SoFi and LendingClub Have Very Different Days

Aidvantage Advice Already Dubious

Two new companies in the financial space, LendingClub and SoFi had very different days recently. It just goes to show you how quickly this new financial niche is moving. LendingClub Had a Bad Day LendingClub stormed onto the playing field as a peer-to-peer lender. In the early days, I was even one of the many …

Read more

Attorney Takes Exception With Student Loan Lender Article

On August 4, 2021, SoFi published an article called “Is There a Statute of Limitations on Debt?” (https://www.sofi.com/learn/content/statute-of-limitations-on-debt/). Most would agree that the simple answer is yes because they assume the author is actually referring to lawsuits on debt, not the debt itself. For example, as correctly pointed out in the article, the expiration of …

Read more

SoFi Settles Charges With FTC Over Savings Claims

Online student loan refinancer SoFi has agreed to stop misrepresenting how much money student loan borrowers have saved or will save from refinancing their loans with the company, in order to settle Federal Trade Commission charges that it deceptively advertised inflated figures for more than two years. In a complaint against Social Finance, Inc. and …

Read more

Should I Borrow From my 401(k) or Home Equity to Eliminate My Debt?

Question: Dear Steve, I have approximately $150K in credit card debt. I have a 401k worth about $500K with the ability to take out a loan of about $103K. I call it “credit card” debt, but it’s actually two Sofi loans totaling about $83K and the rest is credit card debt. That Sofi loan is …

Read more

Using Soft Credit Report Pulls for Marketing? – Read This SoFi Case

This case just crossed my desk and it’s a good read for any debt relief company who is using soft credit report pulls in marketing services or screening consumers. “This case should serve as a note of caution for lenders marketing eligibility determinations based on a “soft” pull of a consumer’s credit report. Notably the …

Read more

Sanctioned Disruption of the Banking Industry to Come

For the most part the announcement from the Office of the Comptroller of the Currency (OCC) are painful boring. Sorry fellas. But this one looks like it could provide some innovative changes to the banking industry that could disrupt things for the better. The OCC says: “On December 2, 2016, Comptroller of the Currency Thomas …

Read more