The following Terms apply between Klarna Bank AB UK Branch (“Klarna”, “we” or “us”) and you who has made a purchase and want a smoooth payment experience. If you choose this credit offering you agree to these Terms.
This is a credit offering you can choose to part pay your purchases by dividing the cost into 3 payments without any interest, fees or charges using a credit or debit card. However, the issuer of your card may charge interest or other fees under the terms of your card agreement.
Provide your card details in order to complete your purchase. The first payment is taken from your card at the time the merchant confirms your order. The two remaining payments will also be taken from your card 30 and 60 days after the first payment is taken. We will tell you the due dates via electronic communication and they are viewable in the Klarna application.
You give us the authority to take the two remaining payments from your card on the due dates. In the event the merchant does not charge for your entire order at the same time, we will create a different Pay in 3 instalments plan for each merchant charge. Each of these order parts will have its own due date depending on when the merchant confirms that part of your order. This situation may be common where a merchant does not ship all the items from your order at the same time.
You will maintain an adequate credit balance on your card to allow for payments to be taken on the due dates. Pay in 3 instalments is a form of credit. It is important you ensure enough funds are available to complete your payment on the due date. If you fail to make a payment you will be in default, and may be unable to use the service in the future. We may continue to attempt to collect overdue and currently due payments on subsequent due dates, or invoice you separately for the unpaid total. If you do not pay for your purchase, Klarna may engage with an external debt collection agency to collect on our behalf.
You must be 18 years old.
Pay in 3 instalments is a form of credit.
The card is valid (i.e. has not expired) and issued to you, and you have sufficient funds on the card.
It is at our discretion whether we offer you this credit offering. We may limit the types of cards we accept at our discretion. If a type of card is not accepted you will be notified before the purchase is completed. Most valid credit and debit cards that are not scheduled to expire in the near future are accepted. We do not accept prepaid cards. If we accept a card we will authorise the card for 1/3 of the order total at point of purchase. This amount will not be charged until the merchant confirms the order, but your card issuer may restrict your access to the authorised amount while pending. If we, for any reason, would be unable to charge the first instalment from your card, we will notify you about this and conduct a maximum of two (2) retries in order to try to collect the funds. You will be notified in good time in writing about the payment failure and when the retries will be scheduled so you’ll have enough time to make sure that you have sufficient funds on your card. If we were unable to withdraw funds after the two (2) retries, the missed payment will be rolled over to the second instalment. You can update the card linked to your purchase for payment at any time prior to your due date in the Klarna application and, where changed, we shall attempt to collect from this new card information.
We may carry out a limited credit search on you at a credit reference agency. This search will not affect your credit score or your chances of obtaining a credit in future. If we do not carry out a limited credit search we will validate your card and request authorisation from your card issuer. In this case there will be no entry shown on your credit file for these payments.
If we are not able to take the second instalment from your card on the due date we will provide you a courtesy slack period of a few days so that you can update your payment method or ensure enough funds are available on your selected card. If we are not able to take the second instalment during this period we will make two (2) more retries before rolling over the unpaid amount to the next and final instalment. If we are unable to take the outstanding amount on the third instalment, we will follow the same procedure as listed above with two (2) retries and thereafter, if payment is not successful, we may invoice you the remaining amount or follow our debt collection procedures. Please note that Klarna will notify you in writing prior to any withdrawals taken from your registered card, if a payment fails, if an instalment amount is rolled over to the next scheduled due date or if the debt is handed over to an external debt collection agency.
If your card is cancelled you will immediately pay us all the remaining payments when we ask you to. If your card details change between your initial purchase and final payment, you agree to notify Klarna of your updated card information. Klarna will provide you an online method to provide these updates. If you fail to provide updated information, you authorize Klarna to obtain the updated details from your card issuer, if available.
You authorize us to store your card details on our systems. We will use this information to authorize future payments under these Terms. Unless you opt out, we may also use this information to conveniently prefill your card details for future purchases. You may manage your cards and details online. In the event Klarna obtains updated card information from your card issuer, you agree that we may store this updated information on our system.
You can pay any remaining payments at any time and we will not charge you for doing so.
If you cancel your purchase we will cancel any remaining payments and pay back to your card any amounts we have taken. Any part returns or refunds credited to your purchase will reduce your outstanding balance, but do not count as payments. You will need to continue to make your previously disclosed payments at scheduled due dates until your balance is paid in full.
Klarna processes your personal data in order to carry out our obligations in this agreement and for the additional purposes set out in our Privacy Notice. The Privacy Notice is available here, and on our website, and by using Klarna’s services you confirm that you have read this Notice. We process your personal data for example to identify you and perform customer analysis, credit assessments, marketing, and business development. We may also transfer your data to selected partners (such as credit reference bureaus), which may be established outside of the UK. In the Privacy Notice there is more information about our data sharing, your rights in regards to your data, how you may contact us with questions, or submit a complaint to an authority.
For complaints, the information provided on https://www.klarna.com/uk/feedback-and-complaints/ applies. By using our Service you consent and agree to that Klarna provides all communication regarding complaints electronically. If you have a complaint towards Klarna, you can submit your complaint through Klarna’s customer service webpage using the chat function or by giving us a call on (+44) 0808 189 3333.
We aim to handle all complaints promptly, effectively and in a positive manner. If we do not resolve your complaint to your satisfaction, you may refer your complaint to Klarna’s Complaints Adjudicator for an impartial review, using the form provided alongside your final response.
For more information about how we handle complaints at Klarna, please refer to our complaints handling procedure.
You may not transfer or assign any rights or obligations you have under these Terms without our prior written consent. We have the right to transfer or assign these terms or any right or obligation under these Terms at any time without your consent, provided that such transfer does not alter your rights and obligations under these Terms to your detriment.
Klarna Bank AB UK Branch, is a branch of Klarna Bank AB which is authorised and regulated by the Swedish Financial Services Authority. Deemed authorised by the Prudential Regulation Authority. Subject to regulation by the Financial Conduct Authority and limited regulation by the Prudential Regulation Authority. Klarna Bank AB UK Branch’s establishment number is BR020956 and is located at 125 Kingsway, Holborn, London, WC2B 6NH, United Kingdom, with FCA reference number 536065. Klarna Bank AB’s headquarters are located at Sveavägen 46, 111 34 Stockholm, Sweden, registered in the Swedish Commercial Register under registration number 556737-0431.
For further information about Klarna, go to: https://www.klarna.com/uk/
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