SoFi vs Avant: Which Personal Lender Should You Choose?

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We recommend SoFi for borrowers with good to excellent credit scores above 700 and Avant for borrowers with average credit scores below 680. Borrowers with good to excellent credit scores will obtain the most competitive rates with SoFi, while borrowers with average credit will have an easier time qualifying for funding with Avant.

SoFi vs. Avant

Borrowers will be relieved to learn that neither lender charges any prepayment penalties or payment processing fees. Additionally, both lenders are fairly flexible when it comes to changing your payment due date, provided your account remains in good standing. However, their loan terms differ by a wide margin.

Borrowers who want the lowest possible APR and the highest possible loan amount will be better off with SoFi, as the lender's rates start at 5.49% while its loan limit is capped at $100,000, assuming you sign up for AutoPay. Additionally, SoFi does not charge any origination or processing fees. Avant's unsecured loans are comparatively more expensive and less flexible, starting at 9.95% and maxing out at $35,000.

Borrowers who want to borrow less than $5,000 or need funding quickly will be better off with Avant, as the lender's minimum loan amount is $1,000 and it can disburse funds as quickly as the next business day. This stands in contrast to SoFi's $5,000 minimum loan limit and three-day evaluation period.

SoFi (Read Review)Avant (Read Review)
Amounts$5,000 - $100,000$2,000 - $35,000
Rates6.99% - 14.99% with AutoPay (variable rates also available)9.95% - 35.99%
Terms3, 5 or 7 years2 to 5 years
Fees
  • No origination fee
  • Late payment fee: Lesser of 4% of monthly past due or $5
  • NSF/returned payment fee: Not provided
  • No check processing fees
  • No prepayment penalty
  • Origination fee: 0.95% - 4.75%
  • Late payment fee: $25
  • NSF/returned payment fee: $15
  • No check processing fee
  • No prepayment penalty
Funding Time3+ days1+ days
Apply NowApply at SoFiApply at Avant

How to Qualify

Borrowers applying for a personal loan with SoFi will need a credit score of 660 or above to be considered, but the majority of approved borrowers have scores of at least 700. This makes qualifying difficult for fair- to average-credit borrowers. SoFi also takes your planned use of funds and ability to repay into account when approving your loan offer.

Based on our review, we believe Avant is a better option for fair- to average-credit borrowers with scores ranging between 580 and 680. Compared with SoFi, Avant has the more lenient credit requirements; the majority of Avant customers have credit scores between 600 and 700.

SoFiAvant
Eligibility Criteria
  • U.S. citizen or permanent resident
  • Must be age of majority in state of residence
  • Employed, have sufficient income or have an offer of employment starting within 90 days
  • U.S. resident with Social Security Number
  • At least 18 years old

How to Choose Between the Two

Both lenders offer unsecured personal loans but differ drastically in terms, repayment cycles and added perks. Your preferred lender will depend on your personal needs and credit quality. We illustrate the unique strengths of each lender below.

SoFiAvant
Better For
  • Borrowers with good to excellent credit scores above 700.
  • Borrowers who desire more flexibility in loan terms.
  • Borrowers who want a variable rate.
  • Borrowers with fair to average credit scores of 580 or above.
  • Borrowers who need funding quickly.
  • Borrowers who want the flexibility to refinance their personal loans.

If you need to borrow large amounts that you want to repay over longer periods, consider SoFi. Of the two lenders, SoFi offers the larger loan limit and longer repayment period. Qualified borrowers can borrow as much as $100,000 for as long as seven years. Avant caps its maximum loan amount and repayment period at $35,000 and five years, respectively.

If you have a credit score under 680, consider Avant. According to the lender's website, most Avant customers have a credit score that ranges from 600 to 700. This stands in contrast to SoFi, which primarily caters to high-credit-quality customers with credit scores of 700 or above. Consequently, borrowers will have an easier time qualifying with Avant.

If you want the flexibility to choose between a fixed rate and a variable rate loan, consider SoFi. SoFi allows borrowers to choose between a fixed rate or a variable rate, an option that isn't offered by Avant and the majority of other personal lenders. Although this won't always be the best financial option, it gives borrowers some additional flexibility.

If you want the ability to refinance your personal loan, consider Avant. Avant gives qualified customers the ability to refinance their existing loans at a lower APR or to take out additional funds, which isn't typically allowed by other personal lenders. By comparison, SoFi does not offer borrowers the ability to refinance their existing personal loans.

If you want to bundle your loans in one place, or plan on taking out other types of loans, consider SoFi. Sofi offers a variety of financial products for qualified members, including mortgages, student loans, investment advisory services and even life insurance. Additionally, borrowers who take out more than one SoFi loan product can receive a 0.125% Member Rate Discount on the additional loan.

If you need funding quickly, consider Avant. One of SoFi's shortcomings is that it typically takes three business days to disburse funds after your application is submitted. By contrast, Avant may be able to fund your loan as soon as the day after you submit your application.

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