Credit Card News
SoFi Announces Cashback Rewards Boost for Credit Card
SoFi has unveiled a new perk for credit card customers, giving them the chance to earn a boost in their rewards.
About the offer:
Starting this week, SoFi Credit Card customers can earn a 10% boost on their rewards. This means that cardholders can earn 2.2% Rewards on purchases. Similarly, cardholders will earn 3.3% Rewards on SoFi Travel bookings and 27.5% Rewards on SoFi Stadium purchases. However, the lattermost category is capped at $125 in cashback. Purchases beyond that will earn that regular 2.2% rate.
To unlock this bonus, customers must maintain a qualifying direct deposit in their SoFi Checking and Savings account. However, those who are currently enrolled in a 3% cash back promotion are not eligible for this promotion until they either reach the 3% rewards cap or their promo period expires.
Without the boost, SoFi Credit Card customers earn 2% Rewards on all purchases as well as 3% on SoFi Travel bookings. Earned points can then be redeemed for deposits to SoFi Checking and Savings accounts, cash into a SoFi Active Invest account, taken as a statement credit, or used as payments toward various SoFi loan products.
Meanwhile:
This announcement comes after Robinhood recently unveiled the Robinhood Gold Card. That upcoming product will offer 3% cashback across the board as well as 5% back on travel bookings made via a Robinhood travel portal. However, while the card technically has no annual fee, customers must be Robinhood Gold members in order to apply. Currently, that service comes at a cost of $5 per month or $50 per year (although some users report seeing higher subscription fees).
My thoughts:
Although SoFi doesn’t state that this bonus idea is in response to Robinhood’s incoming credit card, I feel like that’s pretty much a given in this case. I imagine that matching the 3% back that the Robinhood Gold Card will offer would be a tall ask for SoFi — especially without charging a membership fee — so I think this is a clever way to bring some added value without (literally?) breaking the bank. That said, SoFi hasn’t updated its main homepage with this perk and the FAQ lists the eligiblity timeframe as “4/1/24 – Ongoing.” To me, that suggests that this won’t be a permanent offering (and, sidenote, why announce it on April 1st? Weird move).
Considering that most of the value that SoFi presents requires direct deposit anyway, I have to imagine that most users will end up qualifying for this bonus. Thus, I think this is great news for them, even if the rewards themselves may not add up to too much when all is said and done. If nothing else, though, I applaud SoFi for their creativity on this one.
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