Klarna Bank

Klarna Bank AB (publ) is a Swedish licensed bank headquartered in Stockholm that focuses on checkout, installment, and invoice-based payment services for consumers and merchants, operating across multiple markets in Europe, North America, and other regions. Its core consumer products include “pay in full,” deferred payment (e.g., pay in 30 days), short-term split payments, and longer-term financing; availability, limits, and pricing vary by country and by the retailer. Klarna performs risk and affordability assessments and may conduct soft or hard credit checks depending on the product; missed payments can incur fees and, in some markets, be reported to credit bureaus, which can affect credit profiles. The Klarna app supports one-time virtual cards for online purchases, order and returns tracking, spending overviews, and merchant discovery features; identity verification and strong customer authentication are used in line with local regulations such as PSD2 in the EEA. Beyond payments, Klarna offers select banking services in certain countries, which can include cards and savings products under its Swedish banking license; where applicable, eligible deposits are protected by the Swedish deposit guarantee scheme, and cross-border access depends on residence and product rules. In the United Kingdom and other jurisdictions, aspects of buy-now-pay-later may fall outside traditional consumer credit regulation, though Klarna is supervised for regulated activities by the relevant authorities and adapts product disclosures and practices to local law. Merchants integrate Klarna to outsource credit risk and offer alternative payment options, paying fees tied to transaction volume and product type. Customer support is provided via in-app chat, web help centers, and email; dispute processes cover delivery issues, returns, and refunds under Klarna’s buyer policies, which do not replace statutory consumer rights. Fees, interest, exchange rate markups, and product terms are set per market and per merchant agreement and change frequently; consumers should review current terms and privacy notices in their country before using any Klarna product.