Klarna introduces credit opt out

Klarna has launched the UK’s first voluntary credit ‘opt out’, an additional tool in the Klarna app to help consumers save time and money.

The new feature will assist customers in meeting their financial objectives by giving them a tool that allows them to ‘pre-decide’ not to use credit, for instance, when saving for a certain life event or adhering to a very strict budget.

To activate the credit ‘opt out,’ users must go to the ‘settings’ page in the Klarna app and choose ‘deactivate credit’. When credit is deactivated, users are sent to a page with resources and help for individuals coping with debt, and they are no longer able to utilise Klarna Pay in 30, Pay in 3 or Financing products. Customers must contact Klarna’s customer care teams to reinstate credit services. The opt-out feature is available in the most recent version of the Klarna App.

Klarna’s credit offerings are designed to keep consumers from accruing significant outstanding balances. Unlike credit cards, the firm only loans to people who can afford to repay by performing strict eligibility checks…

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