
Marcus by Goldman Sachs® Personal Loans: 2023 Review
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Sulaiman Abdur-RahmanUpdated January 22, 2023
Overview of Marcus by Goldman Sachs®
Pros and cons
Pros
No origination fees, late fees, or prepayment penalties Allows you to defer one payment after making at least 12 consecutive monthly payments on time Offers 72-month loan terms Interest rates can be as low as 6.99% Digital platform can simplify application process for borrowers
Cons
Subprime borrowers may have little chance of loan approval APR can be as high as 24.99% Minimum borrowing amount starts at $3,500 Maximum loan amount capped at $40,000 Does not offer loan terms under 36 months
Pros of Marcus by Goldman Sachs
Cons of Marcus by Goldman Sachs
Marcus by Goldman Sachs Personal Loan Terms, Rates, and Fees
Who May a Marcus by Goldman Sachs Personal Loan Be Right For?
Creditworthy consumers who need to borrow $5,000 personal loans or more Borrowers who need funding from a legitimate lender rather than a loan shark Consumers with prime or superprime credit scores between 661 and 850 Borrowers who need a $4K loan for expected or unexpected expenses
Who Marcus by Goldman Sachs May Not Be Right For
Consumers who need to borrow large personal loans of up to $100K Consumers looking for a $2,000 personal loan or less Borrowers who don’t want to pay daily simple interest on a loan Consumers who prefer open-end credit vs. closed-end credit
What to Watch Out for With Marcus by Goldman Sachs Personal Loans
Although Marcus does not charge late fees, failing to make required payments can still result in a personal loan default Borrowers who apply via telephone may not have the option to check their personal loan application status online This is an unsecured personal loan product, which may include higher finance charges than secured personal loans It can take several business days for approved applicants to receive funding, which may not be ideal for consumers who need quick personal loans
Marcus by Goldman Sachs Personal Loan Eligibility Requirements
Minimum Credit Score: A nonprime credit score of 660 may suffice, but applicants with prime or superprime credit scores between 661 and 850 may have better approval odds Income Requirements: May require proof of income, such as pay stubs or tax returns Debt-to-Income Ratio: Marcus considers an applicant’s income and debt expenses Co-Applicants: Marcus does not accept joint applications Collateral: You cannot pledge collateral on a Marcus personal loan Identity Verification: Applicants may need proof of identity, such as a driver’s license
Repayment Options for Marcus by Goldman Sachs Personal Loans
One-time payments made online each month Automated online recurring payments Making payments by telephone Mailing personal check payments Mailing money order payments
How to Apply for a Marcus by Goldman Sachs Personal Loan
Apply online. Applicants can get started by answering basic questions on a digital platform, including your reason for the loan and how much you would like to borrow. Applicants can then check to see if they have any prequalified loan options from Marcus. Seeing your loan options won’t affect your credit score, but applying for one may trigger a hard inquiry that can cause your credit score to drop by several points. Verify information. Applicants may have to provide proof of income and proof of identity during the application process. Pay stubs, bank statements, or W-2s may serve as proof of income, while a driver’s license, passport, or other form of identification may serve as proof of identity. Marcus may request additional documentation for verification purposes. Accept the loan. Approved applicants may seal the deal and accept the loan offer at this stage. You can sign the loan offer electronically and wait for the funds to hit your U.S. bank account. Approved customers may receive the funds within four business days.
Alternatives to Marcus by Goldman Sachs Personal Loans to Consider
Upstart: Upstart is a cloud-based lending platform offering personal loans ranging from $1,000 to $50,000. Borrowers can choose between three-year or five-year terms, and some creditworthy applicants may qualify for interest rates under 7%. One drawback with Upstart personal loans is you may be charged an origination fee that’s deducted from your loan proceeds. LendingClub: LendingClub offers personal loans ranging from $1,000 to $40,000. Borrowers can choose loan terms ranging from three to five years, and APRs can range from 8.05% to 36%. One drawback with LendingClub personal loans is that borrowers are restricted from using the funds on anything related to education after high school. Avant: Avant personal loans range from $2,000 to $35,000 and may have terms ranging from 12 to 60 months. APRs can range from 9.95% to 35.95%. Approved applicants can receive the funds within one business day, but borrowers may have to pay an administration fee of up to 4.75%.
Frequently Asked Questions
About the Author
Sulaiman Abdur-RahmanSulaiman Abdur-Rahman writes about personal loans, auto loans, student loans, and other personal finance topics for Lantern. He’s the recipient of more than 10 journalism awards and currently serves as a New Jersey Society of Professional Journalists board member. An alumnus of the Philadelphia-based Temple University, Abdur-Rahman is a strong advocate of the First Amendment and freedom of speech.
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