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Image: Cath Virginia / The Verge, Getty Images
Apple Pay will now include Klarna as an option at checkout. The addition of the buy now pay later (BNPL) service comes just months after Apple shut down Pay Later, its own BNPL service launched in 2023.
Klarna lets users purchase products with four interest-free installments. Even though BNPL services like Klarna are rising in popularity, surveys suggest the services may lead to overspending.
Image: Apple
These loans are also harder to track because most aren’t reported to credit bureaus. Earlier this year, the Consumer Financial Protection Bureau issued a rule that classifies BNPL services as credit card providers, requiring them to investigate disputed purchases and provide refunds for returned products.
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