I work for SoFi Wealth and want to clarify how stock lending works. When an investor sells short, they must deliver shares to the buyer. These shares are borrowed from people who own them. If you withdraw funds from SoFi Wealth, we sell shares to cover the withdrawal. If the shares have been loaned, the borrower simply gives them back. All this is handled by our clearing firm. You don’t have to do anything.
The short seller pays for borrowing the shares. The amount is determined by the scarcity of the shares being loaned. This revenue reduces amount we charge for management. If you have a SoFi loan, we charge no management fee. We invest in large, liquid ETFs that have very low management fees. Each fund is different, but the fees are disclosed on our site. Just click the ticker symbol. Call us at 855-525-7634 if you have questions.