Based on the generalized formulation of two dimensional Biot′s theory of consolidation, the effect of geotextile and prefabricated vertical drains (PVDs) using in soft soil foundation was studied with nonlinear finite element method. The dissipation of excess pore pressure, vertical settlement and lateral displacement of foundation were contrasted between foundations with and without PVDs. It is found that the vertical settlements become lager, the lateral displacements become less and the bulges at the toe of embankment become less at the same time of consolidation when PVDs are used. And the stability of embankment improved for the bearing capacity of soil enhanced with excess pore pressure dissipated fast. Meanwhile, the axial force of geotextile become less when PVDs are used. Those changes showed that the design of foundation can be optimized by shortening the time of consolidation when PVDs are used.