Tally, a San Francisco startup that gathered elite Silicon Valley investors behind its product for managing credit card debt, is shutting down. Founded in 2015, the company had raised $172 million in funding over the years. According to PitchBook, Tally was last valued at $855 million and had 183 employees.
“The financial system is designed to be intentionally complex, and we created Tally to level the playing field and put people’s hard-earned money back in their pockets. Credit cards are designed to trap people in a cycle of debt. Our debt-free system helps consumers pay off credit cards faster, empowering them to take control of their finances and make real progress towards their financial goals” – said at some point Jason Brown, Tally CEO & Founder.
The Tally’s mission was clear and simple: „to help more consumers get out of debt.”. Despite the fact that the need for which the company was founded is still very pressing in the market, it seems that Tally has been brought to its knees by the system.
Co-founder and CEO Jason Brown announced the news in a post to LinkedIn.
He said: „After nearly nine years of helping people manage and pay off their credit card debt, we have made the difficult and sad decision to shut down Tally. This was not the outcome we had hoped for, but after exploring all options, we were unable to secure the necessary funding to continue our operations.
From the start, Tally was built with a singular goal: to help people break free from the crushing burden of credit card debt. The idea was born from a personal place—having witnessed the stress and anxiety that debt can cause, I wanted to create something that could genuinely make a difference in people’s lives. Tally was designed to be more than just a tool; it was a financial coach working quietly in the background, automating payments and guiding users toward healthier financial habits. (…)
While this is the end for Tally, our expectation is that it is not the end of our mission. The need for financial tools that truly help people is as critical as ever. I hope that what we started with Tally will inspire others and influence new ideas and approaches to managing debt.„
The statement in full here: 𝐅𝐚𝐫𝐞𝐰𝐞𝐥𝐥 𝐭𝐨 𝐓𝐚𝐥𝐥𝐲 – 𝐀 𝐉𝐨𝐮𝐫𝐧𝐞𝐲 𝐭𝐨 𝐑𝐞𝐦𝐞𝐦𝐛𝐞𝐫
Tally’s model was initially designed to help people manage their credit cards and pay off high-interest debt through a lower interest loan that it offered. But in April, Tally announced it would be sunsetting its consumer app and shifting to B2B. At the time, the company said it had a launch partner, a “large publicly-traded consumer company with more than 50 million users,” that was launching in July. However, it never followed up with an announcement naming the company.
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Tally is a consumer tech company aiming to make people less stressed and better off financially through automation. Founded in 2015, the company built the first automated debt manager to help people pay down credit card debt and put billions of dollars back in their pockets. Tally was named to Fast Company’s 2021 Most Innovative Companies list and Forbes’ 2020 Next Billion-Dollar Startup list. Its automated debt manager was awarded Real Simple’s 2020 Smart Money Award as the best app for paying down debt.
Banking 4.0 – „how was the experience for you”
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