No. SoFi's own help center lists "business expenses" among the things a SoFi Personal Loan "cannot be used for," and its rate disclosure says the loans can be used for "any lawful personal, family, or household purposes." SoFi now offers a separate product for that: SoFi Small Business Loans, launched June 30, 2026, for $2,500 to $250,000 and originated by SoFi Bank. That loan has its own rules. It requires business revenue, a business checking account and a personal guarantee.
MCAFax reviewed SoFi's product pages, help-center articles and eligibility criteria, its SEC filings and earnings materials, the second-quarter 2026 earnings call, and news coverage. We wanted to answer two questions small-business owners keep asking: can a SoFi personal loan pay for business costs, and how does SoFi compare with a merchant cash advance (MCA)?
Can I use a SoFi personal loan for my business?
Not under SoFi's published terms. Here is what SoFi says in its own materials:
- Help center. The article "The Basics of a SoFi Personal Loan" says SoFi Personal Loans "cannot be used for: Business expenses," post-secondary education costs, bridge loans, or investments in real estate or securities.
- Rate disclosure. The personal loan page says the loans "can be used for any lawful personal, family, or household purposes and may not be used for post-secondary education expenses."
- SoFi Learn. A December 2025 SoFi article comparing personal and business loans carries the note: "SoFi currently does not allow personal loans to be used for business purposes."
SoFi's educational content also explains why this matters. Its article on personal loans for business says "it's far better to be honest about how you plan to use a loan than risk breaching the loan agreement," and that if a loan is used in a prohibited way, "your lender could force you to immediately repay the full amount of the loan with interest." MCAFax did not review a signed SoFi loan agreement, so we cannot quote the contract clause itself. The restriction above comes from SoFi's public pages.
Many personal lenders restrict business use. SoFi's own learning content says "some lenders do not allow a personal loan to be used for business purposes." The SoFi Small Business Loan has the mirror-image rule: SoFi says it "may not be used for personal, family or household purposes."
SoFi personal loan terms (October 2026)
| SoFi Personal Loan | |
|---|---|
| Lender | SoFi Bank, N.A., Member FDIC. If SoFi cannot offer a loan, it may match you with a participating bank, and that rate "may be outside the range" |
| Amount | $5,000 To $100,000 (state minimums may be higher). SoFi says the average loan funded in 2024 was around $33,000 |
| APR | 6.99% To 35.49% fixed, shown with a 0.25% autopay discount and a 0.25% member discount. SoFi dates this range Oct. 9, 2026 |
| Origination fee | Optional. SoFi says some applicants see options with no origination fee, and others can choose a one-time fee "in exchange for a lower interest rate." Its disclosure puts that fee at 0% to 7%, deducted from the loan proceeds |
| Other fees | No prepayment penalty and no late fees, per SoFi |
| Terms | 2 To 7 years on the main product page. A SoFi help article lists 2, 3, 4, 5, 6, 7 or 10 years |
| Speed | "Same day funding" for most borrowers if approved and signed by 5:30 p.m. ET on a business day. Not guaranteed, and it does not apply to loans made through a partner bank |
| Credit check | Soft pull to check rates. A hard pull if you go forward with an application |
| Credit and income | SoFi does not publish a minimum score. You must be employed, have sufficient income from other sources, or have a job offer starting within 90 days. SoFi weighs credit score, income and "monthly income vs. expenses." Its 10-Q reports a weighted average origination FICO of 742 for personal loans in the second quarter of 2026 |
SoFi's rate table for a $30,000 loan with no origination fee shows total payments of $32,232.99 to $42,319.74 on a 2-year term (6.99% to 35.49% APR), and $45,775.27 to $81,581.10 on a 7-year term (12.95% to 35.49% APR). Where you land in those ranges depends on your credit and income.
SoFi's business products: what exists and what does not
SoFi Small Business Loans (launched June 30, 2026). This is SoFi's first business loan made by its own bank. From SoFi's press release, product pages and help center:
- $2,500 To $250,000, originated by SoFi Bank, N.A. SoFi's product page says repayment terms of "up to two years." CNBC Select reported terms of 12 to 24 months.
- No application fee, no origination fee and no prepayment penalty, per SoFi.
- Funding "as soon as 24 hours" after approval if the agreement is signed by 2:45 p.m. ET. A SoFi help article says funds typically arrive within two business days after a draw.
- Requirements in the help center: annual business revenue of $50,000 or more, at least 3 months of business checking history, a business checking account, a U.S. personal address, and an SSN, ITIN or EIN. SoFi's eligibility page lists industries that may not be eligible, including marijuana-related businesses, nonprofits, money services businesses, firearms sales, online gambling and adult entertainment.
- Structure: SoFi's help center describes "a simple working-capital loan" with a "fixed fee per draw," "automatic weekly or bi-weekly" ACH debits, and a known payoff date. It says "early payments in the term include more of the fixed fee." SoFi's product page describes the APR as "the cost of credit as a yearly rate."
- Security: SoFi says the loans "are secured by the borrower's business assets and backed by a personal guarantee."
- SoFi does not publish an APR range for this product. MCAFax could not find one in SoFi's public materials or news coverage as of Oct. 8, 2026.
Small business marketplace and Lantern. SoFi CEO Anthony Noto said on the July 29, 2026 earnings call that "since 2024, we've been referring members to small business lenders through our online marketplace." SoFi's legal disclosures say that marketplace is run by SoFi Lending Corp., not SoFi Bank, and that SoFi "receives compensation" when you get a loan through it. SoFi's 10-Q describes Lantern as a marketplace for "small businesses and individuals who do not qualify for SoFi products." SoFi's launch release says applicants who do not qualify for a SoFi Small Business Loan can look at a provider in its loan marketplace.
SoFi Bank charter. SoFi became a bank holding company when it bought Golden Pacific Bancorp on Feb. 2, 2022, after Federal Reserve approval and conditional OCC approval on Jan. 18, 2022. SoFi Bank is a national bank supervised by the OCC.
Galileo and Technisys. These are technology businesses, not small-business lenders. SoFi bought Galileo, a payments and card-processing platform, in May 2020 and Technisys, a core-banking platform, in March 2022. Its Technology Platform segment reported 134.8 million accounts at June 30, 2026, down 16% from a year earlier. SoFi said a large client fully moved off the platform before Dec. 31, 2025. In 2026 SoFi launched the unified brand SoFi Tech Solutions and bought loan-servicing platform Peach Finance.
Big Business Banking (April 2, 2026). This product offers deposit accounts and 24/7 payments, including SoFiUSD stablecoin settlement, to enterprise and crypto-industry clients. It is not a small-business lending product.
How big is SoFi's lending, and how is its credit?
From SoFi's second-quarter 2026 earnings release and 10-Q (quarter ended June 30, 2026):
- Personal loan volume. A record $10.7 billion, up 54% from a year earlier. That figure includes $3.1 billion originated for third parties through SoFi's Loan Platform Business. The CFO said $7.6 billion was originated for SoFi's own balance sheet. Earlier quarters were $8.3 billion (first quarter of 2026) and $7.5 billion (fourth quarter of 2025).
- Loan Platform Business. Contributed $143.3 million of adjusted net revenue. In this business SoFi originates loans for outside investors and refers declined applicants for a fee. SoFi says it added small business loans to this channel in the second quarter. On the call, SoFi described a three-year, $3 billion agreement with Basepoint Capital for small business loans, plus a second, unnamed partner "for several hundred million dollars." CFO Chris Lapointe said SoFi is "just starting to originate in meaningful scale on the SMB side."
- Credit quality. The personal loan annualized charge-off rate was 2.62%, down from 3.03% in the first quarter. Excluding sales of late-stage delinquent loans, SoFi estimated an all-in rate of about 3.7%. On the call, the CFO said the on-balance-sheet 90-day delinquency rate was 40 basis points. SoFi's fair-value model assumed a weighted average annual default rate of 4.77% for personal loans, up from 4.57% a quarter earlier.
- Company scale. 15.8 million members and $157 million of net income for the quarter.
On pricing for small business loans, Noto said on the call that "most SMB lenders are charging exorbitant rates of over 30%. We think we can operate meaningfully below that," and "we could be 10 points below where the pricing is on SMB." Those are management statements about intent, not published rates. SoFi's third-quarter 2026 results had not been released as of Oct. 8, 2026.
Regulatory background
- SoFi Bank is supervised by the OCC, with the FDIC as deposit insurer. SoFi's 10-K says SoFi Bank and its affiliates have been subject to CFPB supervision since Jan. 1, 2024.
- In 2019 SoFi entered into a consent order with the FTC. SoFi's 10-K says the order "resolved allegations that we misrepresented how much money student loan borrowers have saved or would save." Under it, SoFi may not make savings claims unless they are backed by reliable evidence. The order concerned student loan refinancing advertising, not personal or business loans.
- SoFi's Q2 2026 10-Q describes a proposed class action over brokerage cash-sweep interest. It is unrelated to lending, and SoFi says it intends to defend itself.
- MCAFax found no public 2026 regulatory enforcement action involving SoFi personal loans or small business loans as of Oct. 8, 2026. That is based on a review of SoFi's filings and news searches, not a complete records check.
Personal credit risk of funding a business with a personal loan
Even where a lender allows it, which SoFi says it does not, a personal loan used for a business puts the risk on the owner personally:
- You are the borrower. A personal loan is your own debt. There is no business entity between you and the lender. SoFi's own article on the topic says such a loan "puts your individual creditworthiness on the line."
- Your credit report carries it. Missed payments hurt your personal credit history. Even on-time payments do not build business credit, as SoFi's learning content notes.
- It counts in your personal finances. SoFi underwrites personal loans on "monthly income vs. expenses," so a loan taken for the business affects what you can borrow personally later.
- Business loans are not risk-free either. SoFi Small Business Loans carry a personal guarantee and a claim on business assets. QuickBooks Capital loans are personally guaranteed. An MCA contract may also include a personal guarantee. Read yours.
SoFi personal loan vs. merchant cash advance
An MCA is not a loan. It is a purchase of a share of a business's future sales, usually repaid through daily or weekly debits and priced with a factor rate. California's commercial financing disclosure rules require providers of this "sales-based financing" to show an estimated APR and to state that "APR is not an interest rate. The cost of this financing is based upon fees." SoFi's help center tells small-business borrowers to review state disclosures such as California's and New York's.
| SoFi Personal Loan | SoFi Small Business Loan | QuickBooks Capital Term Loan | Typical merchant cash advance | |
|---|---|---|---|---|
| Allowed for business use | No, per SoFi | Yes; business use only | Yes | Yes |
| Structure | Unsecured consumer installment loan | Loan secured by business assets, with personal guarantee | Loan issued by WebBank, personally guaranteed | Purchase of future receivables |
| Amount | $5,000 To $100,000 | $2,500 To $250,000 | $1,500 To $250,000 | Varies by provider |
| Price stated as | APR, 6.99% to 35.49% fixed | APR; fixed fee per draw; range not published | APR, 9.99% to 36% | Factor rate. California requires an estimated APR |
| Fees | Optional 0% to 7% origination fee for a lower rate; no late or prepayment fees | No application, origination or prepayment fees, per SoFi | No origination, prepayment or late fees, per Intuit | Varies by contract |
| Term | 2 To 7 years (help center also lists 10) | Up to 2 years | 6 To 24 months | Until the purchased amount is collected |
| Repayment | Monthly | Weekly or bi-weekly ACH debits | Fixed payments | Daily or weekly debits or a split of sales |
| Speed | Same day if signed by 5:30 p.m. ET (not guaranteed) | As soon as 24 hours after approval | Typically 1 to 2 business days | Varies by provider |
| Key requirements | Income or employment; credit (742 average origination FICO in Q2 2026) | $50,000+ Revenue, 3 months business checking, business account, allowed industry | QuickBooks Online user, $50,000+ revenue, credit floor, no bankruptcy in 2 years | SoFi's own guide calls MCAs an option "for businesses with credit profiles needing improvement" |
QuickBooks Capital figures come from Intuit's pages as summarized in MCAFax's earlier report: https://mcafax.com/notebook/intuit-quickbooks-capital-business-lending-mca
A hypothetical example of the arithmetic. A $30,000 advance at a 1.35 factor rate means $40,500 is paid back. That is $10,500 in cost. Its APR depends on how fast the advance is repaid, and a faster payback means a higher APR. For scale, SoFi's own rate table shows a $30,000, 2-year personal loan with no origination fee costing $32,232.99 to $42,319.74 in total payments, spread over 24 monthly payments. The two are not interchangeable, though, because SoFi does not allow its personal loan to be used for the business. Ask any MCA provider for the estimated APR in writing, and compare it with a business loan offer for the same amount.
Who a SoFi personal loan is not for
- Anyone who needs the money for the business. SoFi lists business expenses as a prohibited use. That includes paying off or refinancing a merchant cash advance.
- Applicants without steady personal income. SoFi requires employment, other sufficient income, or a job offer starting within 90 days.
- Borrowers with weaker credit. SoFi does not publish a minimum score, but its funded personal loans averaged a 742 origination FICO last quarter, and its lowest rates are "reserved for the most creditworthy borrowers."
- Anyone needing more than $100,000.
- Owners trying to build business credit, because a personal loan reports to personal credit.
The SoFi Small Business Loan, in turn, is not for businesses under $50,000 in annual revenue, owners without at least 3 months of business checking history, the excluded industries listed above, or owners unwilling to sign a personal guarantee.
What owners should know
- Read the permitted-use language before applying for any personal loan, and state the purpose truthfully on the application.
- If the money is for the business, compare business products: SoFi Small Business Loans, QuickBooks Capital if you use QuickBooks, SBA options and other lenders.
- Compare on APR and total payback, not on the factor rate or the size of the daily or weekly payment.
- SoFi's business loan has no published APR range. Get your offer's APR, total repayment and payment schedule in writing before you draw.
- If SoFi declines you, its marketplace may show other providers. SoFi says it is paid when you take a loan through that marketplace.
- You can use https://mcafax.com/apply to compare business loans, lines of credit, SBA and other options at no cost.
Sources
- SoFi Technologies, second-quarter 2026 earnings release, Form 8-K exhibit (July 29, 2026): https://www.sec.gov/Archives/edgar/data/1818874/000181887426000050/a2026q2earningsrelease.htm
- SoFi Technologies, Form 10-Q for the quarter ended June 30, 2026 (Aug. 6, 2026): https://www.sec.gov/Archives/edgar/data/1818874/000181887426000054/sofi-20260630.htm
- SoFi Technologies, Form 10-K for 2025: https://www.sec.gov/Archives/edgar/data/1818874/000181887426000013/sofi-20251231.htm
- SoFi Technologies, first-quarter 2026 earnings release, Form 8-K exhibit (April 29, 2026): https://www.sec.gov/Archives/edgar/data/1818874/000181887426000020/a2026q1earningsrelease.htm
- SoFi Technologies, fourth-quarter 2025 earnings release, Form 8-K exhibit (Jan. 30, 2026): https://www.sec.gov/Archives/edgar/data/1818874/000181887426000008/a2025q4earningsrelease.htm
- SoFi Technologies, Q2 2026 earnings call transcript (July 29, 2026), via The Motley Fool: https://www.fool.com/earnings/call-transcripts/2026/08/07/sofi-sofi-q2-2026-earnings-call-transcript/
- SoFi press release, "SoFi Introduces Small Business Loans to Help Members Pursue Their Business Ambitions" (June 30, 2026) (SoFi investor relations, accessed Oct. 2026)
- SoFi press release, "SoFi Launches Big Business Banking to Power Fiat and Crypto Banking on a Single Regulated Platform" (April 2, 2026), Business Wire: https://www.businesswire.com/news/home/20260402604776/en/SoFi-Launches-Big-Business-Banking-to-Power-Fiat-and-Crypto-Banking-on-a-Single-Regulated-Platform
- SoFi, Personal Loans page and rate disclosures (sofi.com, accessed Oct. 2026)
- SoFi, Personal Loan Rates and Terms page (sofi.com, accessed Oct. 2026)
- SoFi Help Center, "The Basics of a SoFi Personal Loan!" (sofi.com, accessed Oct. 2026)
- SoFi, Eligibility Criteria page (personal loans, December 2025; small business loans, June 2026) (sofi.com, accessed Oct. 2026)
- SoFi, Small Business Loans page (sofi.com, accessed Oct. 2026)
- SoFi Help Center, "Everything You Need to Know About Small Business Loans!" (sofi.com, accessed Oct. 2026)
- SoFi, Legal disclosures page (Small Business Loans Marketplace; SoFi Small Business Loans) (sofi.com, accessed Oct. 2026)
- SoFi Learn, "Comparing Personal Loans vs Business Loans" (Dec. 7, 2025) (sofi.com, accessed Oct. 2026)
- SoFi Learn, "Can Personal Loans Be Used for Businesses?" (sofi.com, accessed Oct. 2026)
- Banking Dive, "SoFi enters small-business loan market" (July 1, 2026): https://www.bankingdive.com/news/sofi-enters-small-business-loan-market/824234/
- PYMNTS, "SoFi Opens Lending Program for Its Small Business Owner Members" (June 30, 2026): https://www.pymnts.com/smbs/2026/sofi-opens-lending-program-small-business-owner-members/
- CNBC Select, "SoFi Business Loans: How To Apply and How It Compares" (July 14, 2026): https://www.cnbc.com/select/sofi-small-business-loan-launch/
- American Banker, "SoFi to offer combined fiat and crypto enterprise banking" (April 2026): https://www.americanbanker.com/news/sofi-to-offer-combined-fiat-and-crypto-enterprise-banking
- MCAFax, "Is Intuit getting into business lending?" (QuickBooks Capital terms and sources): https://mcafax.com/notebook/intuit-quickbooks-capital-business-lending-mca
- California Code of Regulations, Title 10, Section 914, sales-based financing disclosures: https://www.law.cornell.edu/regulations/california/10-CCR-914
- California Financial Code, Division 9.5, Commercial Financing Disclosures: https://leginfo.legislature.ca.gov/faces/codes_displayText.xhtml?article=&chapter=&division=9.5.&lawCode=FIN&part=&title=
MCAFax is not affiliated with SoFi or Intuit. Nothing in this article is investment advice about any company's stock.
Not financial advice. MCAFax may earn referral fees when funding closes through /apply.