Wallethub Review: Is it a Trustworthy Credit Checker?

Monitoring changes in your credit score is important for everyone. It’s vital for those who are trying to build or improve their credit. Perhaps your credit score was suffering in the past, forcing you to apply for a no credit check loan to bridge the gap to your next payday.

You shouldn’t have to pay for updates or monitoring of your score and credit report. Thankfully WalletHub offers this service for free.

Is WalletHub a trustworthy resource that you should be using? Our WalletHub review will cover the good and bad and give you our take on what WalletHub is really about.

The Basics

WalletHub offers personal financial tools to users online. Their main product is offering a free daily credit score and report associated with it.

A company called Evolution Finance owns WalletHub. According to Bloomberg, this parent company was founded in 2008. They have been in and out of the media since then.

Their original credit card website was called CardHub which compared credit cards.

These days if you try to head over to CardHub you will be redirected to WalletHub, indicating the Card comparison side of the business is shut down or at least on hold for now.

With the company being in business and in the public eye for so long, it’s safe to assume that the company isn’t a scam. This is important since you are asked to hand over some pretty personal and sensitive information just to use the site.

The Pros

WalletHub claims they offer its users daily credit score reporting, 24/7 credit monitoring, all for free.

This service is great if you are concerned about potential changes in your credit. You will know immediately if your score or report changes for the good or bad. As an example, if someone goes to take out a payday loan online using your social security number, and this shows up on your credit report, it could be a red flag for lenders. In this situation, you would want to know right away so you can hopefully get it removed.

No Hidden Subscription

Many companies that offer free credit scores are offering a free credit score, but only for a short period of time. This plan is commonly seen as a 7-day free trial offer, where you can pull down your credit score in that short timeframe. You’re also required to provide a credit card to open up the account, in case you don’t cancel in the trial period.

Unfortunately, most customers join with the intention of cancelling within the trial period, and life gets in the way. Before you know it, the $29.95 is being charged to your card every month. Not saying that these services aren’t worth the monthly fees, but if you’re not expecting it, they can be an undue burden. Imagine a scenario where you then had to take out a bad credit loan just to cover the credit card fees. That situation really wouldn’t help you much.

Thankfully, WalletHub doesn’t ask for your credit card, so there is no risk of you accidentally starting a paying subscription you didn’t want to.

They Use a Legitimate Source

There are three major credit reporting bureaus that all reputable financial institutions use: Experian, Equifax, and TransUnion. WalletHub provides your credit report for free from TransUnion.

This is one of the three major bureaus so you are receiving a legitimate credit report. This is good because you will know the score you are seeing is reliable, and is what a potential lender or credit card company will see when they pull your report.

Financial Recommendations

After they provide your credit score, WalletHub then uses this information to provide you with personalized offers based on your credit history, current debts, and credit cards. So, if they think an installment loan or personal loan no credit check might help you consolidate your debts, they might provide this offer directly to your inbox.

This is useful if you are planning to apply for a credit card or personal loan in the near future. You will be able to take advantage of these offers knowing that you have a very high likelihood of being approved for the offers being sent to you by WalletHub.

The Cons

The Signup Process

To sign up for WalletHub you first have to provide your full name and email address. Once you enter this you need to review and agree to the site’s terms and conditions.

Next, you will set up your password. After this, you are required to enter your and cell phone number to verify your identity. This is less common than other sites which ask you questions from your background, like your previous addresses, to verify your identity, but the site is committed to keeping your personal information secure.

You Are Not Getting a FICO Score

The credit score that is used by all lenders and the industry standard is the FICO score. This score is calculated by a company called Fair Issacs.

When people are talking about the credit score, they are referring to their FICO credit score. There are other scores though, they just aren’t nearly as popular with lenders. One of these scores is called the VantageScore, which is what WalletHub uses.

While the Vantage score is a good indicator of your overall credit rating, it is not as precise for large large debts. So for example, if you are going to get a mortgage, the lender will only use your FICO score. The Vantage may not line up exactly, but it should give you a nice indicator of where you stand.

Your Information is used to provide offers

This is how WalletHub makes money. When you provide your personal information, WalletHub analyzes it to see what kind of credit cards, loans, or insurance you might need.

Some people find this a helpful service, as it can help them understand which bad credit loans guaranteed approval they might get before they even apply. However, other folks might not like the fact that their credit history, current balances, and outstanding loans are being looked at and analyzed in this manner.

The Verdict of our WalletHub Review

Wallethub is a legitimate company that is not out to scam you. That doesn’t mean that they are totally innocent in how they act.

You are not getting a FICO credit score which is used by most lenders, but you do get a Vantage which is a relatively similar score.

You’re also getting your background scrutinized and offers pushed to you, which you might not like. Regardless of where you come out, it seems that WalletHub provides a good service, as long as you understand what comes along with that service.

Conclusion

If you are looking to monitor changes in your credit score, WalletHub may be a good option for you. Other options include Credit Karma and NerdWallet. If you’re struggling with bad debt, check out these credit cards for people with bad credit.