FTC sends $2.5 million to consumers deceived by Credit Karma’s “pre-approved” credit offers

The Federal Trade Commission took action against Credit Karma in 2022, alleging that the company told consumers they were “pre-approved” and had “90% odds” of approval to entice them to apply for credit card offers that, in many instances, they ultimately did not qualify for. Credit Karma later agreed to to stop making these types of deceptive claims and to pay money to compensate consumers who were harmed. As a result, the FTC is now sending a total of more than $2.5 million to the 50,994 consumers who filed a valid claim before the March 4, 2024 deadline. Details are here.