Marcus Personal Loans: 2021 Review

Our Take
5.0
TalkFinance rating
The bottom line: With low rates, zero fees and a wide range of repayment terms, Marcus offers one of the best personal loans for borrowers with good or excellent credit.
Jump to: Full Review

on Marcus website

MIN. CREDIT SCORE

660

EST. APR

6.99 - 19.99%

LOAN AMOUNT

$3,500 - $40,000

Pros & Cons
  • No fees.

  • Competitive rates among online lenders.

  • Wide variety of repayment term options.

  • Offers .25% rate discount for setting up autopay.

  • Offers direct payment to creditors for debt consolidation loans.


  • No co-sign, joint or secured loan option.
Compare to Other loans
TalkFinance rating
TalkFinance rating
TalkFinance rating
CHECK RATE CHECK RATE CHECK RATE
EST. APR

6.99 - 19.99%

EST. APR

4.99 - 19.63%

EST. APR

3.99 - 19.99%

LOAN TERM

3 to 6 years

LOAN TERM

2 to 7 years

LOAN TERM

2 to 7 years

MIN. CREDIT SCORE

660

MIN. CREDIT SCORE

680

MIN. CREDIT SCORE

660

Full Review

To review Marcus’ personal loans, Talkfinance collected more than 40 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. The company offers unsecured personal loans with competitive rates and zero fees.

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. Marcus reports payments to all three credit bureaus.

Marcus is also one of the few lenders to offer its own mobile app. In the app, you can view your remaining principal balance, manage your payments and enroll in autopay.

Marcus is best for borrowers who:

  • Have good or excellent credit (660 or higher FICO score).

  • Want highly customizable terms.

  • Want to consolidate debt.

Marcus at a glance

Credit building

 

 

 

  • Soft credit check to pre-qualify.

  • Reports payments to three credit bureaus.

Affordability

 

 

 

  • APRs are consistent among lenders targeting similar borrowers.

  • No fees.

  • Rate discount for autopayments.

Loan flexibility

 

 

 

  • Offers only unsecured loans.

  • Funds loans within one week.

  • Offers direct payment to creditors for debt consolidation loans.

  • Available in all 50 states, Washington, D.C., and Puerto Rico.

Transparency

 

 

 

  • Discloses rates, fees and terms on website.

  • Offers FAQ that answers key borrower questions.

Customer experience

 

 

 

  • Offers limited customer contact channels.

  • Offers mobile app to manage loan.

  • Provides financial education.

Disclosure from Marcus

 

» COMPARE: Best personal loans

Where Marcus stands out

No fees: Marcus doesn't charge fees on its personal loans, including origination, prepayment or even late fees. However, if you miss a payment, you must still pay the interest that accumulates during this period, and late or partial payments may be reflected on your credit report.

Direct payment to creditors: The lender will pay your creditors directly if you get a loan for debt consolidation. This direct pay feature is free and can apply to credit cards and retail cards (for a maximum of 10 cards total) and other personal loans.

Wide variety of loan terms: Marcus offers highly customizable repayment terms. Though terms range from three to six years, there are nine options: 36, 39, 42, 45, 48, 54, 60, 66 or 72 months. Your term is determined by the amount you wish to borrow and your desired monthly payment.

Payment deferral option: After making 12 consecutive monthly payments, you can defer one payment as long as you've made all your prior payments in full and on time. Deferring a payment extends the loan term by one month. You won't be required to pay interest while your payment is being deferred.

Where Marcus falls short

No co-signed, joint or secured loan options: Marcus offers only unsecured personal loans, meaning there’s no option to add a co-borrower or secure the loan with collateral in order to get a more competitive rate or be approved for a larger amount.

Limited customer service channels: Marcus offers only a phone number for customers to contact it. Unlike other lenders, there's no chat tool or social media account dedicated solely to customer service. However, loan specialists are available seven days a week with extended business hours.

How to qualify for a Marcus loan

Marcus doesn’t disclose many borrower requirements, but here are a few must-haves to qualify:

  • Minimum credit score: 660 FICO.

  • Must be 18 or over, 19 in Alabama and 21 in Mississippi and Puerto Rico.

  • Must have a valid U.S. bank account and Social Security or Individual Tax ID number.

  • May need to provide proof of income, including recent pay stubs or bank statements.

Loan example: A four-year, $13,000 loan with an 11.8% APR would cost $341 in monthly payments. You’d pay $3,368 in total interest on that loan.