In today’s fast-paced world, managing finances while indulging in shopping has become increasingly convenient thanks to innovative financial services like Klarna.

Klarna is a payment service provider that partners with retailers to offer customers various payment options at checkout.

These options include:

  • Pay Now: Pay the full amount immediately at the time of purchase.
  • Pay in 3: Spread the cost of your purchase over a series of monthly instalments.
  • Pay Later: Get your items first and pay within 14 or 30 days, depending on the retailer.

 

Be Klarna Ready

There are a few things you will need to make sure you have ready to make a purchase at Parkers with Klarna payment options.

  1. Download the app from the Apple App Store or Google Play Store.
  2. Create an account by opening the app and creating an account using your email address. You’ll need to provide some basic personal information, such as your name, address, and phone number.
  3. Add a payment method by linking your preferred payment methods, such as a bank account, credit card, or debit card, to your Klarna account.
  4. Verify your identity: Klarna may require you to verify your identity for security purposes. This usually involves entering a verification code sent to your phone or email.

 

Reasons for being declined by Klarna

There are several reasons why someone might not be approved by Klarna for a purchase or an account. These reasons generally relate to the customer’s financial situation, credit history, and Klarna’s internal policies and risk assessments. Here are some common reasons:

Credit Check

Klarna performs a soft credit check when you apply for their services. If your credit score is too low, you may be denied. A history of missed payments, defaults, or other negative marks on your credit report can affect your eligibility.

Payment History with Klarna

If you have used Klarna before and have a history of missed or late payments, this can impact your ability to get approved for future purchases

Outstanding Debts

If you have outstanding debts with Klarna or other financial institutions, it may affect your approval. Klarna may deem you as a higher risk if you have multiple unpaid balances.

Income and Employment

Klarna may consider your income and employment status. If they believe your income is insufficient to cover the repayments, they may not approve the purchase.

Purchase Amount

The amount of the purchase in relation to your credit profile can also be a factor. If the purchase amount is high relative to your income or credit limit, Klarna might deny the transaction.

Fraud Prevention

Klarna has measures in place to prevent fraud. If your account or transaction triggers any of their fraud prevention mechanisms, such as unusual activity or discrepancies in your information, you may be denied.

Internal Policies

Klarna has internal lending criteria and risk assessments that can affect approval. Even if your credit score is acceptable, other internal factors might lead to a denial.

Incomplete or Inaccurate Information

If the information provided during the application process is incomplete or inaccurate, Klarna may not approve the transaction. This includes personal details, address, and financial information.

Account Restrictions

Some accounts may have restrictions based on the type of product or service being purchased. Certain high-risk or restricted items may result in a denial.