Klarna, the AI-powered global payments network and shopping assistant, announced a global agreement with the technology solutions provider Lenovo.
Consumers in 15 European countries are now able to pay for their tech purchases at Lenovo.com using Klarna’s flexible payment methods, including its popular interest-free Buy Now Pay Later options.
Klarna offers a “fairer” alternative to credit cards with “strong” guardrails which enable responsible spending.
The company checks a consumer’s eligibility before approving each purchase and provides a “clear” installment plan with “friendly reminders” in order to help shoppers keep on top of their payments.
These guardrails reportedly work as “99% of lending” is repaid and 40% of orders are repaid early.
By offering interest-free BNPL (Buy Now Pay Later), Lenovo is offering its customers one of the “fastest-growing” payment methods today.
Worldwide BNPL spending grew by “18 percent in 2023,” according to a report by Worldpay.
Raji Behal, Head of Western and Southern Europe, UK & Ireland at Klarna, says that this is massive news “for lovers of high tech and haters of hidden fees and high interest.” Behal added that now consumers can “spread the cost of their tech essentials without paying record high interest to the big banks.”
Angus Cormie, Director & GM, EMEA eCommerce for Lenovo says that this partnership means that their customers can “spread the cost of Lenovo’s AI-enable and optimized devices, from powerful workstations to portable laptops, in easy-to-manage, interest-free instalments.”
Lenovo has launched Klarna’s full range of payment products in Austria, Belgium, Denmark, Finland, France, Germany, Ireland, Italy, the Netherlands, Norway, Portugal, Spain, Sweden, Switzerland and the UK.
This past week, Klarna announced that it will soon be available on Google Pay.
Starting next year, Google Pay users in the U.S. can “choose Klarna’s interest-free payment options at checkout.”
Sebastian Siemiatkowski, CEO of Klarna, said that they are pleased to bring their fair, flexible, and interest-free payment options “directly to Google Pay users.”
Siemiatkowski added that this announcement moves them closer to their vision of having Klarna “available at every checkout, everywhere, for everything, all the time.”
Together with Google, they’re making it easier for millions of shoppers to choose Klarna, “empowering consumers to shop confidently with a smarter, more transparent way to pay right at their fingertips.”
Drew Olson, Senior Director from Google Pay, said people shop on Google more than “a billion times per day, and consumers are increasingly looking for more choice and flexibility when it comes to their payment options.”
By teaming up with pay over time providers like Klarna, they are able to give Google Pay users “more payment options when checking out, while providing merchants with another tool to drive growth.”
Klarna on Google Pay will offer Google Pay’s consumers in the U.S. the flexibility of interest-free installments “on purchases starting at $35, along with financing options with competitive APRs.”
Users will be able to manage their purchases in the Klarna app—tracking deliveries, “handling returns, and managing repayments—all in one place.
This integration will make flexible payment options even more accessible for Google Pay users, who can soon shop and pay with Klarna directly from their devices.”
With 85 million active consumers, and over 600,000 merchants, Klarna is a expanding commerce network and the most popular global BNPL provider.
Partnerships with payment service providers and digital wallet providers are connecting Klarna to more consumers.
Klarna’s commerce network aims to provide shoppers with a fairer, flexible alternative to traditional credit, making Klarna’s payment solutions “available wherever consumers shop.”