LIBOR vs SOFR and the Transition to SOFR, Explained

Share this article:
Editor’s note: Lantern by SoFi seeks to provide content that is objective, independent and accurate. Writers are separate from our business operation and do not receive direct compensation from advertisers or partners. Read more about our Editorial Guidelines and How We Make Money.
What Is LIBOR?
What Is SOFR?
SOFR vs LIBOR: What Are the Major Differences?
Why Is LIBOR Being Replaced?
LIBOR to SOFR Transition: What You Need to Know
Effects on Consumers
Effects on Investors
Effects on Businesses
Alternatives to SOFR
The Takeaway
Frequently Asked Questions
About the Author
Austin Kilham is a writer and journalist based in Los Angeles. He focuses on personal finance, retirement, business, and health care with an eye toward helping others understand complex topics.
Share this article: