Consumer complaint received 2020-06-02
Company: Social Finance, Inc.
State: NC
Product: Student loan
Sub-product: Private student loan
Issue: Getting a loan
Sub-issue: Problem with the interest rate

Complaint:
I submitted an application for a student loan refinance. Despite the fact that I have excellent credit and a steady income, repeated outreach to SoFi to confirm my application was complete, and multiple assurances from SoFi that my application was under review, SoFi allowed my application to expire without approving it and required me to reapply for a loan at which point the rate SoFi offered went up. This omission on SoFi 's part will cost me several XXXX dollars over the life of my loan. I have asked the company to adjust my rate given the error on their end and they have refused. 

The initial rate I received for my student loan refinance was 3.35 % after a .25 % auto-pay discount, and this rate was good until XX/XX/2020. In early XXXX, I received a communication from SoFi that they needed me to upload a more recent paystub, which I promptly did. 

Over the course of the month of XXXX, I reached out at least 3 times to SoFi via phone and by using the customer service chat feature on the SoFi website. Each time, I asked the SoFi representative whether more information was needed for my application and I asked them to provide a status update on my application. Each time, I was told that there was no additional information needed and my application was in a state of final review. I was told that applications typically turn around in a matter of days when income is straightforward ( my income is very straightforward ; I am employed full time as an XXXX  at a XXXX  XXXX company and do not receive any other income ). 

On XX/XX/XXXX, I received an email from SoFi stating that my application had been denied. It also stated that SoFi ran my credit and that the credit report showed my credit score as XXXX. Given that I have excellent credit and a steady income, I was shocked to learn my application had been denied. I reached out to SoFi on XX/XX/XXXX to request a statement of the specific reasons of the denial. In that conversation, I was told that my application was not denied, in fact the application had expired. 

I asked to speak with an account specialist, with whom I shared the facts of my case : I applied and was quoted a rate of 3.35 %, I finalized my application and submitted all the necessary information, and followed up at least 3 times with SoFi to confirm they had everything needed. I asked the account specialist to reopen my application. The account specialist told me that he could not reopen my application, and directed me to submit a new application, which I did. 

The new application came back with a rate of 3.49 % after the .25 % autopay discount. I requested contacted the account specialist again via email to request a rate adjustment since the rate I was quoted on XX/XX/XXXX was .14 % higher than the rate I was moving forward with earlier in XXXX ; he told me that they would not be able to adjust my rate. 

The amount of the loan I am seeking to refinance is a little over {$70000.00}, so this interest rate adjustment will cost me several XXXX dollars over the life of the loan. 

I would like the CFPB to investigate this issue. I believe it is unfair that the company let my application expire despite repeated outreach from me, and they required me to reapply at which point I got a higher rate which has a financial impact on me. 

Thank you.

Company response to consumer: Closed with explanation