Credit Karma has become a popular platform for accessing credit scores and financial insights. You’ve probably seen their commercials. But have you ever wondered how does Credit Karma make money? Here’s a quick look at their business model.
Credit Karma’s primary source of revenue stems from targeted advertising and collaborations with financial institutions. By leveraging users’ personal credit profiles, they offer tailored product recommendations, such as credit cards or loans, earning commissions when users sign up for these products through their platform.
Moreover, Credit Karma provides free credit monitoring services and financial insights to users. This approach aims to attract a sizable user base, which in turn generates revenue through partnerships and advertising.
In essence, Credit Karma’s success lies in their ability to provide free services to users, who provide their personal information, which is monetized through targeted advertising.
