Marcus by Goldman Sachs Personal Loans: 2020 Review

Marcus by Goldman Sachs logo

If you have good to excellent credit, you might consider Marcus by Goldman Sachs for your personal loan needs. Borrowers do not need to have an existing relationship with Goldman Sachs in order to be eligible. And because Marcus personal loans are issued by Goldman Sachs Bank, the online lender charges no sign-up or origination fees. It relies on interest payments to make money on the loans.

Get pre-qualified

Answer a few questions to see which personal loans you pre-qualify for. The process is quick and easy, and it will not impact your credit score.

Marcus by Goldman Sachs snapshot

Loan amount $3,500 to $40,000
APR 6.99% to 28.99%
Minimum credit score 660
Time to receive funds One to four business days

Pros and cons of Marcus by Goldman Sachs personal loans

Before signing up for a loan with Marcus, take a look at this breakdown of some of its benefits and drawbacks.

Pros:

  • Flexible loan terms: Marcus loan terms range from 36 to 72 months, so you have some flexibility in your repayment schedule.
  • No fees: Unlike many of its competitors, Marcus waives application fees, origination fees and prepayment fees. This gives you the freedom to take advantage of Marcus’ lower APRs and even pay off your loan early without penalty.
  • On-time payment reward: If you make 12 or more consecutive monthly payments in full and on time, Marcus allows you to defer one payment without accruing additional interest. This is a great safety net if you need the extra cash one month.

Cons:

  • No joint loans: Marcus, like most lenders, does not allow multiple borrowers on a single loan.
  • Undisclosed eligibility requirements: A Marcus resource page mentions that you’ll typically want a credit score of 660 or higher when applying for a personal loan. However, Marcus doesn’t list any specific credit score, income or debt-to-income ratio requirements to help you learn whether the lender is a good option for you.

Lending terms

Marcus personal loans can range from $3,500 to $40,000 with a fixed annual percentage rate between 6.99 percent and 28.99 percent. The quote you receive is based on multiple factors, including credit history, the amount you’re asking for and the length of time you’re looking to pay it off.

The screening process for a Marcus personal loan is almost entirely virtual. This means that there are fewer loan underwriting costs. As a result, Marcus by Goldman Sachs may offer better interest rates and quicker turnaround times than brick-and-mortar lenders. Once approved for a loan, it takes about two business days to receive the funds in your bank account.

If you make 12 payments on time, equaling a full year of repayments, Marcus rewards you by offering an “on-time payment reward.” This means that you can defer one loan payment, thereby skipping one month of payments. Your skipped payment will be added to the end of your loan, during which time interest will continue to accrue. Once you’ve paid an additional 12 times in a row, you’ll qualify for another deferment month.

Fees and penalties

Unlike some of the other online personal loan companies, Marcus by Goldman Sachs does not charge any origination fees to process your loan. There are also no late fees, but you’ll continue to accumulate interest on the past-due amount, and final payment will increase as a result.

Late payments, missed payments, partial payments and loan defaults will show on your credit report. However, you won’t be penalized for paying off your loan early.

How to apply for a loan with Marcus by Goldman Sachs

To apply for a Marcus personal loan, you’ll have to enter some basic information on the Marcus website, including the loan amount, the loan purpose and your yearly individual income.

Marcus then will conduct a “soft” credit check, which won’t impact your credit rating. Upon approval, you will be able to review your options, including the possible fixed monthly payments and what the APR might be.

Before finalization, Marcus will do a “hard” credit check (which will impact your credit score).

The minimum requirements to apply for a loan are as follows:

  • Proof of employment, loan purpose, income and creditworthiness.
  • Applicant over the age of 18 (19 in Alabama and Nebraska, 21 in Mississippi and Puerto Rico).
  • Valid U.S. bank account and Social Security number or Individual Tax ID Number.

Get pre-qualified

Answer a few questions to see which personal loans you pre-qualify for. The process is quick and easy, and it will not impact your credit score.

How Bankrate rates Marcus by Goldman Sachs

Overall Score 4.8
Availability 4.4
Affordability 5.0
Customer Experience 5.0

Editorial disclosure: All reviews are prepared by Bankrate.com staff. Opinions expressed therein are solely those of the reviewer and have not been reviewed or approved by any advertiser. The information, including rates and fees, presented in the review is accurate as of the date of the review. Check the data at the top of this page and the lender’s website for the most current information.