Plans to Officially Launch SoFi Checking and Savings with up to 1.00% APY in the Coming Weeks
SoFi Technologies, Inc. (“SoFi”), the digital personal finance company, announced the completion of its acquisition of Golden Pacific Bancorp, Inc. (OTCPK: GPBI) and its wholly owned subsidiary Golden Pacific Bank, National Association (“Golden Pacific Bank” and together with Golden Pacific Bancorp, Inc., “GPB”). Golden Pacific Bank is a Sacramento, California-based community bank that is regulated by the Office of the Comptroller of the Currency (“OCC”) and has approximately $150 million in assets.
Latest Fintech Insights: LEX Raises $15 Million Series A Led By PEAK6 Strategic Capital
“This announcement reflects SoFi’s ongoing mission to help people achieve financial independence and realize their ambitions”
With this acquisition, SoFi will be able to offer improved features to members to help them get their money right. In the coming weeks, SoFi will offer better banking through, among other things, a more user-friendly interface, automated savings, as well as differentiated checking and savings accounts for easy budgeting. Additionally, SoFi will offer an industry-leading annual percentage yield up to 1.00%1 for members, providing 33 times the national average interest on balances2.
The decision to acquire Golden Pacific Bank, announced last year, was a key strategic step in SoFi’s path to obtaining a national bank charter, and was recently approved by the OCC and the Federal Reserve. SoFi plans to contribute $750 million in capital and pursue its national, digital business plan while maintaining Golden Pacific Bank’s community bank business and footprint, including Golden Pacific Bank’s current three physical branches in Sacramento, Live Oak, and Yuba City, California.
With this transaction, Golden Pacific Bank has been renamed SoFi Bank, National
Browse The Complete News About Fintech : Domination Finance Integrates With Boba Network, Joins WAGMI Incentives Program
Association (“SoFi Bank, N.A.”) and Golden Pacific Bank’s community bank business will now operate as a division of SoFi Bank, N.A. Golden Pacific Bank President and Chief Executive Officer Virginia Varela will continue to lead the Golden Pacific Bank community bank business under the direction of Chad Borton, who will serve as President of SoFi Bank, N.A.
“This announcement reflects SoFi’s ongoing mission to help people achieve financial independence and realize their ambitions,” said Anthony Noto, CEO of SoFi. “Through this acquisition, Golden Pacific Bank members can expect an elevated digital and more robust mobile banking experience to serve local businesses and individual customers. I thank Virginia and her staff for being a great ally in this process and look forward to building on Golden Pacific’s reputation of being a local, community-centered institution that puts its members first.”
“This new partnership will enhance our ability to provide the highest level of service while offering our customers a suite of products designed to help them get their money right,” said Virginia Varela, Golden Pacific Bank President and Chief Executive Officer. “I look forward to working hand in hand with our new team as we continue to deepen our community banking experience in Sacramento and surrounding counties.”
Golden Pacific Bank has received shareholder approval for the transaction. Wachtell, Lipton, Rosen & Katz is serving as legal advisor and Piper Sandler & Co. is serving as financial advisor to SoFi. Janney Montgomery Scott LLC is acting as financial advisor and Hogan Lovells US LLP is acting as legal advisor to Golden Pacific Bank.
Read More About Fintech News : CR2 Explores What Lies Ahead for Banks in a Post-pandemic Future
[To share your insights with us, please write to sghosh@martechseries.com]
