Klarna launches two new banking services
Klarna is offering solutions that provide core retail bank business functions to consumers.
The global payments network and shopping assistant is releasing two new banking products in the U.S. and 12 countries across Europe: Klarna balance and cashback rewards. Highlights of each solution are as follows:
Klarna balance
This solution allows consumers to store money in a Klarna “account,” adding money directly from their bank account, receiving cashback rewards for shopping in the Klarna app (see more details below), or receiving refunds from returned items.
Cashback rewards
This offering rewards consumers who shop in the Klarna app. Shoppers earn a percentage of purchases at participating retailers, and the money is stored in their Klarna “balance” account. With cashback, consumers can earn money back on everyday purchases.
The cashback percentage varies by retailer but can be as high as 10%. Unlike specific coupons, sales, or deals, cashback functions like cash, giving consumers the flexibility to spend it wherever Klarna is available. The product launches come shortly after the release of the new Klarna Card, offered as an alternative to traditional credit cards, in the U.S.
Other new solutions offered by Klarna this year include an AI customer assistant based on the OpenAI platform. Available in the Klarna app for the past month available in 23 markets, 24/7 and communicating in more than 35 languages, the generative AI-based tool is designed to manage a range of tasks including multilingual customer service and managing refunds and returns.
Customers can still choose to interact with live agents if they would prefer.
[READ MORE: Klarna streamlines customer service with generative AI assistant]
"Klarna owes everything to our loyal network of millions of consumers," said Sebastian Siemiatkowski, co-founder and CEO of Klarna. "These new products make it easier for customers to manage multiple scheduled payments, helping our customers use Klarna for more frequent purchases and driving loyalty. We are already one of the most trusted brands in financial services and we want to build on that to support all consumers with their everyday spending. Today's launches are a major step forward, allowing consumers to earn money while they shop and manage it in a Klarna account."
