Klarna is synonymous with the trend “Buy now, pay later” of the purchase and payment of payment until the end of the month or to pay monthly payments without interest.
Nikolas Kokovlis | Nurphoto | Getty images
Swedish Fintech Klarna – Mainly known for its popular services “Buy now, pay later” – Lance his own Visa Debit card, because it seeks to diversify its activities beyond short-term credit products.
The company announced Tuesday that it was driving the product, nicknamed Klarna Card, with certain customers in the United States before a deployment planned throughout the country. Klarna Card will be launched in Europe later this year, added the company.
This decision highlights Klarna’s continuous effort before a long -term public call for public long -awaited to keep its image from the poster from the purchase now, pay later (BNPL) and be considered more a global banking player. BNPL products are interest -free loans that allow people to repay the total price of an item on a series of monthly payments.
“We want the Americans to start associating not only to buy now, to pay later, but to [with] The type of experience of the Paypal portfolio that we have, as well as the Neobank offer that we offer “,” Klarna CEO, Sebastian Siemiatkowski, told CNBC’s “The Exchange” last month.
Klarna’s recently announced card is delivered with an account which can hold the deposits provided by the Federal Insurance Deposit Corporation (FDIC) and facilitate withdrawals – similar to checks offered by traditional banks.
In particular, the Klarna card is supplied by Flexible Credential Visa, a service of the American card network which allows users to access several sources of financing – such as debit, credit and BNPL – from a single payment card. This is a default debit card, but users can also switch to one of Klarna’s “Pay later” products, including “Pay in 4” and “Pay in 30 Days”.
Klarna grows more deeply in a fiercely competitive banking market. The American banking sector is dominated by heavy goods vehicles such as Jpmorgan Chase & Co And America BankWhile Fintech and Chime Challengers also attracted millions of customers.
Although Klarna has a complete banking license in the European Union, she does not have her own American banking license. However, the company says it is able to offer accounts provided by the FDICS thanks to a partnership with Webbank, a small financial institution based in Salt Lake City, Utah.
WATCH: Complete CNBC interview with CEO of Clarna Sebastian Siemiatkowski
