Google is bullish on free credit reports, apparently.
Google Capital, the search giant’s newest venture fund, has poured $85 million into Credit Karma, a San Francisco-based startup that provides free credit scores to consumers.
People visiting Credit Karma can take a free peek at their credit score weekly, which is based primarily on information from credit-rating agency TransUnion. The site has over 20 million registered folks, up from about 9 million a year ago, according to chief executive Ken Lin.
Credit Karma requires a Social Security number to open an account, but it doesn’t store that information. Lin also said that it doesn’t plan to begin sharing information about its members with Google following the investment. The startup earns its revenue from advertising, which is primarily for financial services like credit cards and loans.
Google Capital financed roughly half of the $85 million round, with the rest coming from Tiger Global, Ribbit Capital, and Susquehanna Growth Equity.
With its total financing now at $118.5 million, Credit Karma plans to double its 110-employee workforce and introduce new products over the coming year. The firm has made it clear that it aims to provide free services for which consumers have traditionally had to shell out their hard-earned dough.
VentureBeatVentureBeat's mission is to be a digital town square for technical decision-makers to gain knowledge about transformative technology and transact. Our site delivers essential information on data technologies and strategies to guide you as you lead your organizations. We invite you to become a member of our community, to access:
- up-to-date information on the subjects of interest to you
- our newsletters
- gated thought-leader content and discounted access to our prized events, such as Transform 2021: Learn More
- networking features, and more