Marcus by Goldman Sachs secures its place among the best debt consolidation companies (opens in new tab) by virtue of the low personal loan rates that it can offer to those with a good credit score. But that said, Marcus has plenty of attractive options for anyone looking to consolidate multiple smaller loans and other debts to make them more manageable.
The Marcus brand itself might only have been around since 2016, but its heritage is rich. As part of the global investment banking giant Goldman Sachs, which was founded in 1869, Marcus essentially has over 150 years’ worth of financial expertise on which to draw. Offering personal loans (opens in new tab) and online savings accounts, Marcus focuses on the areas that it knows the best, and is generally considered to be among the best online banks (opens in new tab) around. Value, transparency and keeping things simple for customers are the core principles that Marcus holds dear, and it very rarely disappoints.
Marcus by Goldman Sachs Debt Consolidation review: Eligibility
- Generally 18 or over, and bank account holder
- Useful eligibility checker option
On a general level, applicants for a debt consolidation loan through Marcus need to be over 18 (19 in Alabama, 21 in Mississippi and Puerto Rico), hold a valid U.S. bank account, and have a Social Security or Individual Tax I.D. Number.
In order to find out whether what you want to do is achievable with Marcus, its website plays host to a handy eligibility checker that lets you see your loan options without affecting your credit score. In that regard, Marcus does not set out a minimum credit score that borrowers should have in order to apply, but does say that those with a credit score deemed as good (660 or above) are more likely to qualify for an interest rate “that may be lower than the one on your credit cards”.
Most debts, including credit card balances or financed purchases, can be consolidated with a Marcus personal loan, but it is made clear that existing student loans cannot be refinanced.
Marcus by Goldman Sachs Debt Consolidation review: Application process
Loan amounts: $3,500 - $40,000
APR: 6.99% - 19.99% fixed
Loan terms: 36 - 72 months
Fees: No fees, but additional interest for late payments
Waiting time for funds: 1 - 4 business days
- Apply online or over the phone
- Funds arrive within four business days
Marcus makes applying for a debt consolidation loan easy. The entire process can be completed online, but there are phone lines available too, if you want to speak to someone in person and apply that way instead.
The pre-application eligibility calculator populates the application itself, and it is only once you’ve selected the loan option that’s best for you, that you’ll need to enter additional information covering things such as your employment status, phone number and your full Social Security or Individual Tax I.D. Number. This is the step that may impact your credit score (opens in new tab), but Marcus flags this up anyway, giving you an opportunity to bail out if you want.
An automated system is used to try and verify your income and employment, but if documents such as recent pay stubs or bank statements are required, these can be uploaded online. If you apply online, Marcus claims it is possible to find the loan options available to you in around five minutes.
If your approval isn’t immediate, and you applied online, you can log into your account to see how your application is progressing. However, once you are approved, online applications can be completed using an e-signature, and then all that’s left to do is to connect your bank account to receive the funds. Once your bank account has been verified, you should receive your funds within the next one to four business days.
Marcus by Goldman Sachs Debt Consolidation review: Essential details
- Maximum term of 72 months
- Best rates reserved for most creditworthy
The loan terms on offer through Marcus range from 36 to 72 months, so if you think you’ll need a little longer to pay off what you owe, Discover (opens in new tab) could be a better option, as it offers a maximum term of 84 months. Higher loan amounts than the maximum of $40,000 available through Marcus (minimum $3,500) can also be found elsewhere, via lenders such as LightStream (opens in new tab) and Wells Fargo (opens in new tab).
Loan rates with Marcus are fixed for the life of the loan and range from 6.99% to 19.99% APR. As is usually the case, the lowest rates are reserved for those with the best credit score and history, while rates will also generally be higher for longer-term loans. As mentioned previously, a credit score of 660 or above is the benchmark that Marcus sets itself to qualify for the better rates.
A debt consolidation loan from Marcus has no fees whatsoever - you can apply or pay your loan up early safe in the knowledge that you will not be charged. There are no late fees either, although if you are behind schedule with your payment, pay less than your amount due or miss a payment altogether, you will accumulate more interest and your final payment will be larger as a result.
Marcus by Goldman Sachs Debt Consolidation review: Features
- Can pay credit card companies direct
- Consistent payers can defer a payment
Unsurprisingly, Marcus offers a number of debt consolidation loan features aimed at making the life of its customers that much simpler. The fee-free Direct Payment option allows funds to be sent directly to up to 10 credit card companies, so that you don’t have to wait for your funds to arrive to your bank account and then schedule onwards payments.
Marcus also offers flexibility with the option to change your due date up to three times during the life of your loan. For customers who consistently pay on time, meanwhile, the on-time payment reward scheme gives borrowers the option to defer one payment - without accruing additional interest or fees - after they have made 12 or more consecutive monthly payments in full and on time.
Marcus by Goldman Sachs Debt Consolidation review: Service
- Online options supplemented by phone
- Resources could be better signposted
Managing your loan can be done entirely online, while the support of a friendly voice on the end of a phone is always an option too. Documents can be uploaded, your application progress tracked, and you will receive regular updates regarding the status of your loan too.
While Marcus offers a comprehensive FAQ section and a clear and concise explanation of the debt consolidation process, the information could perhaps be better presented. THe FAQs are a little hard to find and the debt consolidation landing page is essentially one long explanation of what to expect, interspersed with a couple of videos.
Some more interesting articles are available in the Resources section, but they do take a bit of finding too. That said, the Personal Loan Calculator is useful and lets you work out how much you could save based purely on your debt and credit score, while the Find your Loan Options feature is neat and tidy too.
Should you use Marcus by Goldman Sachs Debt Consolidation?
Marcus provides an excellent debt consolidation option if you’re looking for an easy to use application process and have a credit score good enough to take advantage of the lowest interest rates available. The pre-application calculator is great, the absence of any fees is welcome, and there are some excellent features on offer too.
If you’re looking for a bit more support and information about debt consolidation, you might be left a little wanting - most things are there, but they aren’t always easy to find. However, for a decent all-round debt consolidation experience, Marcus proves a reliable lender that is definitely worth a look if your credit score is up to scratch.
Consolidate your debts with Marcus by Goldman Sachs (opens in new tab)
Find out whether you could save money by restructuring your debt with Marcus by Goldman Sachs.