Credit Karma Expands Credit Karma Money™ to Small Business Employees through Intuit QuickBooks Integration

Rhea-AI Summary

Credit Karma, with over 100 million U.S. members, integrates its Money platform with Intuit's QuickBooks Online Payroll, enhancing payroll management for small business employees.

This partnership allows employees to deposit paychecks directly into Credit Karma Money Spend accounts, helping them save on banking fees. QuickBooks Payroll processes payments for over 15 million employees, totaling over $208 billion annually.

This integration aims to improve financial management for small business workers, particularly those earning under $50,000, by offering features like instant paycheck access and fee-free banking.

Positive

• Integration with QuickBooks Online Payroll enables seamless paycheck deposits into Credit Karma Money accounts.
• Credit Karma Money offers no minimum balance, hidden fees, and access to 55,000 ATMs.
• Potential for early paycheck access up to two days before payday.

Negative

• None.

Credit Karma, the consumer technology platform with more than 100 million members in the U.S., today announced its integration of Credit Karma Money and Intuit (Nasdaq: INTU) QuickBooks Online Payroll, the number one online payroll provider for small businesses¹.

Consumers pay more than $30 billion in banking fees each year. Through this integration, Credit Karma and QuickBooks hope to keep more money in the pockets of hard working small business employees, giving them the option to deposit their paycheck into a Credit Karma Money Spend account². Now, employees paid through QuickBooks Payroll can seamlessly sign up to have their paycheck automatically deposited into a Credit Karma Money account.

In fiscal year 2020, QuickBooks Payroll products processed payments for more than 15 million employees, accounting for more than $208 billion in payroll annually. This initial integration with QuickBooks Online Payroll will enable Credit Karma to rapidly scale Credit Karma Money, the company's biggest venture to date, while also giving employees paid through QuickBooks Payroll a better way to spend, save and manage their money.

“When we joined forces with Intuit, we knew there would be opportunities for our businesses to partner to build a more holistic financial ecosystem for members to manage all aspects of their finances all in one place and their paycheck is a major part of that,” said Ken Lin, Founder and CEO of Credit Karma. “This integration will enable us to reach small businesses and provide their employees, many of whom are living paycheck to paycheck, with a better overall checking and saving experience.”

Credit Karma Money is a money experience that offers free-to-open checking and savings accounts³ with no credit checks, no minimum balance to open and no hidden fees, along with access to a fee-free network of more than 55,000 ATMs nationwide for members with Spend accounts⁴. Customers who sign up for Credit Karma Money Spend will also have access to features like Instant Karma™, which incentivizes good spending behavior by giving members a chance to win back their money when they spend cash they already have in their accounts.⁵

Employees can now opt to deposit their paycheck into Credit Karma Money through their employee portal, QuickBooks Workforce, which gives them on-demand access to their pay stubs, hours worked and W2s. In the coming months, Credit Karma Money will also integrate with QuickBooks Desktop Payroll, providing even more small business employees with the option to open a Credit Karma Money Spend or Save account and, for some, the potential to receive paychecks up to two days in advance of their designated payday.

“More than 70 percent of employees paid through QuickBooks Online Payroll are hourly wage earners who make less than $50,000 a year,” said Laurent Sellier, Vice President and Business Leader, Intuit QuickBooks Online Payroll. “The integration between Credit Karma Money and QuickBooks Payroll will make it easy for small business employees to manage their money and keep more money in their pockets.”

This marks the second integration since the close of Intuit’s $8.1 billion acquisition of Credit Karma, and the latest example of the companies partnering to deliver a more integrated product experience for their customers, quickly and at scale.

Credit Karma is an independent third-party and is not a bank. The Credit Karma platform facilitates the opening and managing of Spend and Save accounts offered through our bank partner MVB Bank, Inc., Member FDIC.

About Credit Karma
Founded in 2007 by Ken Lin, Credit Karma, an Intuit company (Nasdaq: INTU), is a consumer technology company with more than 110 million members in the United States, U.K. and Canada, including almost half of all U.S. millennials. While best known for pioneering free credit scores, the company’s members turn to Credit Karma for everything related to their financial goals, including identity monitoring, applying for credit cards, shopping for loans (car, home and personal), savings accounts and now checking accounts through our bank partner, MVB Bank, Inc., Member FDIC — all for free. Learn more about how Credit Karma members are making financial progress on TikTok, Instagram, Facebook and Twitter.

About Credit Karma Money
Credit Karma Money is a new money experience from Credit Karma, the personal finance platform more than 100 million Americans already trust. Credit Karma Money Save accounts are free, interest-bearing savings accounts with no fees, no minimum to open and no catches. Newly launched, Credit Karma Money Spend accounts are checking accounts free of hidden fees with features like up to two-day early access to paychecks⁶ and Instant Karma, which incentivizes good spending behavior by giving members a chance to win back their money when they spend cash they already have in their accounts. Learn more about Credit Karma Money and how to make smart money moves on TikTok. To open a Spend account, visit CreditKarma.com/checking.

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About Intuit
Intuit is a global technology platform that helps our customers and communities overcome their most important financial challenges. Serving approximately 100 million customers worldwide with TurboTax, QuickBooks, Mint and Credit Karma, we believe that everyone should have the opportunity to prosper. We never stop working to find new, innovative ways to make that possible. Please visit us for the latest information about Intuit, our products and services, and find us on social.

¹ Based on the overall number of customers for QuickBooks payroll products as of 06/2020.

² Banking services provided by MVB Bank, Inc., Member FDIC. Maximum balance and transfer limits apply per account.

³ Credit Karma Money Save: Maximum balance and transfer limits apply. Maximum 6 withdrawals per monthly savings statement cycle.

⁴ Third-party fees may apply. Please see Account Terms & Disclosures for more information. Free withdrawals available at ATMs in the Allpoint® network. Fees may apply for ATM transactions outside this network.

⁵ NO PURCHASE NECESSARY. Spon. by Credit Karma, LLC. Ends last day of month. Entrants must be at least age of majority & legal resident of 50 US or DC (except FL & NY). Void where prohibited. To enter, use applicable debit card or enter by mail to Credit Karma, LLC, PO Box 30963, Oakland, CA 94604. Official Rules at creditkarma.com/lp/sweepstakesrules-checking#instant

⁶ Early access to paycheck is compared to standard payroll electronic deposit and is dependent on and subject to payor submitting payroll information to the bank before release date. Payor may not submit paycheck early.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210818005246/en/

FAQ

What is the significance of Credit Karma's integration with QuickBooks Online Payroll?

The integration allows employees to directly deposit paychecks into Credit Karma Money accounts, improving payroll management.

How many employees does QuickBooks Payroll serve?

QuickBooks Payroll processes payments for over 15 million employees, managing over $208 billion in payroll annually.

What financial features does Credit Karma Money offer?

Credit Karma Money provides no-fee checking and savings accounts with no minimum balance requirements.

When was the integration between Credit Karma Money and Intuit QuickBooks announced?

The integration was announced in a press release dated August 18, 2021.

What percentage of QuickBooks Payroll employees earn less than $50,000 annually?

More than 70% of employees paid through QuickBooks Online Payroll earn less than $50,000 a year.