The program will allow more than 110 million U.S. members to earn cash back when they spend money at specific merchants using their Credit Karma Visa debit card. It is being powered by Cardlytics’ cash back platform, which gives Credit Karma members access to the Cardlytics’ network of thousands of merchants, including major brands such as adidas and Shake Shack. The offering also gives customers cash back when they shop with small local businesses across the U.S.
The move to launch cashback rewards aims to solidify Credit Karma Money’s efforts toward making financial services more inclusive, allowing members to earn cash back when they spend. The move also incentivizes consumers to spend within their means by giving them the chance to earn cash back for practicing good financial habits.
“Cash back benefits and other such rewards have historically been reserved for credit cards. Specifically, those that are most often only obtained by consumers with prime credit,” said SVP and GM of Credit Karma Money and Tax Poulomi Damany.
“That didn’t seem fair to us. That’s why we sought to deliver cash back rewards to our members for spending with retailers they already know and love. The best part? They’re able to earn cash back for spending money they already have, resulting in more money in Americans’ pockets.”
When members use their Credit Karma Visa debit card to make a purchase at any merchant within Cardlytics’ network, they are automatically considered for cash back rewards. Purchases can be made both in-store and online, in most cases.
“Checking accounts are one of the oldest financial products on the market and yet, they’ve largely remained unchanged. In fact, most traditional checking accounts today don’t do much more than safely hold people’s money while charging unnecessary fees. We wish to change that,” said Satyen Motiani, product manager for Credit Karma Money. “We’ve built Credit Karma Money to do more for our members and that starts with helping them develop better financial habits and giving them ways to make their money go further. Cash back rewards from Credit Karma Money is the latest example of that.”
