How Does Credit Karma Make Money?

Credit Karma is a service that allows you to improve your financial wellbeing and credit worthiness.  

Its free credit scoring and monitoring reports became one of the key growth pillars when the service first launched back in 2008.

The founders, led by CEO Kenneth Lin, raised over $868 million in funding throughout its existence. 

Credit Karma’s continuous success prompted software giant Intuit to spend $7.1 billion in 2020 to acquire the service. 

But how does Credit Karma, which is completely free to use, actually make money? 

Bank and lending partners pay Credit Karma a fee whenever you sign up or click on one of the offers that it promotes.


Credit Karma offers a debit card to account holders.  It collects interchange fees whenever users pay with the card. 


Unused cash held within your account is deposited into interest-bearing bank accounts.


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