Savings?

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Participating Banks

FAQs

SoFi Checking and Savings is raising their savings APY (Annual Percentage Yield) to 4.00%¹ (up from 3.75%) for all members with direct deposit. These members with direct deposit will now earn 11x² the current national savings average on all of their savings and Vaults balances. For members who don’t have direct deposit, all checking and savings balances will continue to earn 1.20% APY¹. For checking, that’s 20x³ times the average national monthly interest checking rate.

SoFi knows our members are looking for ways to get more for their hard-earned money and feel secure in where they’re putting their funds. SoFi takes our responsibility with our members’ money seriously, and it’s our priority to ensure that they are getting the best experience — we want them to feel confident with their finances.

To help understand today’s changes and our offerings, we’re answering your most frequently asked questions:

What are SoFi Checking and Savings members earning across the board?

   •  Members with direct deposit:

          ◦  Savings: 4.00% APY (up from 3.75%)

          ◦  Checking: 1.20% APY (adjusted from 2.50%)

   •  Members without direct deposit:

          ◦  Savings: 1.20% APY (no changes)

          ◦  Checking: 1.20% APY (no changes)

Why have you made these changes to your APY?

Our goal is to offer members some of the best APY rates in the market, so they you can grow their money and earn high interest on every dollar when they bank with SoFi.

Adjusting our APY to this new structure allows us to offer an industry-leading APY on checking balances, while allowing us to increase our savings APY even more (now 4.00% APY for members with direct deposit).

SoFi’s checking APY is 20x the national average —and 120x the checking APY offered by Citi, Bank of America, Wells Fargo, and Chase.⁴ See how we stack up versus other financial institutions:

How do I know my money is safe and secure with SoFi?

SoFi’s number one priority is to ensure that members feel confident with their money. All members can rest assured that:

   •  SoFi Bank deposits are insured by the FDIC for up to $250,000 per individual and for up to $500,000 per joint account.⁵ 

   •  All members have 24/7 account monitoring and the ability to instantly freeze debit or credit cards in the SoFi app.

   •  All members also have easy access to customer service via chat or phone.

How do I set up direct deposit?

Simply download this pre-filled form, sign it, and submit it to your employer’s payroll department. It’s as simple as that!

Alternatively, if your employer has an HR portal that allows you to set up direct deposit by inputting your account number and routing numbers, you can get those here.

DISCLOSURES

1. SoFi members with direct deposit can earn up to 4.00% annual percentage yield (APY) on savings balances (including Vaults) and 1.20% APY on checking balances. There is no minimum direct deposit amount required to qualify for the 4.00% APY for savings. Members without direct deposit will earn 1.20% APY on all account balances in checking balances and savings balances without direct deposit (including Vaults). Interest rates are variable and subject to change at any time. These rates are current as of 3/17/2023. Additional information can be found at https://www.sofi.com/legal/banking-rate-sheet.

2. 11x based on FDIC monthly savings account rate as of March 17, 2023.

3. 20x based on FDIC monthly interest checking rate as of March 17, 2023.

4. Rates may vary by state and do not account for bonus, special or promotional APYs. Traditional bank rates are current as of March 16, 2023. SoFi members with direct deposit can earn up to 4.00% annual percentage yield (APY) on savings balances (including Vaults) and 1.20% APY on checking balances. There is no minimum direct deposit amount required to qualify for the 4.00% APY for savings.Members without direct deposit will earn 1.20% APY on all account balances in checking balances and savings balances without direct deposit (including Vaults). Interest rates are variable and subject to change at any time. These rates are current as of 3/17/2023. Additional information can be found at https://www.sofi.com/legal/banking-rate-sheet.

5. Deposits in checking and savings accounts are insured up to $250,000 per depositor for each account ownership category under the FDIC’s general deposit insurance rules. For more information visit FDIC.gov

6. Our account fee policy is subject to change at any time.

7. Based on a Bankrate survey of 237 interest checking accounts and 232 noninterest checking accounts between June 13 and July 1, 2022.

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