How SoLo Funds Works
Everything you need to know about borrowing and lending on America's largest peer-to-peer cash advance platform — explained simply.
Getting Funded in 5 Steps
SoLo Funds flips the script on traditional lending. Instead of applying to a bank, you post a request and community members fund it directly.
Download & Connect Your Bank
Install the SoLo Funds app (iOS or Android), create your account, and securely link your bank account via Plaid. This is how SoLo calculates your initial SoLo Score.
Post Your Loan Request
Choose your loan amount (based on your current SoLo Score), set a repayment date up to 35 days out, add a voluntary tip for your lender (0–15%), and a platform donation (0–9%). Explain briefly what the funds are for — a clear reason improves funding odds.
Lenders Review Your Request
Community lenders browse active requests and choose which ones to fund. Your SoLo Score, tip level, repayment date, and loan purpose all influence how quickly you get funded. Requests expire after 3 days if unfunded.
Receive Your Cash
Once a lender accepts your request, you'll be notified immediately. Standard ACH deposit: 1–3 business days (free). Fast funding: ~20 minutes for a 1.99% fee. Funds go directly to your linked bank account.
Repay & Build Your Score
On your due date, SoLo automatically debits your account for the loan amount plus your agreed tip. On-time repayments are reported to credit bureaus and raise your SoLo Score, unlocking higher borrowing limits over time.
Earn Returns by Helping Others
SoLo Funds isn't just for borrowers. Any member can become a lender and earn returns from the tips set by borrowers.
Fund Your SoLo Wallet
Add funds to your SoLo Wallet via ACH or debit card. Your wallet balance is what you use to fund borrower requests.
Browse Loan Requests
Review active borrower requests — you can see the loan amount, tip offered, repayment date, SoLo Score, and brief loan purpose. Choose requests that match your risk appetite.
Fund a Request
Tap to fund any request. SoLo debits your wallet and sends the money to the borrower. The process is instant on your end.
Earn Your Tip Return
When the borrower repays on their due date, you receive your principal plus the borrower's tip (their return to you). Returns are not guaranteed — defaulted loans are sent to collections, and lenders may lose up to the full loan amount.
Key Things That Set SoLo Funds Apart
B Corp Certified
SoLo Funds is certified as a public benefit corporation — the only Black-owned financial services B Corp in the US and Canada. This means they're legally held to social and environmental standards beyond profit.
Credit Bureau Reporting
Unlike most cash advance apps, SoLo Funds reports on-time repayments to credit bureaus. Borrow responsibly and you can actually improve your credit score while meeting short-term cash needs.
SoLo IQ (AI Coaching)
Launched in September 2025, SoLo IQ is an AI-powered financial coaching tool built into the app. It helps you budget, plan, and understand your financial health — beyond just lending.
FDIC-Backed Banking
Banking services are provided by Bangor Savings Bank, an FDIC-member institution. Your deposited funds in the SoLo Wallet are protected up to FDIC insurance limits.
No Mandatory Interest
SoLo Funds' core model has zero mandatory interest. You choose your own tip — from 0% to 15% — making it radically different from payday lenders that lock in 300–400% APR.
Nearly 2 Million Users
With nearly 2 million users and over $1 billion in transactions processed, SoLo Funds is the largest P2P cash advance community in the United States.
Why the Peer-to-Peer Model Works
Traditional lenders make money from your interest payments — the longer you're in debt, the more they profit. SoLo Funds inverts this incentive.
Lenders Earn Only If You Succeed
On SoLo Funds, lenders earn the tip only if you repay on time. If you default, they lose money. This aligns incentives — lenders actively want you to succeed, not extract compounding interest from your struggles.
No Employment Discrimination
Traditional apps like Dave and EarnIn require W-2 direct deposit. SoLo Funds doesn't care where your income comes from — gig work, self-employment, side hustles, benefits, tips. Any US resident with a bank account and ID can borrow.
Voluntary Tip Structure
Instead of mandatory interest rates that spiral into hundreds of percent APR, tips are voluntary. You set the amount you can afford, and if it's competitive, a lender funds you. If it's too low, your loan doesn't get funded — but you don't lose anything.
Community Reputation System
The SoLo Score creates a reputation that follows you between transactions. Repay on time and your score rises — meaning faster funding, lower tips, and higher limits over time. This is credit building without the traditional credit score.
How Real Users Use SoLo Funds
Scenario 1: Gig Worker Between Jobs
Maria drives for Uber Eats. Her car needs a $180 repair on a Wednesday, but her next payout is Friday. She borrows $200 on SoLo Funds with a 10% tip, gets funded in 45 minutes, fixes the car same day, and repays $220 automatically on Friday. Total cost: $20.
Scenario 2: Freelancer Waiting on Invoice
James is a freelance designer with a $2,500 invoice pending. His electric bill is $145 due tomorrow. He borrows $150 on SoLo Funds with an 8% tip, sets repayment for 3 weeks when his invoice pays. Total cost: $12.
Scenario 3: Building Credit With Small Loans
Aisha has no credit history at age 22. She borrows $30, repays 2 days early. Next month: $50. Next: $75. After 6 months of on-time repayments reporting to Equifax, her credit file starts showing positive tradelines — helping her later qualify for a real credit card.
Scenario 4: Emergency Medical Copay
Miguel has a $250 medical copay due at pickup. His paycheck is 6 days away. He borrows $300 on SoLo Funds with a 12% tip (higher for faster funding). Funded in 20 minutes. Repays $336 six days later. Total cost: $36 — vs a payday loan that would cost $75.
Tips for First-Time SoLo Funds Users
✅ Do
- ✓ Start with a small loan ($20-$50) to build score
- ✓ Offer a fair tip (10-12% for first-timers)
- ✓ Fully verify your identity and bank
- ✓ Set repayment reminders 2 days early
- ✓ Repay early when possible
- ✓ Complete your profile with a photo and bio
- ✓ Engage with SoLo IQ features
❌ Avoid
- ✗ Requesting the max amount as first-timer
- ✗ Offering 0% tip (won't get funded)
- ✗ Setting repayment on payday exactly (leave buffer)
- ✗ Requesting a new loan before paying old one
- ✗ Cancelling loan requests repeatedly
- ✗ Skipping identity verification
- ✗ Ignoring late fees — they compound