SoFi® vs. Discover Checking — Which Is Better?

SoFi® vs. Discover Checking: Quick look

When you should pick SoFi checking

SoFi has been in operation since 2011. Initially, SoFi was solely a student loan refinancing company. However, since its launch, it has expanded its operations to include private student loans, personal loans, and deposit accounts. Through SoFi, you can open a checking and savings account and manage your money in one place.

If you're shopping for a new account, SoFi could make sense in the following scenarios.

You want an interest-bearing account

Typically, checking accounts don't pay interest, but SoFi's checking account is an exception. The SoFi checking account pays 0.50% (as of 01/24/25) APY — more than five times the national average for interest-bearing checking accounts.

An interest-bearing checking account allows you to earn interest on the balance you keep in there to pay your bills, such as your rent or student loans. Over time, the APY could help your money grow.

You want a one-stop location for managing your money

SoFi has a robust platform for its members. SoFi offers a free platform that allows you to view all of your accounts — including non-SoFi accounts — in one place.⁷ <p>SoFi Relay offers users the ability to connect both SoFi accounts and external accounts using Plaid, Inc.’s service and for SoFi to present to you data we have received from the credit bureau. The credit score and associated data provided to you is a VantageScore® based on TransUnion® (the “Processing Agent”) data.</p> You can manage your mortgage, track your spending and monitor your credit through SoFi's platform, simplifying your money management tasks.

You want a checking and savings accounts

With SoFi, you open a checking account and savings account together; they cannot be opened separately. Opening the packaged accounts could be a good idea if you want to have your checking and savings in the same place; SoFi pays a much higher-than-average APY on both its checking and savings accounts, so it could be a smart way to earn more interest.

Visit Sofi | Read our full SoFi checking account review

When you should pick Discover checking

Discover's popular for its credit cards, but Discover is no slouch when it comes to deposit accounts. It offers a range of products, including high-yield savings accounts, checking accounts, and certificates of deposit (CDs).

Discover could be a good option for checking accounts in the following situations.

You want the ability to earn rewards

Discover's checking account is unusual in that it allows customers to earn cash back rewards with their debit cards. You could earn 1.00% cash back on up to $3,000 of purchases per month that you make with your debit card.

To put that in perspective, consider this example. According to the U.S. Bureau of Labor Statistics, households spend an average of $700 per month on clothes, gasoline, and food consumed outside of the home. If you used your debit card to pay for those purchases, you'd earn $84 per year in cash back — an amount you'd miss out on if you opted for a non-cashback debit card.

You prioritize customer support

Discover's customer support team is available seven days a week, 24 hours a day, so you can get help when you need it. Whether you lost your debit card, noticed a mistake on your account, or have a question about a banking feature, Discover can help you any time, day or night.

By contrast, SoFi's customer support is more limited. For checking and savings accounts, it's only available Monday through Thursday from 5 a.m. until 7 p.m. PST, and Friday through Sunday from 5 a.m. until 5 p.m. PST.

You frequently deposit cash

Although SoFi and Discover lack brick-and-mortar locations, they do allow you to make cash deposits. However, Discover is more customer-friendly; you can make cash deposits through any cashier at your local Walmart, and there's no fee to make a cash deposit.

That's not the case with SoFi. SoFi allows customers to deposit cash through the Green Dot network of participating retailers. You can usually make a deposit at local CVS, Walgreens, or 7-11 stores. However, the retail partners typically charge a $4.95 fee for every cash deposit, so it could be more expensive.

Visit Discover | Read our full Discover checking account review

Which is the better checking account for you?

Which checking account — Discover or SoFi — is better for you depends on several variables. When choosing, ask yourself the following questions.

• Do you handle cash often? If you frequently handle cash — for example, if you have a cash-based job as a server — Discover may be more cost-effective than SoFi. You can deposit cash through a Walmart cashier with no added fee.
• How do you prefer to manage your money? SoFi makes it easy to manage all of your financial tasks and accounts in one spot. If you like the idea of a one-stop platform, SoFi could be a smart choice.
• Do you intend to apply for loans? If you have a SoFi Checking and Savings account, you may be eligible for interest rate discounts on SoFi personal loans, mortgages, and student loans.

FAQs

Bottom line

Both SoFi and Discover offer some of the best checking accounts available since they have no account minimums or monthly fees. As digital checking account options go, they also have robust mobile apps and online platforms to make it easier to pay your bills and track your spending.

In some cases, it may make sense to have more than one account. For instance, you may use Discover for your day-to-day expenses so that you could take advantage of the 1% cash back on up to $3,000 of purchases, keeping a SoFi checking account as a backup option.

Once you've decided which account you want, you can open a new checking account online in minutes.

Rare Checking Account That Offers Cash Back

4.5

FinanceBuzz writers and editors score products and companies on a number of objective features as well as our expert editorial assessment. Our partners do not influence our ratings.

Discover® Cashback Debit Benefits

• Earn 1% cash back on up to $3,000 in debit card purchases each month⁸ <p>See website for details.</p>
• No minimum deposit, no minimum balance, and no account fees
• Easily switch direct deposit via the Discover mobile app or online for Early Pay (get your paycheck up to 2 days early!)
• 60K+ fee-free ATMs and make cash deposits at Walmart stores nationwide

4.5

FinanceBuzz writers and editors score products and companies on a number of objective features as well as our expert editorial assessment. Our partners do not influence our ratings.

Open Account

Reach Your Savings Goals Faster

5.0

FinanceBuzz writers and editors score products and companies on a number of objective features as well as our expert editorial assessment. Our partners do not influence our ratings.

SoFi Checking and Savings Benefits

• Earn up to 3.80% APY² <p>New and existing Checking and Savings members who have not previously enrolled in Direct Deposit with SoFi are eligible to earn a cash bonus of either $50 (with at least $1,000 total Direct Deposits received during the Direct Deposit Bonus Period) <b>OR</b> $300 (with at least $5,000 total Direct Deposits received during the Direct Deposit Bonus Period). Cash bonus will be based on the total amount of Direct Deposit. Direct Deposit Promotion begins on 12/7/2023 and will be available through 1/31/2026. See full bonus and annual percentage yield (APY) terms at <a href="http://www.sofi.com/banking#1">sofi.com/banking#1</a>. SoFi Checking and Savings is offered through SoFi Bank, N.A., Member FDIC.</p> <p>SoFi members who enroll in SoFi Plus with Direct Deposit or by paying the SoFi Plus Subscription Fee every 30 days or with $5,000 or more in Qualifying Deposits during the 30-Day Evaluation Period can earn 3.80% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. There is no minimum Direct Deposit amount required to qualify for the stated interest rate. Members without either SoFi Plus or Qualifying Deposits, during the 30-Day Evaluation Period will earn 1.00% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Only SoFi Plus members are eligible for other SoFi Plus benefits. Interest rates are variable and subject to change at any time. These rates are current as of Jan. 24, 2025. There is no minimum balance requirement. Additional information can be found at <a href="http://www.sofi.com/legal/banking-rate-sheet">http://www.sofi.com/legal/banking-rate-sheet</a>. See the SoFi Plus Terms and Conditions at <a href="https://www.sofi.com/terms-of-use/#plus">https://www.sofi.com/terms-of-use/#plus</a>.</p> and collect up to a $300 cash bonus with direct deposit or $5,000 or more in qualifying deposits⁴ <p>SoFi members who enroll in SoFi Plus with Direct Deposit or by paying the SoFi Plus Subscription Fee every 30 days or with $5,000 or more in Qualifying Deposits during the 30-Day Evaluation Period can earn 3.80% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. There is no minimum Direct Deposit amount required to qualify for the stated interest rate. Members without either SoFi Plus or Qualifying Deposits, during the 30-Day Evaluation Period will earn 1.00% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Only SoFi Plus members are eligible for other SoFi Plus benefits. Interest rates are variable and subject to change at any time. These rates are current as of Jan. 24, 2025. There is no minimum balance requirement. Additional information can be found at <a href="http://www.sofi.com/legal/banking-rate-sheet">http://www.sofi.com/legal/banking-rate-sheet</a>. See the SoFi Plus Terms and Conditions at <a href="https://www.sofi.com/terms-of-use/#plus">https://www.sofi.com/terms-of-use/#plus</a>.</p>
• No account, overdraft, or monthly fees¹ <p>We do not charge any account, service or maintenance fees for SoFi Checking and Savings. We do charge a transaction fee to process each outgoing wire transfer. SoFi does not charge a fee for incoming wire transfers, however the sending bank may charge a fee. Our fee policy is subject to change at any time. See the SoFi Checking & Savings Fee Sheet for details at <a href="http://sofi.com/legal/banking-fees/">sofi.com/legal/banking-fees/</a></p>
• Get your paycheck up to two days early⁹ <p>Early access to direct deposit funds is based on the timing in which we receive notice of impending payment from the Federal Reserve, which is typically up to two days before the scheduled payment date, but may vary.</p>
• Access additional FDIC insurance up to $3 million³ <p><b style="font-family: Rubik, -apple-system, BlinkMacSystemFont, &quot;Segoe UI&quot;, Roboto, &quot;Helvetica Neue&quot;, Arial, sans-serif;">SoFi Bank is a member FDIC and does not provide more than $250,000 of FDIC insurance per depositor per legal category of account ownership, as described in the FDIC’s regulations.&nbsp;Any additional FDIC insurance is provided by the SoFi Insured Deposit Program. Deposits may be insured up to $3M through participation in the program. See full terms at&nbsp;<a href="http://sofi.com/banking/fdic/sidpterms">SoFi.com/banking/fdic/sidpterms</a>. See list of participating banks at <a href="http://sofi.com/banking/fdic/participatingbanks">SoFi.com/banking/fdic/participatingbanks</a>.</b></p>

5.0

FinanceBuzz writers and editors score products and companies on a number of objective features as well as our expert editorial assessment. Our partners do not influence our ratings.

Open an account with SoFi® here