SoFi fdic
Pretty sure SoFi is FDIC insured but they do say “your money won’t be FDIC insured until it is transferred to their banking partners, two days after deposit”. What does this mean exactly? 180
The way this grift works is basically these banks will take your cash and sweep it into accounts of their partner banks. So let's say for example that Robinhood goes under, you will not get your money back because the bank where this cash is deposited has not gone under and hence FDIC insurance will not kick in. So basically you're out of your money and this is the same thing which WealthSimple, Robin Hood and SoFi have been using, so I would strongly suggest to keep your money in Marcus or in a Fidelity account.
Doesn’t it depends on type of account? Even SoFi checking or savings accounts are always FDIC insured? Are you talking about money in your investment account? OP wasn’t clear on the type of account
@google, you’re saying if SoFi goes bankrupt then I won’t get my money back? Isn’t that the whole point of FDIC? Is that if SoFi/RH goes under, I DO get my money back?
SoFi has a bank charter now, your money is FDIC insured it’s held by SoFi and it can take up to 2 days to transfer money from existing accounts into SoFi.
This my guess: These are FinTechs backed by actual banks. They are themselves not a bank with bankers. So when you deposit it takes a while to to be actually transferred to a bank. Until it’s transferred it’s possible for an interim time (2-3 business days) they spend a while not FDIC insured. But do your own research Also be aware that max coverage is 250K in a single bank so if sofi uses one of the banks where you already have huge deposits then your coverage may be less
SoFi is a bank