Ptechhub
  • News
  • Industries
    • Enterprise IT
    • AI & ML
    • Cybersecurity
    • Finance
    • Telco
  • Brand Hub
    • Lifesight
  • Blogs
No Result
View All Result
  • News
  • Industries
    • Enterprise IT
    • AI & ML
    • Cybersecurity
    • Finance
    • Telco
  • Brand Hub
    • Lifesight
  • Blogs
No Result
View All Result
PtechHub
No Result
View All Result

Klarna takes on banks with debit card as it diversifies beyond buy now, pay later

By CNBC by By CNBC
June 3, 2025
Home Finance
Share on FacebookShare on Twitter


Klarna is synonymous with the “buy now, pay later” trend of making a purchase and deferring payment until the end of the month or paying over interest-free monthly installments.

Nikolas Kokovlis | Nurphoto | Getty Images

Swedish fintech Klarna — primarily known for its popular “buy now, pay later” services — is launching its own Visa debit card, as it looks to diversify its business beyond short-term credit products.

The company on Tuesday announced that it’s piloting the product, dubbed Klarna Card, with some customers in the U.S. ahead of a planned countrywide rollout. Klarna Card will launch in Europe later this year, the firm added.

The move highlights an ongoing effort from Klarna ahead of a highly anticipated initial public offering to shift its image away from the poster child of the buy now, pay later (BNPL) trend and be viewed as more of an all-encompassing banking player. BNPL products are interest-free loans that allow people to pay off the full price of an item over a series of monthly installments.

“We want Americans to start to associate us with not only buy now, pay later, but [with] the PayPal wallet type of experience that we have, and also the neobank offering that we offer,” Klarna CEO Sebastian Siemiatkowski told CNBC’s “The Exchange” last month. “We are basically a neobank to a large degree, but people associate us still strongly with buy now, pay later.”

Klarna’s newly announced card comes with an account that can hold Federal Insurance Deposit Corporation (FDIC)-insured deposits and facilitate withdrawals — similar to checking accounts offered by mainstream banks.

Notably, Klarna Card is powered by Visa Flexible Credential, a service from the American card network that lets users access multiple funding sources — like debit, credit and BNPL — from a single payment card. It’s a debit card by default, but users can also toggle to one of Klarna’s “pay later” products, including “Pay in 4” and “Pay in 30 Days.”

Klarna is pushing deeper into a fiercely competitive consumer banking market. The U.S. banking industry is dominated by heavyweights such as JPMorgan Chase & Co and Bank of America, while fintech challengers like Chime have also attracted millions of customers.

While Klarna has a full banking license in the European Union, it does not have its own U.S. bank license. However, the firm says it’s able to offer FDIC-insured accounts through a partnership with WebBank, a small financial institution based in Salt Lake City, Utah.

WATCH: CNBC’s full interview with Klarna CEO Sebastian Siemiatkowski



Source link

Tags: Bank of America CorpBanksBreaking News: Technologybusiness newsFDICFinTechJPMorgan Chase & CotechnologyVisa Inc
By CNBC

By CNBC

Next Post
Zscaler Unveils AI And Security Updates: Five Things To Know

Zscaler Unveils AI And Security Updates: Five Things To Know

Recommended.

Somos Achieves SOC 2 Type II Compliance, Ensuring Robust Security Standards

Somos Achieves SOC 2 Type II Compliance, Ensuring Robust Security Standards

January 7, 2025
Geely’s Eric Li Wears AR Glasses to Speak at Global Investment Promotion Conference in Shanghai

Geely’s Eric Li Wears AR Glasses to Speak at Global Investment Promotion Conference in Shanghai

March 28, 2025

Trending.

⚡ Weekly Recap: Oracle 0-Day, BitLocker Bypass, VMScape, WhatsApp Worm & More

⚡ Weekly Recap: Oracle 0-Day, BitLocker Bypass, VMScape, WhatsApp Worm & More

October 6, 2025
Cloud Computing on the Rise: Market Projected to Reach .6 Trillion by 2030

Cloud Computing on the Rise: Market Projected to Reach $1.6 Trillion by 2030

August 1, 2025
Stocks making the biggest moves midday: Autodesk, PayPal, Rivian, Nebius, Waters and more

Stocks making the biggest moves midday: Autodesk, PayPal, Rivian, Nebius, Waters and more

July 14, 2025
The Ultimate MSP Guide to Structuring and Selling vCISO Services

The Ultimate MSP Guide to Structuring and Selling vCISO Services

February 19, 2025
Translators’ Voices: China shares technological achievements with the world for mutual benefit

Translators’ Voices: China shares technological achievements with the world for mutual benefit

June 3, 2025

PTechHub

A tech news platform delivering fresh perspectives, critical insights, and in-depth reporting — beyond the buzz. We cover innovation, policy, and digital culture with clarity, independence, and a sharp editorial edge.

Follow Us

Industries

  • AI & ML
  • Cybersecurity
  • Enterprise IT
  • Finance
  • Telco

Navigation

  • About
  • Advertise
  • Privacy & Policy
  • Contact

Subscribe to Our Newsletter

  • About
  • Advertise
  • Privacy & Policy
  • Contact

Copyright © 2025 | Powered By Porpholio

No Result
View All Result
  • News
  • Industries
    • Enterprise IT
    • AI & ML
    • Cybersecurity
    • Finance
    • Telco
  • Brand Hub
    • Lifesight
  • Blogs

Copyright © 2025 | Powered By Porpholio