SoFi CEO Anthony Noto image credit : Flickr/TechCrunch

Fintech unicorn SoFi has been reported to be in discussions with local banks aiming for a credit line of up to $1 Billion with the deal said to be precursor to an IPO expected to take place sometime next year.

As per Bloomberg, The SF based company which focuses on online lending even as it makes moves to become a full fledged digital finance firm has approached several financial institutions for a potential loan citing people familiar to the matter.

In the past, SoFi has raised about $150 million in credit facilities in addition to around $1.8 Billion in equity financing which would make it not the first time the company would be taking on a credit line.

Last month, The Wall Street Journal reported of SoFi seeking for a $500 million unsecured credit line geared towards acquisitions but with more expansion as it seeks to offer a vast array of online financial services, It might be tapping into more cash reserves for its operations.

Since taken the position of CEO as the company, former Goldman Sachs managing director and Twitter CFO Anthony Noto has led SoFi towards other lines of business which includes the introduction of checking account and wealth management services among others as part of its plan to court more users and increase revenues.

Earlier this month, SoFi was reported to have recorded $200 million in Q2 losses due to writedowns of underperforming loans with its results also affected by price kicks resulting in lower loan volumes along with high interest rates.

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