Some SoFi app users got a sneak peek of the SoFi Credit Card back in July, as previously reported by The Balance, but this no-annual-fee Mastercard became available to select users Wednesday and there’s now a waitlist for others who want to sign up. SoFi is billing the new card as a way to incentivize healthy financial habits like paying down debt and saving for the future. It offers a pretty standard 1% back on all purchases, but that gets doubled when rewards are used to pay a SoFi loan or deposited in a SoFi Money or SoFi Invest account. The chance to earn 2% back is about as good as it gets; The Fidelity Rewards Visa Signature Card and the Citi Double Cash Card are among the few cards with a similar rewards proposition. Many other cards offer a singular cash-back rate regardless of how you use the cash, but often that’s just 1.5% back. Depending on an applicant’s creditworthiness, the variable APR for purchases will be 12.99%-24.99%—in line with the average cash-back rewards card APR of about 19%—but there’s an additional interest rate proposition that’s more unusual. Cardholders who make on-time payments for 12 consecutive months will get a 1% reduction in their APR, and that reduced rate will hold steady as long as on-time payments continue. Users can set up their account so rewards are redeemed into their SoFi accounts automatically. Rewards are worth only 1% back when used for a statement credit, according to a SoFi spokesperson. The card is officially issued by the Bank of Missouri, since SoFi is a financial technology company, not a bank. The general public will be able to apply by early next year, SoFi said.
