|Loan types||Fixed rate personal loans|
|Loan amount||$3,500 to $40,000|
|Repayment terms||36-72 months|
|APR||5.99% - 28.99% (5.99% - 24.99% for NY residents)|
|Minimum FICO score||660|
|Best for||Customers with good credit who need a small, all-purpose loan|
Marcus is a new personal loan solution from one of the nation’s oldest banking institutions—Goldman Sachs, which has 150 years of financial expertise. This recently-launched branch of the venerable investment bank is currently testing its new approach to personal lending and debt consolidation on a smaller audience, but anyone can now borrow without a special invitation. In a fresh spin on an old system, loans from Marcus are fee-free, and offer more flexibility thanks to unique loan features. Fast funding is also a crucial component of the Marcus strategy, and customers can get access to funds within 2 days. In order to offer its customers the best loan options, only the most creditworthy applications qualify for the largest loan amounts and lowest rates.
For borrowers with good credit with debt from several creditors, consolidating all outstanding obligations under a single loan may be a good idea. Marcus makes it easy to put all these debts under one manageable banner. Others who simply need the cash to complete a home improvement project, buy an engagement ring, or handle a personal matter are also welcome. Generally, those with healthier credit have a much better chance at obtaining a loan from Marcus. Marcus is very flexible and lets you choose the length of your term, as well as the monthly payment you'd like
There's a lot to like about Marcus, however there are areas it could improve:
Despite these sparse flaws, most of the Marcus experience was exceptional:
Marcus does not place any restrictions on its loans, which can be used for debt consolidation, medical bills, home improvements, and many other alternatives. You can personalize your repayment terms and monthly payments along with loan amounts. Marcus also does away with fees, instead offering fixed-rate loans with no hidden surcharges or additional costs. Customers can apply for loans directly online with no need for visits to a branch or calls to representatives. Additionally, Marcus rewards responsible repayments, allowing customers to miss one payment after 12 months of on-time payments without a penalty or extra charges. The company provides an excellent range of repayment terms, and allows customers to pay out their loan early without penalty.
The first step of the application process is to fill out a form that asks for basic details and financial information. Once completed, one of the more unique offerings makes its appearance: two sliders that let the applicant choose their term and monthly payment. After answering a few more questions on income and other demographic information, Marcus performs soft credit check on the applicant, which does not impact their score. To be approved for a loan, Marcus asks that applicants meet the following requirements:
Additionally, applicants are recommended to have the following documents ready to expedite the approval process:
Unlike many of its competitors, Marcus is focused on providing customers a more versatile lending experience. When applying, customers are asked to provide a range of preferable loan terms and monthly payments. The company takes these selections into account during the approval and funding process, giving customers the best approximation of their preferences possible. This sets it apart from many industry mainstays that give customers set terms without choices.
Thanks to its slightly higher approval requirements, Marcus can offer customers more favorable terms and loan amounts, along with the ability to set their own preferences. Customers can get fixed rates that range between 5.99% - 28.99%, which are well within the industry average. For New York residents, rates range from 5.99% to 24.99% APR. The company offers borrowers loans as low as $3,500, reaching as high as $40,000. What really sets the company apart, however, is its fee structure and benefits. The company does not charge any origination, prepayment, or even late fees. Customers who miss payments or cannot cover the full amount in a given month will simply have interest added to their final payment. However, customers who pay on time for 12 months can defer up to 3 payments for no extra interest, with the missed installments simply added to the end of the loan.
It takes anywhere from 36 months to 72 months, or between 3 and 6 years to pay off a Marcus personal loan, with unique intermediate terms on offer. Borrowers can get approved for as low as $3,500 or as much as $40,000, and can choose to pay their loan back on a schedule that is as relaxed, or as stringent, as they like. During repayment, there are absolutely no fees involved for any customer service process, and a unique feature of Marcus reveals itself after just a year. After 12 consecutive months of consecutive on-time payments, the borrower earns a credit that allows them to make a late monthly payment at any time in the future, without incurring additional interest charges. Customers may also configure their repayment date on any day of the month and can change it up to three times over the course of repayment. Marcus impressed us with their creativity in creating this incentive, and we can see customers highly appreciating the extraordinary feature.
Marcus is a new venture from the trusted, globally dominant investment firm Goldman Sachs. Accordingly, security standards for keeping customer information are the highest possible. Goldman has been in business for over 148 years, and supports Marcus processes with its professional expertise – making the customer experience a familiar one. Marcus is committed to protecting the confidentiality and privacy of all information in its system, which remains within encrypted servers and is not shared with disreputable third parties. The company is very transparent about how it uses customer data, which partners it gives access to, and how to opt out. Overall, customers do not have to worry about the integrity or security of their personal details and should be encouraged to borrow without second thoughts.
During our exploration of Marcus and its services, we encountered an exceptionally friendly and informed customer service team. While Marcus may be a new entry into an established market, the representatives we spoke with were anything but inexperienced. All staff members responded to our inquiries via email and phone within a reasonable amount of time. We waited just a few minutes before speaking with a friendly support team employee, and for email we were returned to within a single business day. Additionally, the “Insights” section of the Marcus website holds a thorough FAQs list and a collection of frequently-updated articles on debt.
|APR||5.99% - 28.99%||6.95% - 35.89%||5.73% - 16.59%|
|Minimum FICO score||660||600||680|
|Loan term||36-72 months||36-60 months||36-84 months|
|Best for||Flexible loan terms||Small loans||Borrowers with Excellent credit|
For NY residents, rates range from 5.99% to 24.99% APR. Only the most creditworthy applications qualify for the largest loan amounts and lowest rates. Marcus provides loans with APRs between 5.99% - 28.99%, payable over 3-6 years, with no origination, processing, or prepayment fees, making it similar to SoFi. However, when comparing Marcus with SoFi, Marcus stands out by giving you the option to defer payment if you’ve paid on time for 12 months.
Marcus offers similar loan amounts to LendingClub, but has more flexible loan terms when it comes to the length of the loan and also offers more attractive APRs. While LendingClub lets you pay a fixed monthly rate throughout the term of the loan, making it easier to budget and plan ahead, Marcus offers greater flexibility by letting you configure your repayment date for any day of the month and change it up to 3 times over the term of your loan.
For people who need a personal loan for just about any reason, including for debt and credit consolidation, Goldman Sachs-backed Marcus provides a quick solution. The absence of any fees and some excellent flexibility makes a Marcus loan worthwhile and effective. Borrowers can choose their monthly payment, term length, and use their good performance to make late payments at no extra cost. With low APR and long terms, Marcus is taking advantage of their access to inexpensive credit to give borrowers a better alternative than credit cards.
Does Marcus charge any fees?
Marcus does not charge any fees for originating a loan. The company doesn't charge late fees either, and if you miss a payment or can’t cover your entire payment in a given month, Marcus will simply add interest to your final payment. You can also defer up to 3 payments with no extra interest if you have made your payments on time for 12 months. Finally, if you decide to pay off your loan early, Marcus will not charge you a prepayment penalty.
What are the credit score requirements?
The credit score requirements with Marcus are a bit higher than that of many competitors. You will need a minimum FICO score of 660, though 700 or higher is recommended if you want to ensure you can get a loan with better terms. When you’re applying for a loan with Marcus, the company will do a soft credit check, which has no impact on your credit score. It also provides customers with free tools for improving their credit and reducing debt.
What can I use my loan for?
Marcus does not place any restrictions on what you use the loan for. You can use the extra cash flow for debt consolidation, home renovations, a family vacation, or really whatever your heart desires.
How long does the process take?
The application process on Marcus is easy and straightforward, and you never have to head down to your local bank branch. Assuming that you have met the requirements, you can expect your funding within 2 days, according to Marcus.
222 Main St.
Salt Lake City, UT 84101
United States of America