Pros & Cons
- Funds available instantly.
- Automatically pays high-interest cards first.
- Offers direct payment to creditors.
- Option to change your payment date.
- No hard credit pull.
- May report payments to none or one of the three major credit bureaus.
- May charge a membership fee.
Compare to Other Lenders
2 to 5 years
2 to 7 years
Min. credit score
Min. credit score
Min. credit score
Compare estimated rates from multiple lenders
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Tally is a mobile app that offers users a personal line of credit to consolidate debt across multiple credit cards. The app uses an algorithm that targets users’ highest-interest cards first, which the company says can help clear debt fast. Line of credit amounts range from $2,000 to $25,000.
The app has three membership levels that give users access to various debt-payoff features. As with most consolidation options, Tally’s line of credit is a good choice only if it’ll lower your interest costs.
» COMPARE: Debt consolidation options in your state
Tally is best for borrowers who:
Want to pay down high-interest credit cards.
Don’t plan to continue using the cards they’re paying off.
Need help sticking to a debt payoff strategy.
How Tally works
To start consolidating your debt with Tally, you’ll need to provide some personal and credit card information. Here’s how it works.
Download the app and set up an account. Tally asks for your email address and a password.
Add basic information and get an approval decision. Enter a phone number, address, income and birthday, and approve a soft credit check, which doesn’t impact your credit score. If approved, Tally will display your approved credit line amount and annual percentage rate.
Add credit cards. You can scan your credit cards with your phone’s camera or enter their information. The app will connect to your credit card accounts and analyze your balances.
Accept the offer. Accept the terms and conditions of the offer you receive.
Link a checking account. Tally uses your bank account for repayment.
Tally pays your credit cards. With your approval, Tally will pay the balances on any credit cards with a higher APR than the credit line. In turn, you make monthly payments to Tally.
How Tally pays off your credit cards
If Tally’s credit line is larger than your total credit card debt and has a lower APR: Tally will use the line of credit to pay off the cards, and you’ll be left with one monthly payment to Tally. You’ll pay interest on only the amount of the line of credit that you use.
If your Tally credit line is smaller than your credit card debt: Tally uses the credit line to pay high-interest cards first. The app can also pay your minimum balances on lower-interest cards as payment protection, even if that amount surpasses the credit line amount, and you’d pay Tally back. As you repay the app, more of the credit line becomes available and the app pays more of your balances.
If Tally’s APR is lower than some of your credit cards': Tally won’t pay off your credit cards that have APRs that are lower than the APR on your line of credit. Still, users can set up automatic payments from a linked checking account to manage those card payments through Tally.
Debt consolidation calculator
A debt consolidation calculator can help you decide if consolidation is right for you. The calculator below will suggest ways to consolidate your debt and estimate your savings.
How to qualify for a Tally line of credit
To meet Tally’s basic requirements, applicants must:
Be 18 or older.
Have a 580 or higher FICO score.
Be a U.S. resident.
To qualify you, Tally considers information like income, history of credit card delinquency and existing debts. It doesn’t require a specific minimum income, nor does it disclose other qualification criteria, but here are user averages:
Debt-to-income ratio: 38%.
Monthly free cash flow: $3,600.
Tally Basic membership: Users who get a credit line have a Tally Basic membership. There are no fees with this option, but you will pay interest on the credit line.
Tally+ membership: With Tally+, some qualified users receive a larger credit line and monthly discounts for making on-time payments. This membership costs $300 per year, which you pay out of your credit line upfront. On average, rates are lowered by 4 percentage points, according to Tally’s website.
Tally membership: Users who aren’t approved for a line of credit can still use the app’s debt management features, which include setting up automatic payments and reminders. Users can choose a debt-payoff strategy — snowball, avalanche or targeting cards with the highest utilization — and Tally will help you follow it. The app can use a linked checking account to make minimum credit card payments to avoid late fees. This membership costs $4.99 and is available to iOS users.
Where Tally stands out for debt consolidation
Prioritizes high-interest cards: The app optimizes your monthly payments, so you pay down the highest-interest debt first. That way, you don’t have to do the work of determining how much to pay toward each card, and you can save money on interest.
Fast approval and access to funds: Tally makes an instant approval decision, and funds are available immediately. This is faster than some personal loans and balance transfer cards, which can take a week or longer.
Debt payoff features: Even if you don’t use a line of credit, the app allows you to pick a debt payoff strategy and automatically applies it as it makes payments from your checking account. Though the feature isn’t free, it may be worth $4.99 if it simplifies payments and helps you avoid late fees.
Where Tally falls short for debt consolidation
Reports payments to none or one of three credit bureaus: Tally reports payments to only one of the three major credit bureaus, Experian, and in some cases may not report payments at all. Having payments reported to all three bureaus (the other two are Equifax and TransUnion) ensures that future creditors can consider positive credit behavior when deciding your rate.
How Tally compares
Tally vs. personal loans: Some of the best debt consolidation loans have slightly lower rates than Tally, so it may be helpful to pre-qualify for a personal loan to preview offers. Some lenders also offer discounts or let you add a co-applicant to lower your APR, which Tally doesn’t do.
Debt consolidation loans can pay off your credit cards in a lump sum and leave you with just one monthly payment. Though Tally’s algorithm chooses which cards to pay, if you qualify for a low-rate personal loan that’s larger than your credit card debts, it may be easiest to pay them all off at once.
Tally vs. balance transfer cards: Borrowers with good or excellent credit may qualify for a 0% APR balance transfer card. Some balance transfer cards require a one-time fee that’s usually 3% to 5% of your balance. These cards are an especially good option if the card’s credit limit is high enough to cover your existing debts and if you can pay it off within the interest-free promotional period, usually 15 to 18 months.
A previous version of this article misstated some features of the Tally+ membership. This article has been corrected.
How to apply for a Tally line of credit
Pre-qualify on NerdWallet
NerdWallet recommends comparing options like Tally with personal loans to find the best rate. Select “Check rates on NerdWallet” below to pre-qualify. You may receive personalized rates from multiple lenders that partner with us. Pre-qualifying will not impact your credit score.
Apply with Tally
Download the Tally app, create an account and enter some basic information to see if you qualify for a credit line.
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