Marcus by Goldman Sachs Bank is the first internet-based bank to receive the Federal Deposit Insurance Corporation’s approval. The bank has a branchless structure and offers services wholly online or through phone or social media support. It does not have an ATM network or physical location for in-person banking. However, customers can access free services and deposit accounts with third-party providers.
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What is Marcus by Goldman Sachs Bank
Marcus by Goldman Sachs Bank is an online bank launched in 2016 by the largest bank in the United States, Goldman Sachs Group, Inc. (NYSE: GS). Marcus offers a suite of financial products, including savings accounts, deposit accounts, and certificates of deposit. Marcus is unique because it is the only central bank that does not operate branches.
However, it does offer its customers access to a free mobile banking app and customer support through phone and social media channels. Customers are also able to access in-person banking services through third-party providers. Marcus by Goldman Sachs Bank offers fixed rate savings accounts and high yield CD, both of which are FDIC insured.
The Marcus by Goldman Sachs Bank was developed to allow customers to the bank without needing a physical banking branch. The main aim of the bank is to reach underserved, often rural areas in America. According to Goldman Sachs Group CEO Lloyd Blankfein, “The Marcus model allows customers to bank online and connect with other users through social media.” The bank does not require shop-at-home requirements for its products and offers customers a free mobile banking app for their phones or tablet.
Banking With Marcus by Goldman Sachs Bank
Marcus by Goldman Sachs Bank offers its customers a savings account, which is available on both a personal and joint account basis. The bank also offers a high yield CD that carries with it renewed interest rate every seven days. In addition to these financial products, Marcus by Goldman Sachs Bank also allows customers to take out loans.
Checking Account
Marcus by Goldman Sachs does not provide its customers with a checking account; however, the bank allows third-party providers to offer their customers FDIC-insured checking accounts.
Saving Account
The bank offers its customer a savings account with no minimum balance and monthly service charge. This account offers a yield of 1.05 % APY. Customers can also opt to have their deposits locked in at the current rate when they open the account. All Marcus by Goldman Sachs Bank savings accounts is FDIC insured.
Certificate of Deposit Account
The bank also offers high-yield CD accounts for its customers. Customers can choose to open the account for either 12 months, 24 months, 36 months, or a five-year CD account. These CDs offer a yield of 0.60 % to 1.55% APY on a high yield. Both the current rate and the locked-in rate are subject to change. However, customers can lock in the account even at a lower rate of yield if they so desire.
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Loans
Aside from offering deposit and savings products, the bank offers its customers a suite of loan products. The bank offers secured loan products such as auto and personal loans and the Marcus home loan. There are also unsecured loan products such as credit cards, Marcus personal loans, and the Marcus student refinances loan. All these products are intended to serve customers who seek financing for their purchases.
Mobile Banking
Marcus by Goldman Sachs Bank offers customers a free mobile banking app for their phones or tablet. The bank’s mobile app allows its customers to access its website’s most commonly used features. Customers are also able to create a PIN code so that they can access secure services such as their bank accounts.
Customer Support
The bank provides support through phone, email, and social media channels. You can access the facility through various social channels such as Twitter, Facebook, and Google+. Customers can use the app’s chat system to get quick answers to their questions or submit requests for new features that they would like to see on the app.
Benefits of Banking with Marcus by Goldman Sachs Bank
The bank offers its customers several benefits that are not available with traditional banks.
Free Mobile Banking App
The bank offers its customers a free mobile banking app for their phones or tablet. The app is available on Apple Store and Google Play. The app offers customers access to their bank accounts, social media integration, and features that ensure a smooth banking experience.
Social Media Integration
The bank’s mobile app allows its customers to connect with other users through social media integration. It enables customers to connect with other users and do transactions with them.
Free Customer Support
The bank offers its customers free service for any questions that they may have about their accounts. The bank also offers its customers the facility to speak to a human being through phone or email.
High APY for Savings Account
The bank offers its customers an account with a yield of 1.05 % APY for their savings account. The rate is compounded monthly and paid every quarter. Thus, customers can earn the APY interest rate that they have in the first period in subsequent months.
No-Penalty CD Option
The bank offers customers the option to withdraw their CD funds without penalties after seven days. When customers initially open the account, they are required to keep their funds in the CD for at least five days before withdrawing any money.
Conclusion
The Marcus by Goldman Sachs Bank offers fixed rate savings accounts and high yield CD, both of which are FDIC insured. It has made some unusual steps to appeal to its customers. The bank’s goal is to offer various financial products such as CDs that cater to all customers’ needs. Therefore, the bank’s main objective is to allow customers to choose the financial product they need to pursue their financial goals.
