|Industry||Personal finance, Software, Financial technology|
|Founded||March 8, 2007|
|Headquarters||San Francisco, California, U.S.|
Number of employees
Credit Karma is an American multinational personal finance company founded in 2007, which 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 free tax preparation, 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.
All of Credit Karma’s services are free to consumers. Revenue from targeted advertisements for financial products offsets the costs of its free products and services. Credit Karma earns revenue from lenders, who pay the company when Credit Karma successfully recommends customers to the lenders.
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. Early investors included Chris Larson, CEO of Prosper, and Mark Lefanowicz, former president of E-Loan.
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. In 2013, Credit Karma 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 participation 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.
On December 30, 2015, Credit Karma acquired mobile notifications app developer Snowball for an undisclosed amount. As of 2015, Credit Karma had raised $368.5 million in financing, at a valuation of $3.5 billion.
In 2016, Credit Karma acquired money reclamation service Claimdog. On December 7, 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 also increased its workforce and opened offices in Los Angeles and Charlotte, North Carolina.
On May 9, 2017, Credit Karma launched Unclaimed Money in seven states. The product aims to help users find unclaimed money, such as unclaimed refunds and insurance payouts.
In December 2020, Intuit acquired Credit Karma for approximately $7.1 billion. The acquisition was initially delayed due to a DOJ antitrust lawsuit but it was finally approved after the company agreed to divest its free tax preparation service, known as Credit Karma Tax, which was a direct competitor to Intuit's TurboTax product. 
Products and services
Credit Karma also provides tax filing, loans, credit card, 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 financial recommendations based on each user's credit profile.
Credit Karma Tax, its free 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 TaxAct, TurboTax 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.
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If you get a product through one of our recommendations, the bank or lender pays us.
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