Credit Karma announces $13M Charlotte expansion, adding 600 jobs

Fintech company Credit Karma has been in Charlotte for four years, but now it’s making the city its new East Coast hub.

Governor Roy Cooper announced the move along with Credit Karma and city officials during a virtual press conference Tuesday afternoon.

The big picture: Charlotte is emerging as a fast-growing tech town, bolstered by the city’s strong financial sector. Credit Karma’s announcement is the latest in a growing group of companies bringing tech jobs to the area.

• Robinhood, Centene, Lowe’s, Better.com and AvidXchange — the locally grown company that automates bill-payment services and is now valued at around $7 billion — are also expanding here.

What they’re saying: Company officials say they considered about a dozen other cities before deciding on Charlotte. “When you can find the culmination of the right talent, the right passions and the right economic environment, it made it a no-brainer for us to pick Charlotte,” Credit Karma CEO/founder Kenneth Lin said during the announcement.

Details: The personal financial company’s chief people officer Colleen McCreary says they hope to add 200 jobs in the next month or so. “We are on a fast and furious hiring frenzy right now,” she says.

• In time, the expansion will bring an estimated 600 total jobs with an average compensation of $156,000/year.
• New roles include analysts, software engineers and management personnel.
• The hub will be in the Ballantyne area, which is where Credit Karma’s current Charlotte offices are.

By the numbers: Credit Karma received a Job Development Investment Grant from the state for a potential reimbursement of over $20 million over the next 12 years. Projections show that the company could grow the state economy by $2.6 billion annually during that time period.

• The city of Charlotte is offering Credit Karma another $186,000 in incentives, to be paid out over seven years if the company achieves its job-creation goals.

Zoom out: According to the Charlotte Regional Business Alliance, the Charlotte area currently has 9,000 fintech jobs.

• Over the last five years, the finance industry has added more technology jobs than other major industries.
• Software developer positions were the most common postings in the finance industry from Q3 2020 to Q1 2021. This could shift as Credit Karma brings more software engineering jobs to the area as part of its expansion.