Summary of the SoFi Credit Card

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SoFi Bank Credit Card has no annual fee, and its floating rate varies from 13.74% to 25.74%. Cash back is standard among the top banks and is 2% for all categories. The peculiarity is that in the first 12 months the cash back is increased to 3%, while the accumulated bonuses never disappear and can be used at any time. There is no minimum repayment threshold. SoFi Card offers several competitive advantages, including cell phone insurance coverage of up to $1,000, access to other World Elite MasterCard benefits, and multi-level protection of user funds and data.

More features of the SoFi Credit Card

You can apply for the card remotely through the website. It is issued free of charge, and there is no annual fee. After receiving the card, the bank’s client receives $200 for the first deposit into a standard or investment account. As we have already noted, 3% cash back is especially beneficial in the first year of card use, then decreases to 2%, which is a regular indicator for the segment. It is interesting that if a client regularly makes monthly payments (without delay), then after 12 payments their credit rate is automatically reduced by 1%.

The interest rate of the SoFi Credit Card is variable (13.74-25.74%) and determined by the user's creditworthiness and the market condition. It's worth noting that this card has quite a low currency conversion percentage. You can withdraw funds from ATMs abroad not only in US dollars but also in the local currency. In this case, automatic conversion is made at the market rate with 0.9% of the fee. With a conversion transaction abroad, the fee will be 0.2%. At the moment, this is one of the lowest fees.

Modern credit cards offer many bonuses and unique benefits. All these are competitive practices for getting the client's attention. Nevertheless, the basic parameters (such as the interest rate and fees) remain the main factors when choosing a credit card. In the table below, the experts at the Traders Union provide information that users consider to be the most important in comparing the conditions of a particular card with its competing products.

Parameters SoFi

Maintenance fee

$0

Standard APR

13.74-25.74%

Rate for new clients

Standard

Recommended credit score

No information

Pros and cons of the SoFi Credit Card

Credit card reviews are often "one-sided". This means that clients do not give a comprehensive assessment, but only point out particular opportunities that seem most important to them. The experts at the Traders Union are strictly objective, so the table below shows key pros and cons of SoFi Credit Cards (based on summary analytics and comparative assessment).

👍 Pros

No annual fee

Cash back in the first 12 months is 3%

After 12 payments without delays, the loan rate is reduced by 1%

All the advantages of World Elite MasterCard

The fee for withdrawing foreign currency from an ATM is 0.9%

Welcome bonus of $200 at the first deposit into the account

👎 Cons

Credit score criteria are hidden

Cash back is earned in reward points, not real money

No improved conditions for new clients

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Bonuses and special features of the SoFi Credit Card

Most credit cards have unique features that determine the comfort and benefit of the user, and SoFi cards also have such advantages. They must be considered because most of the advantages of bank cards are concentrated around extra options and third-party bonuses, which act as a separate competition field for the bank. Traders Union experts provide the main features of the SoFi Credit Card below.

Welcome bonus

Many credit cards offer this bonus, but in most cases, it is provided only for the deposit of a certain amount or if the user fulfills the activity conditions. SoFi provides $200 to all new clients. Bonus funds are automatically credited to a standard or investment account upon making the first deposit on a card. The bank's client does not need to fulfill any additional conditions, and there is no limit on the minimum deposit amount to receive a welcome bonus.

Reduction of the loan rate

SoFi provides its clients with a unique offer which is a permanent 1% rate reduction. To receive this benefit, you need to pay interest on the loan on time in the first 12 months. As in the case of the welcome bonus, there are no additional conditions or "pitfalls".

World Elite MasterCard benefits

SoFi provides its clients with an MC (MasterCard) standard credit card. This means the special conditions apply to the bank's clients under the World Elite MasterCard program. First, if your card has been compromised or stolen, you will not be responsible for unauthorized transactions. Second, you are provided with free user and concierge services worldwide, which will help solve most problems – from ordering a transfer to the airport to booking a hotel. Third, you get complimentary insurance coverage for your cell phone for up to $1,000 in case of damage or theft. Fourth, there is the Travel & Lifestyle option that includes the lowest prices for booking hotels in most countries. Finally, you get discounts at many cinemas and online stores.

SoFi Credit Card fees

Fees are one of the key indicators of any bank card. This is because the financial benefits for the client depend on it. No bonuses can compensate for the high currency conversion or international transfer fees. That's why the experts at the Traders Union listed the main SoFi fees in a separate section:

There is no annual fee, so you can use a SoFi Credit Card for free.

The standard loan rate varies from 13.74% to 25.74% and depends on your credit score and market situation.

You can reduce the loan rate by 1% if you do not miss a single payment during the first 12 months.

If you make purchases in a foreign shop, the fee will be 0.2% of the order amount.

If you want to withdraw cash from an ATM abroad and need to convert money to local currency, the fee will be 0.9% of the amount.

The cell phone insurance service is ordered separately for a single payment of $50 with the deductible.

In the first four months, all international transfers are subject to a fee of $5 or 3% of the transfer amount (whichever is more).

Further, the fee for international transfers is $5 or 5% of the transfer amount (whichever is more).

One of the key indicators of a user's profile is a credit score. The higher it is, the lower the loan interest rate. The peculiarity of SoFi is that the company does not disclose its credit score requirements, so the approval of the application takes place on an individual basis.

SoFi comparison with its competitors

It is impossible to assess the advantages of a credit card without comparing it against basic parameters with the cards of its competing banks. For your convenience, Traders Union experts performed a comparative analysis and their conclusions are in the table below.

Parameters SoFi Credit Card Capital One Venture X Rewards credit card Citi Double Cash Card Discover it Cash Back Bank of America Travel Rewards credit card

Maintenance fee

$0

$395

$0

$0

$0

Standard APR

13.74-25.74%

18.49-25.49%

16.24-26.24%

14.24-25.24%

16.24-26.24%

Interest rate for new clients

Standard

Equal to standard interest rate

0% on money transfers for 18 months

0% on purchases and money transfers for 15 months

0% on purchases for 18 payment cycles; 0% on money transfers for 2 months

Recommended credit score

No information (on an individual basis)

720-850 (Excellent)

690-850 (Excellent)

690-850 (Excellent)

690-850 (Excellent)

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Who can use a SoFi Credit Card?

The SoFi Credit Card is considered universal. It is equally convenient for people with different levels of financial activity because it does not give unique advantages to those who spend more. The main benefits are cash back of 2% (3% during the first year) and the ability to reduce the interest rate by 1% if you do not miss a payment within the first 12 months.

The advantages of the card offered by the World Elite MasterCard program are typical for most banks that use the MasterCard standard. If you travel a lot, concierge service and premium options in hotels can provide increased comfort. Since the World Elite MasterCard program also provides bonuses in entertainment and shopping, the cards of this standard are suitable for most people.

The standard loan rate is average, but the fees for international transfers, conversion, and withdrawal in foreign currency are lower than those of many other banks. This is another fact that speaks in favor of the comfort of a SoFi Credit Card when traveling.

Conclusion

The SoFi Credit Card offers a $200 bonus for the initial deposit into a standard or investment account. There are no additional conditions for receiving it. In the first year, you get increased cash back of 3%, but you should keep in mind that it is not earned in monetary form, but in reward points (3 points for every dollar, while 1 point is equal to 1 cent). From the second year, you earn two reward points for every dollar. Additional benefits are provided by the cards of the World Elite MasterCard standard issued by the bank. Such cards offer cell phone insurance coverage up to $1,000 (for $50) and travel bonuses. SoFi’s loan rate is average among its competitors and it can be reduced by 1% if you do not miss payments. Thus, a credit card is worthwhile for most users regardless of their lifestyle, although frequent travelers can get additional benefits.

FAQ

How much cash back does the SoFi Credit Card provide?

The standard cash back is 2% of the direct purchase amount. During the first 12 months, the cash back is increased to 3%. But remember that cash back is always earned as reward points, not money. In the future, you can use these points on loan repayment, order additional options, or make purchases.

What determines the loan rate on the SoFi Credit Card?

The rate is floating and varies from 13.74% to 25.74%. Initially, it depends on the credit score, though the bank does not disclose the exact criteria. Over time, the rate changes following shifts in the score and market situation. If the bank's client does not miss any of the first 12 payments, they will receive a 1% reduction in the loan rate.

How favorable are SoFi fees?

The conversion upon withdrawal of cash abroad is subject to a fee of 0.9%. For purchases in foreign stores, the client pays 0.2% of the amount. The fee for international transfers is $5 or 3% ($5 or 5% after four months). These are one of the most favorable fees offered by US banks.

What are the advantages of the World Elite MasterCard?

For $50, you can insure your cell phone against damage and theft with coverage up to $1,000. You also get concierge service free of charge and premium options at hotels globally (including discounted booking prices). Among other things, there are bonuses for shopping and entertainment.

Team that worked on the article

Mikhail Vnuchkov
Author at Traders Union

Mikhail Vnuchkov joined Traders Union as an author in 2020. He began his professional career as a journalist-observer at a small online financial publication, where he covered global economic events and discussed their impact on the segment of financial investment, including investor income. With five years of experience in finance, Mikhail joined Traders Union team, where he is in charge of forming the pool of latest news for traders, who trade stocks, cryptocurrencies, Forex instruments and fixed income.

The area of responsibility of Mikhail includes covering the news of currency and stock markets, fact checking, updating and editing the content published on the Traders Union website. He successfully analyzes complex financial issues and explains their meaning in simple and understandable language for ordinary people. Mikhail generates content that provides full contact with the readers.

Mikhail’s motto: Learn something new and share your experience – never stop!

Dr. BJ Johnson
Dr. BJ Johnson
Developmental English Editor

Dr. BJ Johnson is a PhD in English Language and an editor with over 15 years of experience. He earned his degree in English Language in the U.S and the UK. In 2020, Dr. Johnson joined the Traders Union team. Since then, he has created over 100 exclusive articles and edited over 300 articles of other authors.

The topics he covers include trading signals, cryptocurrencies, Forex brokers, stock brokers, expert advisors, binary options. He has also worked on the ratings of brokers and many other materials.

Dr. BJ Johnson’s motto: It always seems impossible until it’s done. You can do it.