Members reduced their effective interest rate by average of 42%, increased credit score by average of 17 points

August 28, 2017 – San Francisco, Calif. – Today SoFi announced its members have cumulatively paid off over $5 billion dollars in credit card debt using SoFi Personal Loans, getting them out of debt faster and at lower interest rates.

Members who used SoFi Personal Loans to pay off credit cards reduced their effective interest rate by 42% on average. They also saw their credit scores rise by 17 points on average due to reduced credit utilization, a key component of credit scores.

“Credit cards offer great convenience and rewards, but there are better forms of financing for longer-term debt,” said Meron Colbeci, SVP of Product at SoFi. “If you’re carrying a balance, you owe it to yourself to look at a Personal Loan to pay off those cards.”

Credit card utilization has been steadily rising since the 2008 financial crisis. Americans’ credit card debt eclipsed $1 trillion this year, according to Federal Reserve data, and the average credit card APR inched up to an all-time high of 16.14 percent, according to CreditCards.com.

SoFi offers an array of options for Personal Loans, letting members find their rate, choose their loan amount (up to $100,000), and choose their term (three, five, or seven years) through a simple, fully-online application process. Loans are funded in less than a week on average. Though SoFi Personal Loans can be used for lots of purposes, more than 70 percent of SoFi members report using them for credit card refinancing and loan consolidation.

Like all SoFi members, SoFi Personal Loan borrowers gain access to an array of benefits and services, including career counseling, invites to SoFi member events in over 60 cities around the Unites States, and rate discounts on other SoFi products.

About SoFi
SoFi is a new kind of finance company taking a radical approach to lending, wealth management and insurance. From unprecedented products and tools to faster service and open conversations, we’re all about helping our members get ahead and find success. Whether they’re looking to buy a home, save money on student loans, ascend in their careers, or invest in the future, the SoFi community works to empower our members to accomplish the goals they set and achieve financial greatness as a result. For more information, visit SoFi.com.

Contact
SoFi PR
[email protected]

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Having lived her entire life in Greensboro, North Carolina, Katie Shank, 26, was ready for a change. After graduating with a bachelor’s in history from University of North Carolina Greensboro, Katie was working an office job at a large clothing corporation, as a liaison between departments. It was paying the bills, but not exactly her dream job.

So when her boyfriend, Jordan, asked if she wanted to quit her job and buy an RV to travel the U.S., Katie jumped at the chance. With the help of a mysterious Craigslist ad and a $9,000 SoFi personal loan, Katie and Jordan now have a mobile home from which they can search for their ideal city. Soon they will be headed west to make a new life for themselves, all within the comfort of their tiny home on wheels.

Best Personal Loan of 2024

SoFi’s Personal Loan was named NerdWallet’s 2024 winner for Best Personal Loan Overall. Come see why.

• Easy Experience
  

  View your rate in 60 seconds—without affecting your credit score. Apply online from start to finish and get access to live, U.S.-based customer support, seven days a week.

• Low Fixed Rates
  

  Compared to high-interest credit cards, a SoFi Personal Loan is a better way to pay and save. Borrow $5K-$100K and consolidate your debt into one manageable monthly payment.

• Same-Day Funding^*
  

  Whether you’re consolidating high rate credit card debt, covering a major expense or renovating your home, you’ll be able to get your funds as quickly as the same day your loan is approved.

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Without impacting your credit score^✝

You have to earn the right to call yourself a New Yorker, and one of the ways you can do that is by suffering through the challenge that is finding housing in New York City. It’s a badge of honor you can wear with pride once you do—I mean, New York is one of the only cities in the world where people willingly pay over $1,000 a month for an apartment that has a shower in the kitchen.

But even as one of the most expensive cities in the world, it may make financial sense to buy sooner rather than later in this city. You only need to stay put for three years to make buying in Queens worth the price, four and a half years for Brooklyn, and seven and a half years for Manhattan, according to a study done by StreetEasy.

The desire for space and affordability sends some first-time homebuyers to New Jersey, Long Island, or quaint towns along the Hudson River (all of which still come with steep price tags). But for those committed to staying within the five boroughs, the question remains: Just how the heck do you navigate being a first-time homebuyer in New York City?