SoFi checking?

[Archipelago]

Looking into changing banks to one that offers high yield checking. There are a lot of options out there for 4%+ HY checking but these are restrictive and make you do things like charge 20 debit purchases per month. I don't want to jump through hoops and micromanage account balances for the higher interest rates. I just want a basic interest-bearing checking account with good digital features to park an emergency fund / pay the bills from. Depositing cash is not a problem, and neither is in person banking.

Is SoFi the way to go for 2% APY, no fees, and a direct deposit bonus? Anyone have experience with SoFi for personal checking?


TIA.

[muskrat]

Not sure about SoFi.  I currently use Wealthfront's savings account.  Their rate is 2%.  The only issues I had in the past was they moved their rate so it was less competitive and I had to move my money back to another account.

[Archipelago]

Not sure about SoFi.  I currently use Wealthfront's savings account.  Their rate is 2%.  The only issues I had in the past was they moved their rate so it was less competitive and I had to move my money back to another account.

Thanks for adding your experience!

[Archipelago]

Bumping for any other responses, any one have luck with Sofi checking? Currently between this and using a local CU.

[index]

Bumping for any other responses, any one have luck with Sofi checking? Currently between this and using a local CU.

I switched to SOFI checking a few years ago for the better interest rate and the all in one checking/savings account. I've since abandoned SOFI because they cut their interest rate quickly when rates fell in 2018, transfers are slow between SOFI and other banks/investment accounts, they nerfed - then canceled their ATM reimbursement, and their ATM card charges a 1.1% foreign transaction fee when abroad.

I moved everything to Fidelity in 2018 and love it. Free unlimited ATM fee reimbursement world wide, instant transfer between Fidelity account (IRAs, brokerage, and HSA), free money wires (we bought a house in cash and I just called Fidelity at the closing and had the money wired, I also did this for a car purchase). The thing I like most about the account is overdrafts are covered by portfolio margin from our brokerage account. If you have a sizeable brokerage account, you don't have to sweat making sure every last dollar is sitting in your checking account when bills come due. If you overdraw by 2k, you can just replace the money later that week, or next year if you really wanted to.

[PathtoFIRE]

I've been using them for the past few months for my side gig income. My monthly payments come as an ACH yet I only have 1% interest rather than 2%, which doesn't make sense; I don't keep money in there long anyway so I haven't been bothered to figure out the problem. I also noticed that they are slow to deposit and transfer compared to BoA. The app and company feels spammy, always trying to sell you on some new service etc. I had originally planned to hold money in there medium-term and make quarterly tax and 401k payments, but with the market downturns, I've been flipping the 401k money in as soon as the payment hits, and on the tax issue, I had more than enough room to just increase withholding at my W2 and the side gig hasn't rocketed yet, so no $ stays in there long, and I'm just not sure what the benefit is to staying with SoFI.

[reeshau]

Note that SOFI checking is only 6 months old, at this point.  This is because SOFI acquired a bank earlier this year.  Any experience before this is with SOFI Money, which was through another bank.

I signed up first for the SOFI credit card, then for SOFI Checking and Savings, in April.  I got the credit card because my two both added foreign transaction fees, even as I was planning a trip to Europe this summer.  The card also pays 2% cash back, when deposited into their bank.

As a new thing, I did see teething problems.  Particularly with time for deposits to clear.  It's pretty good now, with next day or even same day clearance.  I don't know if that is better integration, or that I now have some history with them, re: where my deposits come from.

Overall, it's been OK, and getting better.  My Ally money market has been slightly faster in increasing rates following Fed moves, but SOFI has kept up.  (I do not have direct deposit, so am not getting that bonus)

They are also app-first.  I still fins things that I can only do in the app, vs. On their website.  But, they are working to match capabilities.  This is a rational choice of priorities given their targeted customer.

[sonofsven]

I have Sofi checking and savings, solely for bonus churning purposes. I believe to get the 2% you need to direct deposit into the acct monthly or it reverts to 1%.
If you don't have a real DD I found success using Astra to fake it. Sofi is quick doing inter bank transfers but otherwise I find them a little "scammy".
I haven't used the account for anything but churning.

[Archipelago]

As a follow up, I went with a local credit union. SoFi has some attractive bonuses and interest rates, but at the end of the day we just wanted solid banking + app + customer service, without a bank using your data to constantly market its products.

Thanks for the responses.