Intuit to Buy Credit Karma to Create Financial Data Giant

Intuit to Buy Credit Karma to Create Financial Data Giant

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SAN FRANCISCO — Intuit, the parent company of TurboTax and Mint, agreed on Monday to pay $7.1 billion for Credit Karma, a start-up that has become one of the most popular financial applications for young consumers.

The deal underscores the value of the financial data of ordinary Americans. Credit Karma grew to be worth billions of dollars by giving consumers access to their credit scores and then used the information to serve them advertisements for new credit card and loans.

Intuit has long been focused on helping businesses and consumers organize their financial data with products like QuickBooks and Mint. But the company belongs to an older generation of online financial firms and has been looking for ways to appeal to younger audiences.

Credit Karma says it has 100 million customers, including a third of all Americans who have a credit profile and half of all millennials.

The start-up has been at the leading edge of a large group of start-ups in the financial technology sector that have encouraged younger consumers to make more of their financial decisions online and through their phone.

Nathaniel Popper reported from San Francisco and Michael de la Merced from London.



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