There are a number of websites that claim to provide the same services for free. However, by the time you sift through the scammers and the less than useful sites, you are left with only one seemingly worthy contender. Credit Karma is fully legit and is accredited with an A+ rating by TRUSTe and the Better Business Bureau (BBB). This puts to bed any doubts about it being a scam and leaves us with only one question: does it offer the whole package?
Registering for Free Account
In case you still carry unfounded doubts about its legitimacy, the fact that the website does not store your credit card information should put your mind at ease. On registration, the only sensitive information you may have to provide is your identification details as it uses this to pull your records from various databases. Other than that, the usual monitoring of the login behavior and a few other non-essential information are the only things the site will remember.
Signing up is quick and easy. Furthermore, your details are protected by SSL technology. It also does not collect information about your location or even Social Security Number – with the exception of the last four – as an added measure of security.
Once you sign up, you are able to access all the services for free. Credit rating sites often give you a 7-day trial period before imposing their monthly fee, so on this score Credit Karma looks to bring a better deal to the table. Thanks to this, you do not need a credit card to enjoy their services.
How Accurate Is Their Reporting?
It is natural to think that the services offered by a free credit rating site would be mediocre at best. However, Credit Karma once again proves to be worthy as it gathers its information from two of the biggest, most trusted rating bureaus. As such, the accuracy of your credit report should not be in question seeing that Credit Karma retains world-class standards despite being completely free.
Additionally, you will be able to access information on a weekly basis as the site regularly updates your credit score every week. This may be a crucial feature if you are looking to strictly monitor your credit score, although some may find it less than useful given that not a lot of credit activity goes on in a week. They also have a program that allows you to project how your current decisions will impact on your future credit score.
Granted your credit scores will differ from FICO scores, Credit Karma uses TransUnion which is still able to give you a good visualization of your current standing and determine your worthiness. Lenders prefer to use FICO scores when determining your credit worthiness so at some point, FICO becomes a necessity. Furthermore, the use of a different source of credit data results in credit scores that are dissimilar from the Experian Vantage credit scores you might be used to.
With the data obtained from TransUnion and Equifax credit data, Credit Karma is able to provide Vantage Credit Score 3.0. Similarly, the credit reports are also generated from the two databases. The credit score, although accurate, is not a FICO credit score.
It may not be the preferred money lenders’ FICO choice but Credit Karma still holds its own as a good credit rating website to help make an informed decision on whether or not you need credit repair services. Their website is relatively easy to use and it comes with an assortment of useful services and information, all of which you can access for free. The frequent updating of the reports and collection of online tools gives you the power to monitor your credit score and plan your finances accordingly.