Is It Possible to Integrate Klarna and PayPal for Payments?
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Klarna and PayPal are digital payment service platforms. They have emerged to facilitate how we manage our money for purchases and value transfers. Since they are companies competing for supremacy in the same branch of the market, the question is whether they can be integrated and if can you use Klarna to pay a PayPal invoice.
Reports from some users say that people are restricted to Paypal accounts forever after using Klarna on Paypal. While other users have reported that Klarna accepts integration with Paypal to make purchases in case a merchant accepts Paypal as a payment method. Taking these issues into account, we will bring in this article information to help you understand the issue.
What Is Klarna
Before explaining if can you use Klarna to pay a PayPal invoice, we will explain what each platform is separately.
First, Klarna is a fintech (financial technology). It is a company that digitally provides financial services. It was founded in 2005 and is based in Stockholm, Sweden. It has 150 million active customers, with 25 million active customers in the US. Klarna is present in 45 countries.
The platform was created to offer convenience, security, and simplicity for customers to make their purchases. The service provides a variety of payment methods. Customers can choose from pay after-delivery, direct payment, or installment plans, including Pay in 4, Klarna’s main program.
What Is PayPal
PayPal is a company specializing in online payments, established in 1998 and headquartered in San Jose, California. It operates internationally in more than 200 markets, with over 430 million active consumers and Merchant accounts.
It is, like Klarna, one of the largest companies in the industry. It offers payment services and money transfers digitally. It also works as a digital wallet, allowing customers to add their bank account, debit, and credit cards.
Does Klarna Accept PayPal?
Klarna does not accept payments made through Paypal. The possible reason for Klarna not accepting Paypal is that Paypal’s BNPL (Buy Now, Pay Later) service will be established in 2020. This service is also offered by Klarna, and because of this, the companies have become competitors for supremacy in the payment business.
To pay for your purchases made with Klarma, you can choose to use a direct debit, an Instant Bank Transfer, or a credit card from Visa or MasterCard.
Does PayPal Accept Klarna?
The answer to this question is yes; PayPal accepts Klarna. You can add a single-use Klarna card to a PayPal account to make a purchase.
Klarna can be used with PayPal to pay for your purchases when a retailer such as Amazon offers PayPal as a payment method. To do this, you must obtain a single-use Klarna card and add it to your PayPal account. To do this, follow these steps:
- Step 1: Log in to your PayPal account.
- Step 2: Go to the “Banks and Cards” area in the “Pay & Get Paid” section of the PayPal site.
- Step 3: Click on “Link a new card” in the Cards section.
- Step 4: Add your Klarna one-time card data, such as card number, card type, security number, expiration date, and billing address.
- Step 5: Click on “link card.”
When finalizing a purchase, remember to check if the retailer accepts Klarna and PayPal as payment methods.
Comparisons Between Klarna and PayPal Installment Methods
Both platforms offer a payment feature known as “Pay in 4”. This option allows customers to pay for their online purchases at participating merchants in four equal installments. The first cash payment must be made during the refund period, which covers six weeks. The remaining three payments must be made every two weeks.
To enroll in the installment plan, PayPal charges a small fee to verify and confirm your enrollment, needing to confirm your identity by providing your personal details. Meanwhile, Klarna is more straightforward, requiring that you provide your bank account before your first purchase.
If you choose to use Klarna’s Pay in 4, the minimum limit to make a purchase is $10, with the maximum limit being $1,000. Also, if you delay your payments to Klarna, the platform will attempt to collect the payment twice. If you are unable to make the payment, Klarna will allow a 7 to 10-day extension of time.
On the other hand, when using Paypal’s Pay in 4, the minimum and maximum limits are higher, ranging from $30 to $1,500. Also, in some states, such as Delaware, Indiana, Mississippi, Pennsylvania, Meine, Arkansas, Maryland, and Oregon, PayPal does not charge a late fee for late payments. But in all other states, PayPal charges up to $10 per late payment.
As seen in this article, Klarna and PayPal are platforms that offer financial services in digital form to make the way we handle payments more accessible and more flexible.
Each platform offers its advantages and disadvantages. In any case, either company can be trusted to manage your money and offer a variety of convenient payment alternatives.
Both companies offer attractive options for customers. However, because they provide similar services, they eventually become competitors. This raises the question of whether there is a possibility of integration between Klarna and PayPal and whether it is possible to use Klarma to pay PayPal and vice versa.
We hope we have clarified some doubts you may have on the subject.
Paul Martinez is the founder of EcomSidekick.com. He is an expert in the areas of finance, real estate, eCommerce, traffic and conversion.
Join him on EcomSidekick.com to learn how to improve your financial life and excel in these areas. Before starting this media site, Paul built from scratch and managed two multi-million dollar companies. One in the real estate sector and one in the eCommerce sector.