Marcus by Goldman Sachs Personal Loans: 2020 Review

To review Marcus, NerdWallet collected more than 30 data points from the lender, interviewed company executives and compared the lender with others that seek the same customer or offer a similar personal loan product. Loan terms and fees may vary by state.

Marcus is the online-only consumer banking and lending arm of investment bank Goldman Sachs. One of the few banks offering personal loans, the company prides itself on transparency and no-fee loans, says Mandy Huang, vice president who heads the company's digital acquisition team.

Marcus loans are aimed at borrowers with good and excellent credit. Some of its personal loan features, like flexible loan terms, were added specifically because of customer feedback.

One drawback is the company reports loan payments only to TransUnion instead of all three major credit bureaus.

Best for: NerdWallet recognizes Marcus among our list of best personal loans from a bank. Marcus loans can be used for almost any purpose.

» MORE: Compare online loans and pre-qualify

No fees: The lender says it doesn’t charge any fees, not even late fees for missed payments. A borrower must still pay the interest that accumulates during a missed-payment period, though.

Direct payment to creditors: Marcus offers direct payment to creditors for debt consolidation loans. Some debt consolidation customers may be required to send part of the loan directly to creditors.

» MORE: Find a debt consolidation loan

Loan flexibility: Marcus lets potential borrowers choose a monthly payment amount and loan term on its website. Once you pick the numbers that suit your budget, the lender tries to design a handful of loan options that fit your preferences, provided you qualify for a loan.

Marcus also allows borrowers to change their due date up to three times during the life of the loan.

Loan terms: Repayment terms range from three to six years, but there are nine options within those three years — a loan's timeline isn't always rounded to a year. Depending on a borrower's desired loan amount and monthly loan repayments, a loan term could be 39 months, 45 months or even 66 months.

Defer a payment: After making 12 or more consecutive monthly payments, you can defer one payment as long as you have made all your prior payments in full and on time. The loan term is simply extended by one month. You’ll pay interest during the extended month, but not during the deferral month.

Autopay discount: If you set up autopay, Marcus will cut your loan's annual percentage rate by 0.25%.

Customer support: Marcus has U.S.-based loan specialists who provide customer support seven days a week.

» MORE: Marcus banking review

How to qualify:

Marcus doesn't disclose many hard borrower requirements, but the lender says it's looking for borrowers with enough income to support their existing expenses and monthly loan payments. To get a Marcus loan, borrowers must:

• Be 18 or older, 19 in Alabama; 21 in Mississippi and Puerto Rico.

• Have a valid U.S. bank account, Social Security number or tax ID.

• Have a 680 or higher credit score.

Loan example: For a borrower with good credit, a $20,000 personal loan with a repayment term of 48 months at 18% APR would carry a monthly payment of $587, according to NerdWallet’s personal loan calculator.

Before you shop for a personal loan

• Learn how personal loans work

• Boost your chances of getting approved

• 4 steps to pre-qualify for a personal loan

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NerdWallet recommends comparing loans to find the best rate for you. Pre-qualifying may get you personalized rates from multiple lenders that partner with us, including Marcus. Pre-qualifying will not impact your credit.

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