{ "docId": "019dd923-622c-750b-8b99-91010c0bd592", "docSlug": "937587dba6b9", "documentTitle": "Intuit Inc. (INTU)", "authorId": "54_Spruce_Point_Capital", "authorName": "Ben Axler", "documentKindSlug": "activist-deck", "documentKindLabel": "Activist deck", "sourceTypeSlug": "short_seller", "sourceTypeLabel": "Short seller", "presentationDate": "2024-09-20 00:00:00", "orientation": "landscape", "aspectRatio": 1.3333334, "pageNumber": 59, "pageCount": 125, "prevPage": 58, "nextPage": 60, "slideType": "expose_contradiction", "function": "expose_contradiction", "density": "overcrowded", "nDataPoints": 0, "notes": "Uses external citations (MIT Credit Union, Medium, Reddit) to build a case of consumer deception.", "elementsJson": [ "headline_text", "paragraph", "callout_box", "screenshot" ], "metadataConfidence": 1, "imagePath": null, "slideHref": "/slides/019dd923-622c-750b-8b99-91010c0bd592/59", "deckHref": "/decks/019dd923-622c-750b-8b99-91010c0bd592", "deckJsonHref": "/decks/019dd923-622c-750b-8b99-91010c0bd592.json", "deckAnchorHref": "/decks/019dd923-622c-750b-8b99-91010c0bd592#slide-59", "components": [ { "bbox": { "h": 0.35, "w": 0.2, "x": 0.78, "y": 0.37 }, "kind": "callout", "text": "Is it any surprise that Credit Karma uses a methodology that yields a more consumer-friendly result, even though it may not be indicative of how a consumer is viewed by an actual lender? Is disappointing consumers a sustainable strategy?", "attrs": null, "subkind": "primary", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "e70560d0-f907-496a-a34a-b391aecb3fcb", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.15, "w": 0.47, "x": 0.51, "y": 0.79 }, "kind": "image", "text": "Reddit comment screenshot", "attrs": null, "subkind": "screenshot", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "349ce928-58f4-4fcf-8880-bb337998bb7d", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.15, "w": 0.48, "x": 0.02, "y": 0.79 }, "kind": "image", "text": "Medium article screenshot", "attrs": null, "subkind": "screenshot", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "b39e797d-6814-40e0-b530-0bf07fb6b26b", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.35, "w": 0.75, "x": 0.02, "y": 0.37 }, "kind": "paragraph", "text": "How does Credit Karma calculate my score? The online credit company uses information from two of the three major credit reporting agencies, TransUnion and Equifax, to give you a VantageScore 3.0. While this type of credit score is gaining popularity among lenders, you may not recognize it-and for good reason. The FICO scoring model is by far the most widely used credit score among financial institutions and lenders across the country, with 90% of lenders using this score to net potential borrowers. The atypical scoring model used by Credit Karma, coupled with the absence of information from Experian, the third of the three major credit reporting agencies, tends to make Credit Karma scores differ from scores pulled by other companies and financial institutions. The credit service is usually within range and a good indicator of your overall credit wellness. You can also get a report with a thin credit history through this model, which is super-helpful for those seeking to build their credit from nothing. How do other lenders calculate my score? Most financial institutions use a FICO scoring model to measure consumers' credit scores. As mentioned, this number will likely be lower than the score you see on Credit Karma, but will fall within the same general range. It's also important to note that, each time you apply for a specific kind of loan with an individualized lender, it will likely also use its own customized formula. For example, if you were applying for a mortgage with a home company, it would probably use a score that is specifically developed for mortgage loans. Similarly, if you were to apply for a car loan from an auto lender, it will use its own score designed to predict the likelihood of you defaulting on an auto loan. This can result in an even lower credit score from these lenders.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "00464341-d2d4-4a11-a9e1-0583cd6278f2", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.11, "w": 0.96, "x": 0.02, "y": 0.17 }, "kind": "paragraph", "text": "The Credit Karma quid pro quo is that consumers receive something of value for free (their credit score) and in return allow Credit Karma to pitch them financial products, with the Company receiving compensation for successful leads generated. But what if the free credit score customers receive is of questionable value? We believe Credit Karma subtly overstates the accuracy and usefulness of the credit scores it provides. We note that this inconsistency leads to some consumer complaints.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "fe0c4332-c4c6-433f-9d52-f6ac59a7f238", "frameworkName": null, "frameworkSlug": null }, { "bbox": null, "kind": "quote", "text": "I Learned the Hard Way: Credit Karma is a Scam — Medium", "attrs": null, "subkind": null, "toolName": "Authority citation", "toolSlug": "authority-citation", "confidence": null, "componentId": "019dd953-1ac4-74a6-be39-7b4d1e075bd7", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.03, "w": 0.4, "x": 0.02, "y": 0.96 }, "kind": "source-note", "text": "Source: MIT Credit Union blog, Medium, Reddit, Spruce Point Research", "attrs": null, "subkind": null, "toolName": null, "toolSlug": null, "confidence": null, "componentId": "97bc1886-fe82-44fc-ad2c-59138cc2fda2", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.07, "w": 0.65, "x": 0.31, "y": 0.04 }, "kind": "title", "text": "We Believe One Of The Core Benefits Offered By Credit Karma Remains Misunderstood By Many Consumers", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "04cec4c1-dd98-4982-b789-08fbe6651b80", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.04, "w": 0.96, "x": 0.02, "y": 0.31 }, "kind": "title", "text": "MIT Credit Union Disclosure on Credit Karma Credit Score Methodology", "attrs": null, "subkind": "subtitle", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "6bde25f2-99b8-47e9-a2d1-7f02204c1321", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.04, "w": 0.96, "x": 0.02, "y": 0.74 }, "kind": "title", "text": "Some Consumers Are Disappointed When They Realize The Truth", "attrs": null, "subkind": "subtitle", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "f7d1de21-50b0-4a67-a0c1-8a9b0b8fce31", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [], "frameworks": [ { "name": "fraud-exposure", "slug": null, "matchId": "b11aaee8-25cd-48a3-ba7b-4b8268c06d66", "evidence": "The slide explicitly frames the company's methodology as a deceptive practice leading to consumer harm.", "confidence": 0.9 } ], "arcBeats": [], "loops": [], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }