SoFi Personal Loans Review 2021 – Forbes Advisor

SoFi Personal Loans Review 2021 – Forbes Advisor
Written by Publishing Team

Personal loan applications are approved or denied based on a number of factors. All lenders have their own unique underwriting requirements, but these usually include information from the applicant’s credit profile and other factors that demonstrate the ability to repay the loan, such as income. Meeting the requirements below will not guarantee approval, but they can help you decide if a personal loan is right for you.

Credit score requirements

Applicants for a personal loan must have a minimum FICO credit score of 680 to qualify for a SoFi personal loan. As with other popular lenders, not all applicants who meet the minimum credit score requirements will be approved for a SoFi personal loan, and most successful applicants receive a score of 700 or higher.

income requirements

SoFi requires personal loan applicants to have a minimum annual income of $45,000 to qualify. However, the average income of a SoFi borrower is over $100,000. SoFi also evaluates applicants based on their debt-to-income ratio (DTI) and how much income is left after covering other monthly expenses. Ideal applicants have at least $1,500 in free cash flow each month.

Co-signatories and co-applicants

If your balance isn’t where you want it to be, SoFi also allows potential borrowers to apply with a co-applicant. Joint applicants – also known as joint borrowers once the loan is funded – are jointly responsible for repaying the loan and must live at the same address as the primary applicant.

Applying with a co-applicant requires the applicant to add the employment, income, and education information of the co-applicant. Keep in mind that adding a co-applicant may add one to two weeks to the loan application process, so plan ahead. The co-borrower cannot be removed from the loan, even if the primary applicant has improved their credit score or established a good payment history.

SoFi does not allow participants to sign for personal loans. A co-signer is similar to a co-applicant but does not have to live in the same home.

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