What are your credit limits on those cards ? Its better to get them down to under 29% of your limit, best to under 9%.
Starting Score: 512
@Annabe wrote:Okay, So I have 3 Cards with balances which are...
Card #1 $2589 @Anonymous.49% Limit $2750
Card #2 $2672 @Anonymous.24% Limit $2900
Card #3 $2457 @Anonymous.49% Limit $3000
So, I downloaded the App called Tally and they approved me for a Running Line of Credit for $12k @17.49%
So, Question is: Would it benefit me to let Tally pay all 3 of these cards off for me and I just make 1 payment to Tally?
Yes it would benefit you.
Once you pay down the cards. Use them only like a debit card to get some cash back. Put swipe fever away for good. Seen too many get consolidation loans and then run up the cards again. Double the trouble. Good Luck!
@Annabe wrote:Okay, So I have 3 Cards with balances which are...
Card #1 $2589 @Anonymous.49% Limit $2750
Card #2 $2672 @Anonymous.24% Limit $2900
Card #3 $2457 @Anonymous.49% Limit $3000
So, I downloaded the App called Tally and they approved me for a Running Line of Credit for $12k @17.49%
So, Question is: Would it benefit me to let Tally pay all 3 of these cards off for me and I just make 1 payment to Tally?
It really depends. Please correct me if I'm wrong but judging from the data you provided, including your balances versus your credit limits, plus the fact you're thinking about consolidating them, it looks like you might be in trouble, or heading for trouble. You have low limits, high APRs and high utilization. Consolidating those cards, with a lower APR, can certainly benefit you, but my concern is something @FireMedic1 brought up: I'd be concerned about running up the credit cards again after they're paid off.
If you're *sure* you can refrain from using your cards after paying them off, then your idea of consolidating them may be good. But if you know you're going to cave in and start charging things again, you're going to find yourself in double trouble.
UPDATE: Are you aware of the $300 annual fee Tally charges? I had never heard of Tally until this thread; I just did a little research and found "The $300 annual fee is paid directly from your credit line--nothing out of pocket!" After you factor that in...well, I wouldn't do it.
@SoCalGardener wrote:
@Annabe wrote:Okay, So I have 3 Cards with balances which are...
Card #1 $2589 @Anonymous.49% Limit $2750
Card #2 $2672 @Anonymous.24% Limit $2900
Card #3 $2457 @Anonymous.49% Limit $3000
So, I downloaded the App called Tally and they approved me for a Running Line of Credit for $12k @17.49%
So, Question is: Would it benefit me to let Tally pay all 3 of these cards off for me and I just make 1 payment to Tally?
It really depends. Please correct me if I'm wrong but judging from the data you provided, including your balances versus your credit limits, plus the fact you're thinking about consolidating them, it looks like you might be in trouble, or heading for trouble. You have low limits, high APRs and high utilization. Consolidating those cards, with a lower APR, can certainly benefit you, but my concern is something @FireMedic1 brought up: I'd be concerned about running up the credit cards again after they're paid off.
If you're *sure* you can refrain from using your cards after paying them off, then your idea of consolidating them may be good. But if you know you're going to cave in and start charging things again, you're going to find yourself in double trouble.
UPDATE: Are you aware of the $300 annual fee Tally charges? I had never heard of Tally until this thread; I just did a little research and found "The $300 annual fee is paid directly from your credit line--nothing out of pocket!" After you factor that in...well, I wouldn't do it.
Good catch. It will still help OP's score, but OP better be sure to get rid of the Tally line of credit before a year passes and the next annual fee hits.
