News Klarna to launch credit card offering in the US “over the next few months”

Following successful debuts in Europe, Swedish buy now, pay later (BNPL) firm Klarna is now preparing to extend its credit card offering to consumers in the US.

Klarna fintech news

Klarna Card to launch in the US

Issued by Utah-based WebBank, the US Klarna Card offering represents a physical manifestation of the BNPL provider’s online service, allowing users to buy goods with flexible payment options across both physical and e-commerce stores that accept Visa with the ability to pay back the cost of transactions in either three or six month instalments.

The offering incurs no monthly, annual or foreign transaction fees, with users able to earn up to 10% cashback when using the card through the associated app, which provides an overview of spending activity.

New users will need to complete a credit assessment prior to accessing the card, and must also have previously repaid a Klarna instalment at least once.

“We’re finally bringing the new Klarna Card to the US market, a product that gives consumers more financial control to choose how they want to pay,” comments Sebastian Siemiatkowski, co-founder and CEO of Klarna.

“Unlike many traditional credit cards, the Klarna Card is transparent with no hidden fees, gives consumers increased payment options, flexibility, and cashback when they use the card in our app, meaning they have a smarter way to manage their finances.”

Klarna previously launched the card in its native Sweden in mid-2019 before extending its remit to the neighbouring markets of Germany in February 2021 and the UK in January 2022.

The provider has now launched its waitlist for US customers, and states that the card will launch in the market “over the next few months”.

Tyler Pathe, Fintech Futures