$49 Credit Karma Settlement – Eligibility Details and Payment Dates Announced

If you applied for a “pre-approved” credit card through Credit Karma between February 2018 and April 2025—and then got denied—you could be eligible for a $49 payout. Yep, this is all part of a $2.5 million settlement resolving claims that Credit Karma misled users into applying for credit cards they weren’t actually pre-approved for.

This guide will help you figure out if you’re eligible, what to expect, and how to claim your payment before time runs out.

Background

Credit Karma built its brand on free credit scores and personalized offers. But according to the Federal Trade Commission (FTC), the company pushed “pre-approved” credit card offers that weren’t really guaranteed.

Thousands of users applied thinking they had the green light—only to get denied. Worse? That rejection likely impacted their credit scores thanks to hard inquiries.

After an FTC investigation, Credit Karma agreed to a $2.5 million settlement to compensate affected users. If you’re one of them, here’s how you can claim your part of the deal.

Eligibility

You’re likely eligible for the $49 Credit Karma settlement if:

• You received a “pre-approved” credit card offer between February 2018 and April 2025
• You applied for the credit card
• You were denied credit after applying

If all three points match your experience, you’re probably on the list. But even if you’re unsure, you can double-check via the official settlement website.

Details

Here’s a quick overview of the key details:

Topic	Details
Settlement Amount	$49 per eligible user
Time Frame	Feb 2018 – Apr 2025
Total Fund	$2.5 million
Payment Options	Check or PayPal
Deadlines	Cash check: 90 days, PayPal: 30 days
FTC Role	Enforced the settlement
Admin Contact	Listed on official settlement website

How to Check

Here’s a step-by-step process to find out if you qualify:

1. Watch Your Mail or Email
   The settlement administrator is sending notices to eligible users.
2. Visit the Official Website
   Head to the settlement site and use their eligibility checker. You’ll need your name and possibly other identifying details.
3. Check Your Credit Report
   Look for any hard inquiries that line up with an application after a “pre-approved” offer.
4. Contact the Administrator
   Still unsure? Reach out via contact info on the official settlement site.

Payment Options

Once confirmed eligible, you’ll be able to choose how you want to receive your money:

• Check – Mailed directly to you. Must be deposited within 90 days.
• PayPal – You’ll need to accept the payment within 30 days or it expires.

Miss the deadline? You could lose your chance at the money, so act quickly.

Important Deadlines

Here’s what you need to remember:

Payment Type	Action Needed	Deadline
Check	Cash or deposit	Within 90 days
PayPal	Accept the payment	Within 30 days

Set a reminder—seriously. Missing these deadlines means missing your money.

What It Means for You

The $49 payout might not undo the hit to your credit score or the frustration, but it’s still something. It also sends a strong message that companies can’t toss around terms like “pre-approved” without backing them up.

Beyond that, this settlement puts the spotlight on advertising practices that can harm consumers, and it shows that the FTC is keeping an eye on things.

Lessons Learned

To avoid falling for similar marketing traps in the future, here are a few quick tips:

• Read the Fine Print – Pre-approved doesn’t always mean guaranteed.
• Check Your Credit Score First – Know your score before you apply.
• Limit Applications – Too many can hurt your credit.
• Don’t Trust Every Offer – If it sounds too good to be true, it probably is.

Whether you cash in via PayPal or check, don’t let your $49 go unclaimed. If you’re eligible, this is your shot at holding Credit Karma accountable—and getting a little something for the hassle.

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