Online lending is having a tough year, with executive shake-ups and layoffs roiling industry leaders like Lending Club and Prosper Marketplace. But that has not deterred Goldman Sachs from moving forward with plans to introduce a online lending product of its own, aimed at prime consumer borrowers. The existence of the project, cloaked in secrecy even within the bank, has been public knowledge since last summer. Now we know the product’s name: Marcus, after cofounder Marcus Goldman.
Goldman plans to launch Marcus in early October. It will join the growing operations at GS Bank USA, the division through which Goldman has started taking online deposits and serving Main Street customers. The firm’s growing deposit base, today north of $100 billion, provides a new source of liquidity and the means through which to diversify its funding sources.