Klarna is an online shopping loan service with easier repayments. The main payment plan divides your total into 4, breaking them up into smaller installments by splitting up the bill twice. The main method used is through a virtual Visa card that is accepted at almost any online store. It also has flexible repayment options as well.
This company was established in 2005 in Stockholm, Sweden. It now has a presence in 17 countries, with 2 Million trusted transactions done every day from over 90 million customers. The payment plan is available from 250 popular and top stores and merchants and is still growing.
- You can make these purchases online and through different promos and offerings on the Klarna app.
- Klarna is sponsored by Visa, and you can shop anywhere where Visa is accepted.
- Instead of following a regular Visa credit card’s terms, Klarna has its own: All plans are zero-interest with no annual fee or additional fees.
- As long as you follow your committed payments, you are good to go. Otherwise, a minimum of less than $2 per month interest will be charged per month.
- For bigger purchases, you are given from 6–36 months to pay with an average Annual Percentage Rate (APR) of 19.99%.
- There are no other fees or interest involved. Once the order ships, Klarna will bill you and the payment plan starts. Be aware of your payment schedules because a late fee of $7 will be charged. It’s that simple.
Apply now: Requirements and getting the Klarna App
Klarna is available on both iOS and Android. You only need to download the app and set up your account. You don’t have to input a separate card or source, as the main source will be your virtual Visa card that will reveal its details for every checkout. You will use this for every transaction online.
Browse through the top promotions on the app as well, which will bring you directly to the purchase check out. From here you can keep track of your payment schedules, reminders, notifications, and guides for using the service.
There will be no credit checks or requirements other than being 18 years old and up, and you must be an Australian citizen or resident. A soft credit check is done when you choose the 4-installment repayment. A basic credit check may also be needed for bigger purchases and longer payment plans.
Vibe Rewards Club
For long-term Klarna members, it is advised to join the Vibe Rewards Club. Signup automatically gives you a $5 welcome reward. Each use of the Klarna financing service will give you points that will equal big discounts, and access to premium items, sale offers, and exclusives. Bonus points are in conjunction with some of the big names in online shopping and global brands:
- Best Buy
- Foot Locker
- Finish Line
Klarna as a Business Partner
Klarna is also among new shopping loan companies with a business partnership aspect. Everything is already streamlined when you join forces in e-commerce. Customers can use the service for online and in-store purchases with a fast no-contact option in purchasing.
This can be done through a standard Klarna in-app checkout purchase, and also through a Klarna Express Button that instantly fulfills the order with one tap. Customers can use the 4 payment installment plan, and can also get an extra 30-day extension to pay the total. These additional payment and repayment options make it a top e-commerce app.
Companies, businesses, and retailers can join their network to augment their network and earn more: a reported 41% average added order value and 30% increase to the conversion is noted for each retailer that joins. On top of this is the Vibe Rewards Club where there are more customers with regular spending.
- Max payment delay is capped at 3 business days after the order is shipped
- The standard term of the agreement is a maximum of 36 months
- Cost/ Pricing model: Up to 0.30 USD + 5.99% per transaction
Main advantages of Klarna’s business partner program:
- You get direct access to Klarna’s 90 Million base of users
- Expand your online presence and sales to new markets
- Offer alternative payment options for many new customers online
- Speed up and automate many of your sales and conversions
- Adapt to competition by having the same level of online presence
Klarna’s Main Business Features:
- Get new customers: With the 90 Million-plus database of users, your market instantly increases as your retail company joins Klarne’s roster or popular stores.
- Strong Customer Support: The company has thorough help and support to guide you with partnering with our financial services.
- Zero fraud liability: All aspects of customer front-facing, tracking, and also returns are carefully monitored. The customer will know where the package is in transit. The whole process of buying to shipping is accounted for.
- Upfront payments: You receive the payment at the correct time frame. No delays and long processing times. Once the product ships, you receive the upfront payment instantly.
- Seller protection: Klarna handles the liabilities of possible fraud. Retailers are fully protected with their business.
- Global solutions: Klarna adapts to global settings and conditions in online transactions. This keeps it a safe and trusted way for online shopping worldwide.
- Automatic updates: Updates are regularly done to make sure the apps are all compatible and compliant with standards. Everything is made up to date to reflect the correct content on the app, including the terms, payments, and schedules.
- Settlements made simple: Klarna has an orderly system to handle general transactions.
Easily integrate Klaran’s system into your existing business app or platform. It can also pair up with your payment partners, such as your e-commerce platforms, and current payment providers.
Among top platforms included are: SAP, Adyen, Stripe, Radial, Cybersource, Magneto Commerce, Verifone, 121 Commerce, 3D Cart, Absolute Web, Angry Creative, Attentive, Ben Zetter, Big Commerce, BVA, Cleabanc, Commonthread, Corra, Customer Paradigm, Cyversource, Diff Agency, DO, Digital River, Dotdigital, and the popular online commerce platform, Shopify.
Shopify, BigCommerce, WooCommerce, PrestaShop, 3d Cart, and Magento platforms are instantly free and can be integrated right away. Otherwise, you need to contact their commercial team.