US-based online credit and financial management service Credit Karma has raised an $85m series C round of funding led by corporate venturing unit Google Capital, and featuring existing private equity investors Ribbit Capital and Susquehanna Growth Equity, and new investor Tiger Global, an investment firm that invests in private equity funds and partnerships. Following the latest investment, Credit Karma, has raised $118.5m in total.
Credit Karma intends to use the new capital to invest heavily in new, free services to help consumers better understand and manage their finances, and to make finding and applying for new financial services products intelligent and seamless. Credit Karma also plans on hiring new staff to meet these goals.
Over the past year the company experienced triple-digit percentage growth in site membership, revenue and headcount.
Since its launch in 2008, Credit Karma has provided more than 20 million US consumers access to their credit score. Its mission is to deliver resources and financial education to consumers for free. Through its platform, the company aims to reduce the friction inherent in financial decisions and transactions through data-driven recommendations and deep partner integrations.
“Consumers want a trusted, secure service to provide personalized financial information that is easy to understand,” said Google Capital partner David Lawee, who will join Credit Karma’s Board of Directors. “Credit Karma delivers on these extremely high expectations at no cost to consumers. They have established a trusted brand that brings an unprecedented level of transparency to the market. We’re excited to see what’s ahead for the company and to become partners in that vision.”
Google Capital’s investments to date also include SurveyMonkey, Lending Club, and Renaissance Learning. Tiger Global’s private investments have included SurveyMonkey, Warby Parker, Yandex, Facebook and Linkedin.