SoFi announces first credit card that can help people pay down debt
SoFi , the digital personal finance company, announced that it has launched its first-ever credit card, which incentivizes healthy financial habits and delivers on its mission to help people get their money right. Carrying no annual fee, the card, for which Mastercard is the exclusive card network, provides up to 2% unlimited cashback when redeemed into SoFi Money or SoFi Invest accounts, or used to pay down SoFi Student Loans or SoFi Personal Loans.
With total consumer debt reaching a record $14.3 trillion this year, the SoFi Credit Card allows people to pay down debt with rewards that are earned for spending. Members will also be able to set up automated redemptions into their account of choice, creating a frictionless way to redeem cash back, pay down debt, invest, or save for the future. From the streamlined application process—it only takes six taps to apply—to the debt-payment rewards structure.
“Based on feedback from our members, we designed a credit card that helps our members pay down debt or invest in the future with every purchase, while building holistic, healthy money habits. Through simply using the SoFi Credit Card and following the same daily spending patterns that our members do today, we are making ‘getting your money right’ the most intuitive and convenient choice.” – SoFi CEO, Anthony Noto.
The card also rewards responsible usage and payback patterns with a sustained 1% APR reduction after 12 consecutive on-time credit card payments, as long as on-time payments continue.
The SoFi Credit card is issued by the Bank of Missouri and leverages the global payments network of Mastercard. SoFi Credit Card holders will enjoy access to World Elite Mastercard® Benefits, including exclusive discounts with select merchants such as Instacart, Lyft, ShopRunner, and Fandango, as well as access to the World Elite Concierge. The SoFi Credit Card will include advanced security features including Mastercard ID Theft Protection and Price Protection, and cardholders will also have access to Priceless Experiences, offering activities both digitally and in the cities where they are.
“SoFi continues to create thoughtful and innovative products to empower its members to pay down debt and improve their financial lives. We are proud to build upon our relationship with SoFi and work closely to arm their members with benefits and features that are directly relevant and meaningful to their lives.” – President, US Issuers at Mastercard,Linda Kirkpatrick.
Applications for the SoFi Credit Card will open to SoFi members in phases, and will be available to the general public in early 2021, with additional features to roll out in the interim.