The SoFi Credit Card offers the best value for new and existing SoFi customers who want the option to redeem rewards into other SoFi banking and investment accounts, but has little upside for anyone else.
About the SoFi Credit Card
The SoFi Credit Card is a cash-back credit card that has a tiered rewards program where the value of the points earned are higher when redeemed toward SoFi banking, loan and investment products.
In the first year of having the card, cardholders can earn 3% cash back on the first $12,000 spent as long as they set up a direct deposit with a SoFi checking and savings account.
After that, the cash-back rewards rate drops to 2%. Points are worth 1 cent each when redeemed for cash into SoFi money accounts, SoFi investment accounts or SoFi checking or savings accounts, or toward any outstanding balance on a SoFi student loan refinance or SoFi personal loan account. Rewards redeemed for SoFi Credit Card statement credits, however, are only valued at half a cent.
The card also features a welcome bonus offer of up to $250 for cardholders who meet qualifying direct deposits during a 25-day evaluation period. Again, this offer is specifically tied to SoFi bank accounts. To get the full $250, the direct deposit has to be $5,000 or more. Direct deposits less than $5,000 will only qualify for a $50 bonus. The direct deposits must also be at least $1,000 and come from an employer or payroll provider as any bank transfers or check deposits do not qualify. Unfortunately, if you are already a SoFi member who already uses direct deposit, you will not qualify for the bonus.
Where the SoFi card stands out among cash-back cards is the ability to also redeem rewards for cryptocurrency through a SoFi investment account.
What is SoFi?
SoFi is a nationally chartered bank known for its lending products. Founded in 2011, the company got its start offering student loan refinancing and eventually added more products and services, including personal loans and mortgages, investment and banking services, insurance and, more recently, the SoFi Credit Card.
SoFi Credit Card basics
- Annual fee: $0.
- Welcome bonus: Earn up to a $250 cash bonus with qualifying direct deposits into a SoFi checking and savings account.
- Rewards: Earn 3% cash back for the first year when setting up direct deposit with SoFi, up to $12,000 spent. After that, earn 2% unlimited cash back on purchases when redeemed toward investing, saving or paying down an eligible SoFi loan.
- Regular APR: 17.49% – 29.49% variable.
- Other perks and benefits: Cellphone protection, World Elite Mastercard benefits, SoFi membership.
- Foreign transaction fees: None.
- Does the issuer offer a pre-approval tool? Yes.
- Recommended credit score: Good to excellent.
SoFi Credit Card other details
SoFi Credit Card rewards
Cardholders that set up a recurring monthly direct deposit with a SoFi savings and checking account will earn 3 points per dollar spent in the first year, on up to $12,000. After that, SoFi cardholders earn 2 points per dollar spent on card purchases.
SoFi points are redeemable through your online account. Point redemption is where it pays to have banking and investment accounts with SoFi as points are redeemable at a value of 1 cent per point for the following redemptions:
- Shares or fractional shares credited to a SoFi Invest account.
- Cash deposited into a SoFi checking or savings account.
- Payment applied to a SoFi student loan refinance loan balance.
- Payment applied to a SoFi personal loan balance.
You can also redeem points for a statement credit, but those are only valued at half a cent per point.
SoFi Credit Card rewards potential
Using government data and other publicly available information, we estimate that a household in the U.S. that would be in the market for this card has an annual income of $84,352 and $25,087 in expenses they are likely to be able to charge to a credit card.
Based on those numbers, a household that charges all purchases to the SoFi Credit Card and earns the 3% cash back bonus the first year for the first $12,000 spent (2% cash back, thereafter) would earn $360 on the first $12,000 and $261.74 on the remaining $13,087 for a total of $621.74 in rewards in the first year of card ownership and $501.74 each subsequent year.
You can calculate your own rewards potential based on your spending habits by multiplying projected expenses by 2% (or 0.02).
Additional SoFi perks
Approval for the SoFi credit card or one of its other financial products comes with a SoFi membership. As a SoFi member, you can access additional benefits beyond what’s offered with the card. Some of those benefits include:
- No-cost financial planning.
- Rate discounts on eligible SoFi loan products.
- 15% off estate planning through a partnership with Trust & Will.
- Exclusive SoFi events and experiences.
- Access to a members-only Facebook group.
- Entrance into the SoFi Member Lounge at SoFi Stadium in Los Angeles.
- Student loan advice hotline.
- Career coaching and tools.
- Unemployment protection.
SoFi Credit Card APR
The ongoing APR on the SoFi card is 17.49% to 29.49% variable, based on your creditworthiness. The card doesn’t come with 0% intro APR offers for purchases or balance transfers.
SoFi Credit Card pros
- High rewards rate for SoFi members: Rewards hold the best value when redeemed into another SoFi account.
- No annual fee: The SoFi card doesn’t carry an annual fee.
- No foreign transaction fees: SoFi doesn’t charge fees for card purchases originating outside of the U.S.
SoFi Credit Card cons
- Low rewards rate value outside of SoFi: You must redeem rewards into a SoFi account for the best value. Otherwise, points are worth 0.5 cents instead of 1 cent each.
- No intro APR offer: The card doesn’t offer 0% intro APR on purchases or balance transfers.
- Few card benefits: Most benefits are tied to SoFi membership, not the card itself.
How the SoFi Credit Card compares to other rewards cards
SoFi Credit Card vs. Citi® Double Cash Card
The Citi® Double Cash Card earns up to 2% cash back through a simple rewards structure — 1% on all card purchases and another 1% when you pay off those purchases.
The Citi Double Cash Card offers much more flexibility than the SoFi card. Rewards come in the form of ThankYou points. You can redeem ThankYou points in multiple ways, including statement credits, paper checks, direct deposit or transferring them to one of Citi’s travel partners.
The Citi Double Cash Card also offers a 0% intro APR for 18 months on balance transfers completed within the first 4 months of account opening (then a variable APR of 18.74% to 29.74% applies). Like the SoFi Credit Card, the Citi Double Cash Card has no annual fee.
SoFi Credit Card vs. Chase Freedom Unlimited®
If you spend considerable money in certain categories, the Chase Freedom Unlimited® may be a better fit. The card earns 3% cash back in popular categories such as dining, grocery store and drugstore purchases, and 5% cash back for travel booked through Chase Ultimate Rewards® (1.5% cash back on all other purchases).
This no-annual-fee card is also a great pick if you plan to pair it with a premium Chase Ultimate Rewards card, allowing you to pool points for more value. Plus, you can earn a $200 bonus after spending $500 with the card in the first 3 months of account opening.
The Freedom Unlimited card also comes with a 0% introductory APR for 15 months from account opening on purchases and balance transfers, then a variable APR of 19.49% – 28.24% applies. An intro transfer fee of either $5 or 3% of the amount of each transfer, whichever is greater, applies in the first 60 days of account opening. After that, a fee of either $5 or 5% of the amount of each transfer applies.
SoFi Credit Card vs. Bank of America® Travel Rewards credit card
If cash back isn’t your thing, a solid travel rewards card like the Bank of America® Travel Rewards credit card may be a better option. This no-annual-fee card earns an unlimited 1.5 points per $1 spent on all purchases. You can also earn a decent 25,000-point welcome bonus after you make at least $1,000 in purchases in the first 90 days of account opening.
Cardholders can redeem points for statement credits to cover travel or dining purchases, including flights, hotels, vacation rentals, rental cars, baggage fees and restaurants. The Bank of America Travel Rewards card also comes with 0% intro APR for 18 billing cycles for purchases and balance transfers made in the first 60 days (then a variable APR of 18.49% to 28.49% applies).
Should you get the SoFi Credit Card?
The SoFi Credit Card is a great option for new and existing SoFi members who want to redeem rewards towards other SoFi accounts. While you’re probably not going to earn enough points to pay off SoFi loans, redeeming rewards to pay down loan balances can make a nice dent, depending on your spending habits. You can also boost your bank or investment account using rewards. For someone who uses SoFi to manage all of their finances, it’s the perfect cash-back card.
It’s not a great card if you don’t want or have an existing relationship with SoFi or aren’t planning to apply for a loan or open other SoFi accounts. Know that there are other cash-back credit cards that earn more valuable rewards redeemable in ways that suit your preferences.
SoFi Credit Card summary
Frequently asked questions (FAQs)
SoFi doesn’t disclose its credit score requirements for card approval. Many cash back credit cards require a “good” credit score. FICO classifies a good credit score as 670 or higher. Just be aware that no specific credit score will guarantee approval for a particular card as the lender will also consider a variety of factors in determining your creditworthiness.
Yes. The SoFi Credit Card is a legitimate credit card and can be used wherever Mastercard credit cards are accepted.
The SoFi Credit Card is a no-annual-fee rewards card that earns 3% cash back up to $12,000 spent in the first year, then drops to 2% after that. The cash-back rewards carry the most value when redeemed into an eligible SoFi account.
Yes. New cardholders can earn up to a $250 cash bonus with qualifying monthly direct deposits of $5,000 or more into a SoFi checking and savings account. Direct deposits of $1,000 to $4999.99 will only qualify for a $50 cash bonus. Direct deposits of less than $1,000 do not qualify for the bonus.
