Marcus Personal Loans Review

If you want to consolidate debt and pay it off fast, then you might benefit from getting a Marcus personal loan. An online-only subdivision of Goldman Sachs, Marcus offers unsecured personal loans with no fees, fixed rates, and flexible loan terms.

In order to qualify, you do need to have either good or excellent credit plus the ability to make timely monthly payments through the life of the loan. The application process is quick and easy through their website and doesn’t impact your credit score.

If you’re eligible, you can customize the personal loan to your liking and even have them issue direct payments to your creditors. To help you manage your loan, they have a dedicated app, intuitive web portal, and customer service team standing by.

No-Fee Personal Loans with Fixed Rates

When credit card debt rules your finances, a personal loan can relieve the pressure and help you get back on track fast. While you have many lenders to consider, Marcus by Goldman Sachs is a great choice if you need between $3,500 and $40,000.

When you sign up for a loan through this company, you never have to pay any fees at sign up or later on in the repayment process. In fact, they do not even have any late fees if you miss a payment, although they will report it to the three major credit bureaus.

Unlike credit cards, Marcus personal loans feature a fixed 6.99% to 19.99% interest rate based on your creditworthiness, income, and other financial factors. Even if you miss a payment, the rate will never increase, letting you pay off your debt faster than ever.

Benefits of Marcus Personal Loans

When you decide to go with Marcus for your personal loan needs, you can enjoy all the following benefits.

Flexible Loan Terms

Marcus personal loans offer flexible terms that let you take charge of mapping out your debt repayment journey. Depending on your credit score, you may be able to repay the loan over 36 to 72 months. The 72-month loans, in particular, are reserved for applicants who have a high credit score, income, and meet other creditworthiness requirements.

Once you submit the application, you’ll get to select between the different terms available to you. The monthly payment will adjust based on the selected term, so pay close attention to that while choosing between the options.

If you go with a longer repayment period, you’ll have a smaller monthly payment but pay more interest over the life of the loan. Since they do not have early repayment fees, you can make larger or more frequent payments to pay it off quicker than the assigned term and save money on interest.

APR Reduction for AutoPay

Marcus personal loans reward you for automated payments by offering a .25% APR reduction. You just have to setup AutoPay through their system and your interest rate will automatically go down by that amount. Although it doesn’t seem like a lot, this modest APR decrease allows more of your payment to apply to the principal, letting you to pay off your loan faster than expected.

Payment Deferral Available

As a reward for making 12 consecutive monthly payments on time, Marcus by Goldman Sachs offers a one-time payment deferral reward. You will then get the ability to skip a payment without having to pay extra interest or get a ding on your credit report.

Instead, they will extend the due date out one month, letting you complete a big purchase or get your finances back in check before resuming your payments. You must let them know you want to use the reward at least 16 days before your payment due date, however.

Fast and Easy Application Process

As an online-only lender, Marcus streamlines the application process, so it can be completed whenever you have an extra five minutes. After you hit submit, they provide your online loan options on the very next screen. You can then select your ideal terms and get approved in less than 24 hours.

Once you provide your disbursement info, including creditors’ account numbers, you can receive your loan money within five days. After that, you only have your loan payment to cover, simplifying your debt repayment process considerably.

Full Mobile App

In an effort to make your personal loan experience as convenient as possible, Marcus by Goldman Sachs allows you to manage your account through their full mobile app. They are one of the few personal loan providers to have an app that allows you to see your current balance, manage payments, and much more.

With so many excellent benefits available, Marcus personal loans are definitely worth considering as you look for ways to get out of debt.

Disadvantages of Marcus Personal Loans

Despite their good reputation and overall value, Marcus personal loans are not for everyone. Here’s a look at the potential disadvantages of going this route.

Creditworthiness Matters

To best manage risk, Marcus by Goldman Sachs only approves personal loans for people with good to excellent credit scores in the 700 to 850 range. If high credit card debt balances and other factors tanked your score, then you might need to look elsewhere for solutions. Even if you do have good credit, but your score is below 800, you may not get the loan offer you need to fully pay back your other creditors.

During the application process, Marcus looks at many other credit factors to build your loan offer, such as:

  • Credit usage
  • Debt-to-income ratio
  • Annual income
  • Ability to pay bills on time

If your creditworthiness does not pass their strict scrutiny, then you may not qualify for a large loan or low interest rate. You will then need to work on improving your credit score and increasing your income before reapplying.

Lack of Personal Touch

Although their online system and app make getting and managing your personal loan as convenient as possible, the entire process lacks a personal touch. As long as the application goes smoothly, you never have to talk to any loan officers or other customer service experts. The same goes for making your monthly payments, allowing you to potentially get and pay off your loan without talking to anyone at all.

As a result, the whole process could feel a little lacking when it comes to personal service and support, especially if you prefer to talk directly to your lender. You do have the option to call into the customer service line if you have questions and concerns, but you can likely find the answers on their website instead if you dig around.

Need Account Numbers for Direct Payments

Upon getting approved for your Marcus personal loan, you can have them send payments directly to your credit card companies. In order to do that, however, you must have your account numbers on hand, which are found on the front of your credit cards. This is bad news if you cut up your credit cards and threw them away in an effort to stop spending.

You will then need to ask for new cards sent to your address since most companies will not provide them over the phone or by email. If you’re lucky, you can find the account numbers along the bottom of your monthly statements.

Otherwise, you’re likely in for a seven to ten day wait. Depending on where you’re at in the billing cycle, this could mean having to make yet another round of credit card payments before using the personal loan funds to pay them all off.

Doesn’t Cover Student Loans

If student loans make up the majority of your debt balance or you need money for school, Marcus personal loans won’t work for that purpose. They do not allow you to use your loan money to refinance your student loans at a lower interest rate. You’re also not allowed to use the funds for tuition, textbooks, or any other education-related expenses, including room and board.

All Loans Subject to Final Approval

After the online system extends an offer your way, your application must undergo manual approval by the lender. If anything seems amiss at that point, they reserve the right to deny your application. They will then let you know their decision and send a letter detailing the factors that contributed.

Although most lenders do the same, getting denied after choosing your ideal personal loan terms can get your hopes up. So, be sure to steel yourself from the disappointment until your application is officially approved and the loan funds are disbursed.

As long as these potential drawbacks are not deal breakers, it might still make sense to apply for a personal loan from Marcus by Goldman Sachs. You’ll have to reflect on your own preferences and situation to decide if it’s a good move.

How to Sign Up for a Personal Loan from Marcus by Goldman Sachs

If you want to explore their loan options, you just have to fill out the short application on their Marcus personal loans’ web page. You can expect the process to take anywhere from five to fifteen minutes, as long as you have all your information on hand.

During the application process, you’ll need to let them know how much money you want to borrow and your ideal monthly payment. You’ll also need to indicate your reason for requesting a personal loan.

Beyond debt consolidation, eligible reasons include:

  • Major purchases
  • Special occasions
  • Vacations
  • Moving expenses
  • Home improvements

You can also write in your reason for the loan request, but remember, education-related expenses do not qualify.

After that, you’ll need to input your personal information, including your annual income and source, monthly housing payment, and contact info. Then, read their various agreements listed at the bottom, check the box to let them know you agree, and click ‘Find my loan options.’

If you potentially qualify, they will let you know what personal loan options are available to you. As you read through each one, you’ll see the total loan amount, interest rate, and monthly payment. If any will work for you, just click through the application page to send your info to the team. After they review your application, they will let you know their decision.

What to Expect After Getting Your Marcus Personal Loan Approval

If you are approved for a Marcus personal loan, you’ll get an approval letter within 24 hours. Once that comes through, you’ll need to provide your creditors’ information to have their balances paid off automatically.

Otherwise, you must provide your bank account information, so they can disperse the funds for you to manage. You’ll also need to set up an account and download the app for the ongoing management of your personal loan.

You can expect the funds to arrive within five business days, if not sooner. If you requested the direct repayment of your creditors, their balances should hit zero within a week or two.

After your funds are dispersed, you can look in the app or the online portal to see when your first payment is due. You can set up your AutoPay agreement at that time or simply add your bank account info for manual payments. Then, all that’s left to do is make your payments on time each month to gradually whittle down your balance.

Customer Service and Support Quality

When you need to get into contact with the Marcus by Goldman Sachs customer service team, you just need to call at your convenience. They are available during business hours to answer your questions and resolve your concerns. Although they have a dedicated app, this lender does not offer any live chat or email customer support.

Bottom Line

When you want to pay down your debt fast and regain control of your finances, a Marcus personal loan is a viable choice. Their competitive rates and flexible terms give you complete control over your debt repayment journey. Since they take an online-only approach, it’s possible to quickly apply and get a decision within 24 hours — all without leaving the comfort of your home.

Then, you can manage the repayment of your loan using their app or web portal, giving you the ultimate in convenience every step of the way.

Maria Abendroth

Marie Abendroth is a skilled content strategist and SEO copywriter with a focus on helping people improve their personal finances and overcome their barriers to success. In her articles, she provides up-to-date info that can help everyone better understand how to invest in a better future.