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Company Profile

Credit Karma

Credit Karma is an American multinational personal finance company founded in 2007. It has been a brand of Intuit since December 2020. It is best known as a free credit and financial management platform, but its features also include monitoring of unclaimed property databases and a tool to identify and dispute credit report errors. The company operates in the United States, Canada and the United Kingdom.

History
Kenneth Lin, who previously founded Multilytics Marketing and worked with E-Loan and Upromise, launched Credit Karma in 2007 with co-founders Ryan Graciano and Nichole Mustard. The website went live in February 2008. In November 2009, Credit Karma closed a $2.5 million Series A funding round led by QED Investors, with participation from SV Angel, Felicis Ventures and Founders Fund. By 2013, the company secured $30 million in Series B funding led by Ribbit Capital and Susquehanna Growth Equity. In March 2014, Credit Karma raised $85 million in Series C financing, led by CapitalG, with contributions from Tiger Global Management and existing investors. The company followed that with $75 million in follow on funding in September 2014 from CapitalG, Tiger Global Management and Susquehanna Growth Equity. As of 2015, Credit Karma had raised $368.5 million in financing, at a valuation of $3.5 billion. By December 2015, the company acquired mobile notifications app developer Snowball for an undisclosed amount. In 2016, Credit Karma acquired money reclamation service Claimdog. In December 2016, Credit Karma acquired AFJC Corporation, owner of OnePriceTaxes.com, to accelerate its entry into the tax preparation market. Related to the launch of tax preparation services, the company increased its workforce and opened offices in Los Angeles and Charlotte, North Carolina. In August, it acquired mortgage platform Approved for an undisclosed amount. In May 2019, Credit Karma expanded into the United Kingdom by acquiring the customers of Noddle, a credit reporting service, from TransUnion. In December 2020, Intuit acquired Credit Karma for approximately $7.1 billion. The acquisition faced delays due to a DOJ antitrust lawsuit. To address these concerns, Credit Karma agreed to divest its free tax preparation service, Credit Karma Tax, which competed directly with Intuit's TurboTax product. That same month, Credit Karma announced that it was moving its headquarters across San Francisco Bay from San Francisco to Oakland. In August 2021, Credit Karma reached an agreement with NBA franchise Houston Rockets to have the company's name appear on the team's jerseys beginning in the 2021 season. In September 2022, the Federal Trade Commission (FTC) ordered Credit Karma to pay its users $3million for "false claims" that impacted their credit scores. Nearly one-third of pre-approved users who applied for credit cards were eventually denied following a credit check, costing their time and a negative impact to their credit score. Credit Karma reached a settlement with the FTC and stated that the company is paid only when users are approved for products like credit cards. A May 2025 Fox Business article highlighted the Southwest Public Policy Institute’s study "Swipe Right". The report found that platforms like Credit Karma, NerdWallet, and LendingTree expand access to credit by helping consumers compare financial products more effectively. == Products and services ==
Products and services
Credit Karma provides free credit scores and credit reports in the United States, Canada and United Kingdom from national credit bureaus TransUnion and Equifax, alongside daily credit monitoring from TransUnion. Unlike Equifax and Experian, Credit Karma are also a credit broker. Credit Karma also provides identity theft protection and credit tools, such as a Credit Score Simulator which simulates the effect of potential financial actions on a user's credit score; and tailored recommendations for credit cards and personal loans. Credit Karma Tax, its free United States tax filing service, was announced in December 2016. Credit Karma Tax does not participate in the Free File Alliance, and so is not bound by its requirements to restrict eligibility for free filing. The company's primary competitors in this area are TurboTax (also owned by Intuit), TaxAct, and H&R Block. In November 2020, Square, Inc. announced it was acquiring Credit Karma Tax for $50 million and would make it a part of its Cash App unit. == See also ==
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