Marcus by Goldman Sachs® Personal Loans: 2023 Review

Q: Is Marcus by Goldman Sachs trustworthy?

Marcus by Goldman Sachs is a legitimate lender, and individual consumers can decide how much trust to place in a financial institution that offers consumer loans. Marcus is a brand of Goldman Sachs Bank USA, a New York State-chartered bank. Goldman Sachs is supervised and regulated by the Federal Reserve Board, Federal Deposit Insurance Corporation, New York State Department of Financial Services, and the Consumer Financial Protection Bureau.

Q: What is the rating of Marcus by Goldman Sachs?

Marcus has a 4.9 out of 5.0 customer star rating as of January 2023, according to Marcus by Goldman Sachs reviews on Lantern. The vast majority of verified buyers rated it a perfect five stars.

Q: What bank does Marcus by Goldman Sachs use?

Marcus is a brand of Goldman Sachs Bank USA, a New York State-chartered bank. Goldman Sachs is supervised and regulated by the Federal Reserve Board, Federal Deposit Insurance Corporation, New York State Department of Financial Services, and the Consumer Financial Protection Bureau.

Q: Is Marcus by Goldman Sachs the same as Goldman Sachs?

No, Marcus by Goldman Sachs is not the same as Goldman Sachs. Marcus is a brand of Goldman Sachs Bank USA, a New York State-chartered bank. Goldman Sachs is supervised and regulated by the Federal Reserve Board, Federal Deposit Insurance Corporation, New York State Department of Financial Services, and the Consumer Financial Protection Bureau. Goldman Sachs Bank USA is a subsidiary of the Goldman Sachs Group Inc., a publicly traded company.

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Sulaiman Abdur-RahmanUpdated January 22, 2023

Overview of Marcus by Goldman Sachs®

Marcus by Goldman Sachs® offers personal loans ranging from $3,500 to $40,000. Borrowers can choose loan terms ranging from 36 to 72 months, and the annual percentage rate of interest can range from 6.99% to 24.99%. Marcus personal loans feature no late fees and no origination fees, but your personal loan approval odds may be diminished if you have bad credit history.The Takeaway: Marcus by Goldman Sachs primarily serves borrowers with good or excellent credit scores above 660. A Marcus personal loan may be right for you if you have prime credit and need to borrow thousands of dollars.

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

The Marcus by Goldman Sachs reviews highlighted above tend to be highly rated by customers. One of the major pros with Marcus by Goldman Sachs personal loans is you’ll never pay anything other than your principal loan amount and interest. The promise of no late fees and the ability to defer one payment after making at least 12 consecutive monthly payments is unique for a consumer lending product.

Cons of Marcus by Goldman Sachs

Marcus by Goldman Sachs personal loans may not be helpful to borrowers who need less than $3,500 or more than $40K. These loans may require prime or superprime credit, which means subprime personal loan borrowers may have little chance of getting their applications approved. The shortest loan term offered by Marcus is 36 months, whereas other lenders may offer shorter terms at better rates of interest.

Marcus by Goldman Sachs Personal Loan Terms, Rates, and Fees

Loan amounts: $3,500 to $40,000APR range: 6.99% to 24.99%Loan terms: 36 to 72 monthsPrepayment penalty: NoApplication fee: NoCo-borrowers allowed: NoApproval speed: Approval can take less than 24 hours, while funds may be received within 1 to 4 business days Information accurate as of Jan. 21, 2023.

Who May a Marcus by Goldman Sachs Personal Loan Be Right For?

A Marcus personal loan may be right for the following demographics:

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

A Marcus personal loan may not be right for the following demographics:

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

Here are aspects to watch out for with Marcus 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

For starters, here's a list of Marcus personal loan 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

Here are some loan repayment options that may be available to Marcus customers:

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

Here are steps on how to apply for a Marcus 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

As highlighted above, personal loans from Marcus have several pros and cons. When you need to borrow money, it can be wise to compare private lenders before submitting any loan applications. Here are some alternatives to Marcus personal loans that you may 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%.

Lantern by SoFi can help you quickly find online personal loans. Just fill out one simple form, explore your financing options, and apply for a personal loan that fits your needs.

Frequently Asked Questions

Is Marcus by Goldman Sachs trustworthy?

What is the rating of Marcus by Goldman Sachs?

What bank does Marcus by Goldman Sachs use?

Is Marcus by Goldman Sachs the same as Goldman Sachs?

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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