Klarna launches physical payment card in UK

By

Nigel TAYLOR

Published
Jan 26, 2022

Personal finance platform Klarna has launched its own payments card in the UK, “empowering consumers with greater control, transparency and choice over how they pay”, the company said Wednesday.

And the BNPL firm also claims there’s a waitlist for it of 400,000 consumers in the UK “showing strong demand for a new approach to credit.”

It says the new physical card “will bring Klarna's flexible and transparent payments experience to in-store payments anywhere where cards are accepted”.

It launches with its ‘Pay in 30’ scheme, which allows consumers to pay any time up to 30 days after purchase, with plans to add additional payment options in the future. 

It's certainly an interesting development as some consumers hold back from using traditional credit cards that can be expensive in favour of the BNPL method that helps them spread out payments with less risk of incurring interest charges. And as physical stores so the rising footfall post-pandemic, it's clear that consumers are also seeking physical solutions similar to those that they have online.

Alex Marsh, Head of Klarna UK, said: “Consumers are rejecting credit products which charge double-digit interest rates while allowing repayments to be put off indefinitely. For online purchases where credit makes sense, buy now pay later has become the sustainable alternative with no interest and clear payment schedules. 

“The launch of Klarna Card in the UK brings those benefits to the offline world, giving consumers the control and transparency of BNPL for all of their in-store purchases.”