Etsy launches Klarna in the UK

Etsy Launches Buy Now, Pay Later Klarna Payment Option in the UK

Etsy has expanded its relationship with Klarna to the UK, enabling sellers to offer the Buy Now, Pay Later payment option at checkout. This allows buyers to make a purchase in the moment, and then pay in three installments over time.

This is especially handy when the item is a fairly large purchase, there’s a limited amount available, or it’s needed for a special occasion, such as birthdays, anniversaries, and during the upcoming holiday season.

Klarna on Etsy

Etsy sellers that are already using Etsy Payments don’t need to do anything as the payments option is automatically available on eligible purchases.

With Klarna, the sale will look the same to sellers and they will receive the same payout (minus fees and taxes) as if the shopper used any other payment options.

There are no additional fees to sellers when a shopper uses “Pay in 3” as Etsy’s standard payment processing fees apply, and sellers are still covered by Etsy’s Seller Protection Policy.

How it Works in the UK

UK buyers will see Klarna as an option at checkout if their order is £50–£1,000. They’ll enter their information and if approved by Klarna, pay a third of the total purchase price at checkout with the remaining balance over a four-week period.

Klarna’s Buy Now, Pay Later payments option on Etsy was originally launched in Germany in 2018. It has also been available in the US since last year. Etsy plans to expand the Buy Now, Pay Later payment option to more countries soon.

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