Debt consolidation is the perfect reason for you to take out a new personal loan to pay off several debts you may have accumulated throughout the years. You combine all of your current debt into a single loan so you can simplify the payment schedule. You also save more on interest, which helps keep you from going out of budget.
Many people often look to personal loans to consolidate their debt. One of the best personal loans to help with debt consolidation is from SoFi. SoFi Personal Loans are the perfect way to consolidate debt and realign your finances.
With their affordable interest rates, simplified payment schedule, and faster debt payoff scheme, you can easily reach financial freedom quickly. If you want to learn about SoFi Personal Loans and how it can help with debt consolidation, check out the article below.
When is the SoFi Personal Loan Good for Debt Consolidation
A personal loan should only be used when you are in a dire financial situation.
Many people often want a personal loan when they can use other ways to fund their purchases and end up in a lot of debt.
So, when is a SoFi Personal Loan good for debt consolidation? Check out when you should apply for a SoFi Personal Loan for debt consolidation.
When You Have Multiple High-Interest Debts
Many people have many credit cards, and oftentimes, they also have very high interest. This can mean you have many bills to pay at the end of the month.
It can result in you having to deal with multiple high-interest debts, and you begin to struggle with your budget.
With debt consolidation, you can gather all of your high-interest debts under one account and be able to negotiate your way out of these debts.
When You're Struggling to Make Multiple Payments
Since you're dealing with many high-interest debts, it can take its toll on your finances. You begin to struggle to make multiple payments as well.
You might even experience late payments, which adds to your financial stress. This is the perfect time to consolidate your debt, streamline your payments, and stay organized.
When You Have Difficulties Qualifying for Lower Interest Rates
If you notice that when you apply for financial products, you often get very high interest rates, this is a sign that you need to fix your credit score first.
Your credit score will impact how your interest rate is calculated. By resolving your credit score through debt consolidation, you can also improve your credit score, which can help you get a better interest rate.
What are the Benefits of SoFi Personal Loans for Debt Consolidation
SoFi Personal Loans not only resolve your current financial emergency but can also improve your overall credit health.
Debt consolidation through SoFi Personal Loans has many benefits that you can enjoy.
See below what's in store for you with SoFi Personal Loans for debt consolidation.
Affordable Interest Rates
SoFi Personal Loans not only help you sort your debt problem but can also help you save more money with their affordable interest rates.
Secure a lower fixed APR with SoFi Personal Loans today, and you will be able to manage your finances better.
They offer a variable rate from as low as 8.99% to 29.99%, depending on your creditworthiness.
Prequalification Check and Easy Application
Even better with SoFi Personal Loans is that they don't want to waste your time applying for the loan.
You can check if you're pre-qualified for the loan and see if you have a good chance of getting approved within a few minutes. It also does not hurt your current credit score when you undergo the pre-qualification check.
Once you're pre-approved, the application process becomes much smoother, and you'll receive your funds in no time.
Same-Day Funding
Speaking of funds, your SoFi Personal Loan amount will be credited to your bank account within the same day of application.
There might be some delays in some cases, but generally, the agreed loan amount is sent to your account as soon as you get approved.
Save More By Activating Other Features
Here's how you'll know that SoFi Personal Loans aims to help you save more money. When you activate their Autopay feature, you get a 0.5% off from your current interest rate.
This immediately saves you tons of money from your current interest rate. You can also help manage your loan better through their mobile app. Be sure to activate these features to help save money in the future.
Eligibility Requirements for SoFi Personal Loans for Debt Consolidation
Applicants are highly recommended to undergo a prequalification check to see if they are qualified for the loan.
Here are some of the requirements that you need to fulfill before you undergo the check so that you'll receive the most optimal rates and terms for the loan.
Credit Score
Applicants will need to have a credit score of 680 or more to qualify for SoFi Personal Loans.
Borrowers with a lower credit score might still be approved for the loan but have a higher interest rate.
You can expect a better interest rate if you already have a good credit score.
Age and Residency
All applicants must be of legal age at the time of their application. You must also be a resident of the United States to qualify for the loan.
Everyone applying for the SoFi Personal Loans must have the proper documents to support these claims.
Income and Debt-to-Income Ratio
Applicants must also have a good and stable income to qualify for the loan. They must have an annual income of at least $45,000 or more to qualify.
They must present income documents and must have a good debt-to-income ratio. A 30% DTI ratio is a good indicator that you will be qualified for the loan.
Contact Details
If you have inquiries about the personal loan or need help with the application, call their customer service support hotline at (855) 456-SOFI (7634).
They are open Monday to Thursday from 5 AM to 7 PM and Friday to Sunday from 5 AM to 5 PM PT.
You can also visit their main office at 234 1st St., San Francisco, California 94105, US.
How to Apply for SoFi Personal Loans for Debt Consolidation
Once you have fully prepared for the application, you can then head over to the official website for the prequalification check.
It will only take a few minutes for you to enter the information, submit, and receive the results.
Once you have undergone the prequalification check and you are eligible for the loan, start the application process below.
Submit Your Application
You will have the option to continue with the application. Submit all the other necessary information and documents for further review.
Double-check all the information and terms and conditions before you submit and wait for the approval.
Once approved, recheck the terms and see if you agree. Sign the contract if you agree, and your funds will be sent to your bank account on the same day.
Conclusion
SoFi Personal Loans can help you deal with financial stress through debt consolidation. Carefully evaluate your financial situation and see if personal loans can help you alleviate such a situation. When used responsibly, SoFi Personal Loans can be a powerful way to achieve your financial goals.
Note: There are risks involved when applying for and using credit. Consult the bank’s terms and conditions page for more information.
