Recently, we looked into Gauss, a mobile app that helps consumers build wealth while paying off credit cards. This fintech launched in 2021 and is located in New York City. According to their website, Gauss is good for people who have ever had unpaid credit card balances and/or use multiple credit cards. And with credit card debt at an all-time high, chances are Gauss could be a very relevant app for you or someone you know. Let’s look at what they have to offer.
The premise of Gauss is relatively simple – download their app, connect all your credit cards, and then open a low APR (14% as opposed to the average credit card’s rate of 24%) credit line with Gauss that you use to pay off your credit cards. Gauss doesn’t charge monthly fees or late fees, although if you make payments late it will still affect your credit score.
After using Gauss for at least three months, users can start earning rewards through the app, like an even lower APR rate, increased credit limits, and access to products or prizes.
Gauss classifies as a PFM app, so it helps users build a budget and debt payoff plan. Users also have 24-7 access to an AI-powered financial advisor to ask questions and get financial tips.
While this is one of several startups we’ve looked at that pertains directly to debt, Gauss definitely seems to be a hit. The idea of opening a credit line to pay off your credit cards isn’t necessarily new, but it is effective. Gauss seems to have entered the market at the perfect time to make a difference for the 3 in 5 people who carry credit card debt.
Overall our experience with the website was excellent. It was visually appealing, showed examples of what the app looks like, and has a ton of great info. Particularly notable are their comparison of using Gauss to other popular debt payoff routes, as well as their credit card payoff calculator that anyone can access to start forming a repayment plan. We also loved the practical, advice-oriented content we saw on their blog. All these things contributed to our motivation to actually try out the app.
In the FAQ section of the website, they pose the question “Is Gauss available in my state?” Their answer implies that currently it is not. We, however, had no issues downloading the app to try it out, and overall our experience with it was quite good. It was really easy to get started and connect cards via open banking.
One qualm we have is that it takes several months of use before users can start earning rewards. That’s fine if you’re already intrinsically motivated to be paying off your debt, but if you’re someone who needs those extrinsic motivators to get going, then Gauss might not be any different for you than other debt payoff systems you’ve tried. We also would love to see Gauss broaden their horizons in the future to provide features connected to saving and investing as well.
If you’re someone who has credit card debt and is seeking a low-risk yet effective method for paying it off, we think Gauss could be a great tool for you. Our experience with the company and the app were excellent, and we believe it could positively impact users’ financial health in many ways.