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Bankrate
Bankrate
from Wikipedia

Bankrate, LLC is a consumer financial services company based in New York City. Bankrate.com, perhaps its best-known brand, is a personal finance website. As of November 8, 2017, it became a subsidiary of Red Ventures through an acquisition.[5] Bankrate contains AI-generated articles, and is included on Wikipedia's spam blacklist due to its lack of credibility.[6]

Key Information

History

[edit]

Bankrate was founded in 1976 by Robert K. Heady as a print publisher of the "Bank Rate Monitor."[4]

In 1996, the company began moving its business online.[4] Today, Bankrate, Inc.'s online network includes Bankrate.com as well as CreditCards.com, Caring.com, Interest.com, Bankaholic.com, Mortgage-calc.com, CreditCardGuide.com, ThePointsGuy.com, Bankrate.com.cn, CreditCards.ca, NetQuote.com, CD.com, Walla.by and Quizzle.

The online network received over 150 million visits in 2010.[4]

In January 2011, Bankrate completed the acquisition of Trouve Media. In December 2011, Bankrate completed the acquisition of substantially all of the assets of InsWeb Corporation for $65 million in cash.[7]

In March 2012, Bankrate acquired InsuranceAgents.com.[8]

After spending 10 years as a public company traded on the NASDAQ, Bankrate was acquired in 2009 by Apax Partners in a transaction valued at approximately $571 million.[9]

In June 2011, Bankrate raised a total of $300 million in gross proceeds with a successful initial public offering on the New York Stock Exchange.[10] In December 2011, Bankrate priced a secondary offering of 12.5 million shares at $17.50 per share.[11]

In 2012, the company purchased The Points Guy, a site that publishes travel-oriented articles highlighting the credit cards it sells.[12]

In 2014, Bankrate acquired Caring.com for $54 million.[13]

Kenneth S. Esterow was appointed Bankrate's President and Chief Executive Officer in January 2014, having previously served as Senior Vice President – Chief Operating Officer from September 2013 to December 2013.[14]

Bankrate was acquired by Red Ventures for $1.24 billion in November, 2017.[15]

In January 2018, Bankrate expanded into the UK with an office, editorial, and commercial teams in London, along with a localized Bankrate UK website.[16] The site is run by Sebastian Anthony, former editor of Ars Technica.[citation needed]

In September 2018, the former chief financial officer Edward J. DiMaria was found guilty of committing accounting and securities fraud which led to over $25 million in shareholder losses.[17] DiMaria was sentenced to 10 years in prison, and ordered to pay $21,234,214 in restitution. Former vice president of finance Hyunjin Lerner also pleaded guilty for his role in the conspiracy and was sentenced to 5 years in prison.[18]

Products and Services

[edit]
The New York Stock Exchange on June 17, 2011, when Bankrate's shares were listed.

Since the beginning, Bankrate has provided information about interest rates. Beginning in 2004, Bankrate also began offering financial education content, insurance quotes, and credit card offers.[19]

One of Bankrate's reports in 2014 determined the costs of car ownership in each state, taking into account the costs of gas and insurance, among other factors. The data suggested that Wyoming is the most expensive state in the nation to own a car.[20]

Honors

[edit]

The National Association of Real Estate Editors in 2014 named Bankrate's Mortgage blog the winner of its Best Blog and Best Column awards.[21]

In October 2012, Advertising Age ranked Bankrate as the fifth fastest-growing media company.[22]

Bankrate's "Financial Regulation, One Year Later" package earned a 2012 "Best in Business" award from the Society of American Business Editors and Writers (SABEW).[23]

Bankrate won two SABEW Awards in 2011: Holden Lewis' mortgage blog and Bankrate's explanatory series on financial reform were honored.[24]

Bankrate writers have won awards from the Society of Professional Journalists several times, most recently in 2007 for their coverage of the Federal Reserve Open Market Committee's rate cut.[25]

In 2008, Forbes named Bankrate #41 in its list of America's 200 Best Small Companies.[26] Forbes previously had honored the website in its "Best of the Web" series five times between 1999 and 2004.[27]

See also

[edit]

References

[edit]
[edit]
Revisions and contributorsEdit on WikipediaRead on Wikipedia
from Grokipedia
Bankrate, LLC is an American digital media company specializing in , founded in 1976 as the print publication Bank Rate Monitor to provide rate information for the banking industry. It has since evolved into a leading online platform, Bankrate.com, that offers consumers objective tools, expert analysis, and resources to compare financial products such as mortgages, cards, auto loans, and , while promoting smarter decisions through data-driven content and over 200 calculators. Headquartered in , Bankrate operates as an independent, advertising-supported publisher with a team of more than 50 in-house financial experts producing over 300 pieces of editorial content monthly. The company reaches over 100 million users annually and maintains a database spanning more than 40 years of financial data, earning recognition for its transparency and trustworthiness in guiding users toward healthier financial habits. In 2017, Bankrate was acquired by , a and technology firm, in a deal valued at approximately $1.24 billion, which expanded its capabilities in content distribution and product comparisons while preserving its core mission of empowering consumers with unbiased financial information. Today, Bankrate continues to innovate as an AI-enhanced platform, focusing on personalized advice across life's financial milestones, from home buying to .

History

Founding and Early Development

Bankrate was founded in 1976 by Robert K. Heady as "Bank Rate Monitor," a weekly print that provided bank data to subscribers in the banking industry. The publication aggregated and disseminated timely information on rates for certificates of deposit (CDs), savings accounts, and mortgages from banks across the , helping industry professionals track national trends amid deregulated banking environments. Early operations centered on manual data collection from financial institutions, with the serving as a vital resource for bankers, analysts, and advisors seeking competitive insights without relying on fragmented local reports. In its initial years, Bank Rate Monitor established itself as a niche by focusing on objective rate comparisons, often highlighting regional variations and national averages to inform strategic decisions in the post-deregulation era. Subscriptions grew steadily among banking professionals, supported by Heady's expertise as a financial who emphasized transparency in an opaque market. The print format allowed for detailed weekly updates, including indices like the Bank Rate Monitor Index, which tracked average yields to benchmark performance across institutions. The company transitioned to in 1996 with the launch of Bankrate.com, repurposing the newsletter's core content for online distribution and broadening access beyond industry subscribers to general consumers. This shift marked a pivotal adaptation to the internet boom, enabling real-time rate updates and search-friendly formats that drove rapid user adoption. Initial growth in the late and early was fueled by surging website traffic, as rising consumer in coincided with volatile rates and economic shifts. Bankrate.com attracted millions of monthly visitors by offering free, aggregated rate comparisons, while partnerships with financial institutions ensured accurate, sourced data through licensed feeds and collaborative surveys. These alliances not only enhanced content reliability but also positioned the platform as a go-to hub for rate shopping, laying the groundwork for its expansion into broader financial tools.

Key Acquisitions and Expansion

In the early 2010s, Bankrate pursued aggressive growth through targeted acquisitions to diversify its services beyond core interest rate comparisons, incorporating tools for personal loans, insurance, travel rewards, and senior care. This strategy built on the company's earlier transition from print directories to digital platforms, enabling scalable online expansions. On January 1, 2011, Bankrate acquired Trouvé Media, Inc., a firm, for $13 million in cash, which introduced comparison tools for personal loans and services to its ecosystem. Later that year, on December 21, 2011, Bankrate completed the purchase of substantially all lead generation and marketing assets from InsWeb Corporation for $65 million, allowing the integration of online insurance quote comparison capabilities and expanding its reach into the competitive sector. The expansion continued in 2012 with the acquisition of , a popular blog focused on travel rewards and benefits, reportedly for more than $20 million; this move added specialized content and affiliate partnerships in the travel and rewards niche. In March 2012, Bankrate also acquired InsuranceAgents.com, a platform connecting consumers with local insurance agents, for an undisclosed amount, enhancing its directory services for insurance professionals. By 2014, Bankrate further broadened its portfolio by acquiring Caring, Inc., the operator of Caring.com, for $54 million in cash; this addition provided a comprehensive online directory for senior care options, including and referrals, targeting the growing demographic of family caregivers. These deals collectively strengthened Bankrate's position as a multifaceted financial resource hub. In 2018, Bankrate extended its operations internationally by launching in the UK, establishing a London office with dedicated editorial and commercial teams, and rolling out a localized website offering adapted rate comparisons and financial tools for the European market.

Ownership Transitions

Bankrate operated as an independent public company for over a decade before undergoing a significant ownership change in 2009, when it was acquired by funds advised by Apax Partners for $571 million in an all-cash transaction that took the company private. The deal, valued at $28.50 per share, represented a 15.8% premium over Bankrate's closing price at the time and was completed in August 2009 following a tender offer and merger. This buyout allowed Apax to consolidate control during a downturn in financial services advertising, marking the end of Bankrate's initial public phase that began with its IPO in 1999. Under Apax's ownership, Bankrate returned to the public markets through an in June 2011, raising $300 million by selling 20 million shares at $15 each and listing on the under the ticker symbol RATE. The IPO valued the company at approximately $1.5 billion and enabled Apax to partially exit its investment while providing Bankrate with capital for growth initiatives. Trading began on June 17, 2011, reflecting renewed investor interest in the financial information sector post-financial crisis. In 2017, Bankrate experienced another major ownership shift when it was acquired by , a firm, for $1.24 billion in cash, equivalent to $14 per share—a 31% premium over the three-month average closing price. The transaction, announced on July 3, 2017, and closed later that year, resulted in Bankrate's delisting from the NYSE and its integration into ' portfolio of consumer-facing digital properties. This move aimed to leverage synergies in content distribution and , building on Bankrate's 2016 total revenue of $434.2 million, which underscored its scale ahead of the merger. Post-acquisition, the integration enhanced Bankrate's connectivity with financial service providers, contributing to expanded operations within ' ecosystem.

Corporate Structure

Business Model and Operations

Bankrate operates primarily as an and platform within the sector, earning commissions through referrals to financial products such as loans, credit cards, and via its comparison tools and rate tables. As a of since 2017, the company facilitates connections between consumers and financial institutions by providing objective rate comparisons and sponsored placements, with revenue generated on a cost-per-lead or cost-per-click basis from partner advertisers. This model relies heavily on digital advertising and referral fees, which have been enhanced through ' integration, emphasizing scalable online traffic and targeted user engagement in recent years. Headquartered in , with additional offices in and integration into ' broader network headquartered in . maintains a portfolio of websites, including its flagship Bankrate.com and specialized sites like CreditCards.com, which aggregate real-time financial data from over 4,800 institutions across more than 300 products, covering areas like mortgages, savings accounts, and auto loans. Revenue is diversified through partner , including display ads and sponsored content, as well as lead funnels for quotes, though the core remains affiliate-driven commissions without verified premium subscription offerings. Daily operations involve continuous from partner institutions, likely through APIs and direct feeds to ensure up-to-date rate information, alongside in-house by a team of experts who produce over 300 articles monthly. User traffic management focuses on SEO-optimized content to drive organic visits, supporting over 100 million annual users who rely on the platform for financial decision-making tools. This process is overseen by leadership within , ensuring alignment with broader digital strategies.

Leadership and Personnel

Following its in 2011, Bankrate's leadership included Tom Evans, who guided the company through its public market debut and subsequent growth in . In 2014, Kenneth S. Esterow was appointed President and CEO, leading efforts in acquisitions, digital expansion, and operational enhancements during the company's public phase until its acquisition by in 2017. As of 2025, Matt Fellowes serves as Bankrate's Chief Executive Officer, appointed in October to drive the platform's mission of delivering informed financial decision-making through technology and data-driven insights. The executive team includes Michael Sousa as Chief Operating Officer, responsible for operational efficiency within Red Ventures' structure, and Rick Bowman as Chief Product & Technology Officer, emphasizing product development and tech infrastructure. Following the resolution of the 2018 accounting fraud case involving former CFO Edward DiMaria, the Chief Financial Officer role has been filled by internal leadership focused on compliance and financial transparency, though specific post-2018 appointees remain integrated into Red Ventures' broader finance operations. Key in-house analysts include Greg McBride, CFA, who serves as Chief Financial Analyst with over 25 years of experience in research and . Mark Hamrick acts as Washington Bureau Chief and Senior Economic Analyst, providing expertise on policy, economic trends, and federal impacts on consumer finance. Bankrate's team structure features an editorial staff comprising industry-leading reporters, analysts, and editors—totaling over 250 employees company-wide—with a strong emphasis on content accuracy reviewed by a third-party financial board. The editorial group includes certified financial planners, such as CFP® professionals, to ensure advice aligns with rigorous standards and credible sourcing.

Services and Products

Core Financial Tools

Bankrate's core financial tools center on aggregating and presenting real-time data to help consumers compare options across key banking and lending products. The platform compiles daily updates on rates for certificates of deposit (CDs), high-yield savings accounts, mortgages, auto loans, and credit cards, drawing from thousands of national and regional financial institutions to ensure comprehensive coverage. For instance, as of 2025, Bankrate lists top CD rates reaching up to 4.25% APY and high-yield savings accounts offering up to 4.21% APY, enabling users to filter by term length, location, and institution type for personalized recommendations. These tools incorporate AI enhancements for tailored suggestions based on user profiles. They prioritize transparency by displaying annual percentage yields (APY), minimum deposits, and early withdrawal penalties alongside rates. In addition to comparisons, Bankrate facilitates direct user engagement through online application funnels for loans and credit products, streamlining the process by connecting consumers to vetted lender partners. Users can initiate applications for personal loans, auto financing, mortgages, and credit cards directly on the site, where prequalification checks often occur without impacting credit scores. The platform maintains partnerships with numerous lenders, such as those listed in its partner directory, to provide seamless access to offers; for example, historical collaborations like the 2007 data-sharing agreement with for savings products illustrate Bankrate's role in bridging consumers and financial providers. Bankrate's insurance quote tools allow users to generate personalized estimates for auto, , and policies by inputting basic details like vehicle information, property value, or coverage needs. These tools, which trace back to the 2011 acquisition of InsWeb Corporation's and assets, partner with multiple insurers to deliver competitive quotes within minutes, often comparing rates from providers like Progressive and . As of November 2025, the platform supports quick online quoting for car insurance averaging $2,671 annually for full coverage, helping users identify savings through bundled options or discounts. Complementing these offerings, Bankrate provides credit score monitoring and improvement resources integrated into its ecosystem, particularly through affiliated sites like CreditCards.com, which offers free access to VantageScore 3.0 updates on a monthly basis. These services, expanded during the company's growth in the early , include tools such as credit utilization calculators and guides for disputing errors, empowering users to track changes and implement strategies like timely payments to boost scores over time. While not a full paid monitoring suite, the free tools emphasize education, such as explaining how length of impacts scores by 15%.

Educational and Comparative Resources

Bankrate offers a wide array of educational content designed to enhance , including in-depth articles, comprehensive guides, and interactive s covering key areas such as , , and home buying. These resources are developed by a team of over 50 in-house financial experts, including certified analysts and reporters who provide data-driven insights and practical advice. For instance, the retirement section features guides on building solid plans with individual accounts (IRAs) and s, along with tools like the to help users estimate future savings needs. Similarly, resources include articles explaining options and management plans that consolidate payments into affordable monthly installments, while home buying guides detail borrowing strategies like cash-out refinances and lines of credit, supported by s for rate comparisons. In addition to topical guides, Bankrate produces annual reports and original studies that analyze financial trends and provide comparative data to inform consumer decisions. A notable example is the 2014 study on car ownership costs, which ranked as the most expensive state at an average annual cost of $2,705, factoring in , , and expenses across all 50 states and . These reports draw on aggregated data to highlight regional variations, such as 's high costs due to greater average mileage driven, offering users benchmarks for budgeting and cost-saving strategies. Through its parent company , Bankrate integrates travel rewards content from , enabling detailed comparisons of credit card perks, mileage valuations, and loyalty programs to maximize travel benefits. Users can access analyses of top travel credit cards, such as those offering points on flights and hotels, with tools to evaluate sign-up bonuses and redemption values against cash equivalents. This integration supports educational comparisons, like assessing the value of miles from programs such as Mileage Plan for international travel. Bankrate's senior care resources, historically bolstered by its 2014 acquisition of Caring.com, include guides on options and cost comparisons for facilities nationwide. These materials cover median annual costs for , such as $52,200 in as the most affordable state, versus higher rates in states like at $139,800, helping families evaluate , nursing homes, and home based on location and amenities. Although Caring.com was divested in 2018 following regulatory approval of Red Ventures' acquisition, Bankrate continues to maintain dedicated sections on senior living with resources for and caregiving costs.

Recognition

Industry Awards

Bankrate has earned recognition from prominent journalism organizations for its financial reporting and innovative use of digital tools in delivering content. In 2007, Bankrate.com received the Sigma Delta Chi Award from the in the category of deadline reporting for online media. The award honored the site's "Fed Alert: Breaking Fed News" feature, which provided timely updates on actions and their implications for consumers. The Society of American Business Editors and Writers (SABEW) has also acknowledged Bankrate's contributions to . In 2011, the site won a Best in Business Award in the digital feature category (for sites with more than 2.5 million monthly unique visitors) for "Financial Reform, One Year Later," a multimedia package that explained the Dodd-Frank Act's impact on everyday finances through , videos, and interactive elements. Judges praised the work for its effective use of to enhance reporting. Additionally, in 2010, SABEW awarded Bankrate in the blog category for Holden Lewis' blog, recognizing its creative integration across multiple platforms to demystify complex lending topics.

Rankings and Accolades

Bankrate has earned notable rankings reflecting its growth and prominence in the industry. In 2008, ranked Bankrate No. 41 on its list of America's 200 Best Small Companies, highlighting its performance amid economic turmoil with 60 million visitors and 554 million page views in the prior year. During the 2020s, Bankrate has been recognized in various compilations of leading resources, including being named the top personal financial website for 2022 by MoneyTracker for its comprehensive tools and advice on rates, loans, and budgeting.

Controversies

Accounting Fraud Case

In 2013 and 2014, former Bankrate Edward J. DiMaria and of Hyunjin Lerner orchestrated a $25 million fraud scheme by directing divisions to improperly recognize through "cookie jar" reserves and round-trip transactions, artificially inflating the company's earnings to meet analyst expectations and secure executive bonuses. This misconduct involved creating false expense accruals and sham entries to manipulate filed with the SEC, misleading investors about Bankrate's financial health. DiMaria pleaded guilty in June 2018 to conspiracy to make false statements to accountants and was sentenced in September 2018 to 10 years in prison, plus over $21 million in restitution. Lerner pleaded guilty in October 2017 to conspiracy charges and was initially sentenced in January 2018 to 5 years in prison, later reduced to 30 months in January 2019, with similar restitution obligations. As part of the resolutions, Bankrate entered a company-wide non-prosecution agreement with the Department of Justice, acknowledging the fraud while noting that its successor, Red Ventures, had no involvement. In March 2019, Bankrate's successor agreed to pay $28 million to the DOJ and SEC to resolve the securities and accounting fraud charges, including $15 million in criminal penalties, $5.9 million in restitution to shareholders, and additional . This built on an earlier 2015 SEC settlement where Bankrate paid $15 million in civil penalties without admitting liability. The scandal prompted significant internal changes at Bankrate, including the termination of DiMaria, Lerner, and other involved executives in 2015, followed by the company's acquisition by in November 2017, which introduced new leadership under the acquirer's oversight. Under the 2019 non-prosecution agreement, Bankrate committed to enhancing its compliance program with improved internal accounting controls, executive training, risk assessments, and periodic reporting to the DOJ over three years to prevent future violations.

Regulatory and Merger Issues

In 2017, the (FTC) launched an investigation into ' proposed $1.4 billion acquisition of Bankrate, alleging that the merger would substantially lessen competition in the market for online services for senior living facilities. The FTC's complaint highlighted that both companies were key providers of proprietary internet content and customer leads in this niche, potentially enabling post-merger price increases of 5-10% without sufficient customer switching to alternative sources. To address these anticompetitive concerns, and Bankrate agreed to a consent order requiring the divestiture of Bankrate's Caring.com business unit, a leading referral service for senior care leads. The FTC approved the sale of Caring.com to Caring Holdings, LLC in April 2018, ensuring the maintenance of market competition by preserving an independent competitor in the senior living space. The acquisition closed on November 8, 2017, following shareholder approval and regulatory clearance. During the 2010s, the financial sector faced broader regulatory scrutiny over practices, with the FTC pursuing multiple enforcement actions against deceptive and promotional schemes. Notable cases included settlements targeting affiliate networks for promoting fraudulent repair services and misleading offers, emphasizing violations of the FTC Act through undisclosed affiliations and false claims. These probes underscored concerns about transparency in online financial affiliate models, where lead generators like those operated by Bankrate were active participants in the . Bankrate, which went public via an IPO in 2014, complied with SEC reporting requirements, including quarterly 10-Q and annual 10-K filings, until its delisting following the 2017 acquisition by , after which it operated as a private without public disclosure obligations. As part of , Bankrate continues to adhere to applicable U.S. securities regulations for private entities. Regarding international operations, ensures GDPR compliance for its activities, including those involving Bankrate's financial tools, through measures like data subject rights, standard contractual clauses for transfers, and a -based contact point in ; the company's EEA/ privacy framework was last updated in 2023 to reflect ongoing obligations under the GDPR and Data Protection Act 2018.

References

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