Credit Karma Review
Credit Karma is a web site that offers free credit scores. It was the first to offer this service. Many people were skeptical about Credit Karma’s legitimacy. In the past, free credit scores appeared to be a trick to get you to sign up for a credit monitoring service. Credit Karma offers free credit scores, but there are no strings attached. They will most certainly use the scores to get into other things.Credit Karma Review
Credit Karma requests too many personal details before it can give you your credit score. Before you give up your credit score to Credit Karma, we recommend that you consider other options. There are many options available.
Credit Karma is a financial company that provides leads to other financial companies. Credit cards are the most popular. Credit Karma can help you determine if you are eligible for a credit card. Credit Karma can give you free credit scores. However, they make enough money to make these scores a marketing expense. The best way to sell financial products to you is to collect as much personal information as possible. We’ll get to that.
Let’s start with those scores. Credit Karma provides Vantage Score credit scores that are based on data from Equinox and Trans Union, two major credit reporting agencies. Credit Karma does not offer scores from Experience. These scores may not be the same scores any lender would use. First, lenders often use FILO scores to approve loans. These scores are not RICO scores. RICO uses a different formula than Vantage Score. Vantage Score, a credit score that is not based on the credit reporting agencies’ own formulas, is an alternative credit score. In order to make their approval decisions, each lender uses a different version of a credit score. Some might be more focused on your ability to pay on time, while others may place more emphasis on the amount of outstanding debt.
This is not to say Credit Karma scores aren’t valuable. They do. However, this value lies in understanding how your credit score has changed over time. Is it going up or down? Why and how can you improve it. It doesn’t matter how exact the number is, as long as you understand at least some of what your credit score might be to a lender. It is impossible to know what your credit score will be to a lender. Lenders can decide what credit score they use, and what credit score is required to obtain a mortgage, credit card, or auto loan. It is still a good idea to keep track of your progress and see if you are eligible for different loans.
We now return to Credit Karma. Before they will give you a free credit score, they want lots personal information. We find it most galling that they require you to provide your cell phone number as well as your annual income in order to obtain the goods. We find that this is too aggressive and too much. You can get a free credit score with basic information such as your name, address, and Social Security information. The income and number information are just for the purpose of selling you future stuff.
Bottom line: Credit Karma credit scores can be obtained for free, but they do require something in return. You decide how much money you are willing to give.