CreditKarma

[PedroDaGr8]

I know they have had some ads recently but I have to say, I really like their site for keeping an eye on my credit scores. They are free and one thing I like. This was from an AMA (Ask Me Anything) on Reddit, someone asked how they make money:


This is a very fair and important question. When we pull credit, we are able to determine how much you are currently paying for your loans. When we see an opportunity for you to save money, we will point it out.

If you take advantage of that opportunity, we should make money, you should save money, and the bank should get a new customer. The loser in the equation was that bank that was charging too much.

The most important part is that you are under no obligation to click or use any of the offers. Many users don't. And I suspect many of you have ad-block. That is okay. We are as mission driven around education and access as we are a for-profit business.

Also let me point out that we don't make money by selling your information. It is against our privacy policy and we hate those tactics as much as you do.

I don't have THAT much movement on my scores but it is still nice being able to see my TransUnion and Experion credit scores and account information. Just a heads up for those that may have not tried it yet.

[KSRBEvans]

I've used them for a couple of years and like them, too.

[PedroDaGr8]

Just bumping then because CreditKarma is planning on offering 100% free tax preparation. Their claim is just like their credit monitoring there will be no hidden-fees (such as filing for state) or upselling:

https://www.creditkarma.com/tax

I know many here likely use an accountant for their taxes, but for those who have very simple returns, like me, this is a great deal.

[KSRBEvans]

That is very interesting. Thanks for the info.

Looks like they're doing state returns, too, and will support (https://help.creditkarma.com/hc/en-us/articles/217378726) more than EZs.

Sounds like they make their $ on ads they'll float during the process. Assuming they're not obtrusive, I'd be very willing to put up with that for a free return. I'll probably take a run at this and see how it goes. If it's a mess or it looks like they're missing some things, you can always back out and do it a different way.

[PedroDaGr8]

That is very interesting. Thanks for the info.

Looks like they're doing state returns, too, and will support (https://help.creditkarma.com/hc/en-us/articles/217378726) more than EZs.

Sounds like they make their $ on ads they'll float during the process. Assuming they're not obtrusive, I'd be very willing to put up with that for a free return. I'll probably take a run at this and see how it goes. If it's a mess or it looks like they're missing some things, you can always back out and do it a different way.

Actually, it comes from you using their service and taking their recommendations. From the Forbes article:


Its entire business model is predicated on suggesting credit cards and loans that its users are likely to be approved for. For every successful match, it earns a small commission. Credit Karma has traditionally been able to do this by leveraging the data that sits on its users' credit reports.

Importantly, they are not selling your information to third parties. As their CEO said: "I hate having my data sold so I make it a rule that we won't do it.". Instead, they use your information internally to give you recommendations. They then make their money off of the commissions they get when you sign up for a recommendation. They have a variety of credit cards, banks and loan providers that have signed up with them. Mainly because they offer a higher hit rate than almost anyone else.

Also, for those that care. The CEO of Credit Karma posts on Reddit somewhat regularly. He posted this list of supported forms this morning:


Form 1040 Schedule A Schedule B Schedule C Schedule D Schedule E Schedule EIC Schedule F Schedule H Schedule J Schedule R Schedule SE
Form W-2 Form W-2G Form 1099-C Form 1099-R Form 1099-G Form 1099-INT Form 1099-DIV Form 1099-MISC Form 1099-SA Form RRB-1099 Form SSA-1099 Form 982 Form 1116 Form 1310 Form 2106 Form 2210 Form 2441 Form 3468 Form 3800 Form 3903 Form 4136 Form 4137 Form 4562 Form 4684 Form 4797 Form 4835 Form 4868 Form 4952 Form 4972 Form 5329 Form 5405 Form 5695 Form 5884 Form 6198 Form 6251 Form 6252 Form 6478 Form 6781 Form 8283 Form 8379 Form 8396 Form 8582 Form 8586 Form 8606 Form 8615 Form 8801 Form 8812 Form 8824 Form 8829 Form 8834 Form 8839 Form 8853 Form 8859 Form 8862 Form 8863 Form 8880 Form 8888 Form 8889 Form 8910 Form 8917 Form 8919 Form 8936 Form 8941 Form 8959 Form 8960 Form 8962 Form 8965 Form 9465
Form 1040X

[KSRBEvans]

^Yes, I saw that, but ultimately if I don't want to get another credit card the worst thing that happens is I ignore their ads & invites. I don't have to get the credit card to do my taxes with them.