Klarna & Apple Partner to Offer Payment Plans for New Tech

Although Klarna is fast approaching its 20th birthday, it is – in relative terms – still a new kid on the block in the realm of financial services.

The Swedish fintech company was established in 2005, launched in the US in 2015 and is today a household name, accruing 150m users globally.

Now Klarna has reached another milestone. It has partnered with Apple, one of the world's biggest companies, to launch "Apple from Klarna".

Apple from Klarna is a "dedicated storefront" within Klarna's app and website, allowing users to purchase a large suite of Apple products through Klarna's "buy now, pay later" approach to transactional financing.

Why have Klarna and Apple partnered up?

As an official Apple reseller, Klarna is strengthening its position in the fintech space by offering customers more accessible ways to purchase Apple’s latest technology.

The partnership is designed to make acquiring premium devices easier for consumers, with low monthly payment options starting at US$7.99 per month.

Sebastian Siemiatkowski, Klarna's Co-founder and CEO, highlights the company’s mission to simplify the consumer journey. He says: “With Apple from Klarna, we are making it easier than ever for our 25 million active US customers to access the latest tech from Apple, giving them greater financial freedom and flexibility.”

Upgrade Financing: "A new way to shop Apple products"

One feature of Apple from Klarna is the introduction of "Upgrade Financing".

With Upgrade Financing, customers at the end of their loan term have the option to either upgrade to a newer model or retain their device by making a final interest-free payment.

This dynamic model taps into the growing trend of subscription-like ownership, which is particularly attractive to consumers who want access to the latest technology without the high upfront cost.

Sebastian emphasises Klarna’s commitment to consumer-first experiences: “We’re offering a new way to shop Apple products, giving customers the opportunity to upgrade regularly or own their device outright—whichever best suits their needs.”

How does Klarna’s new offering impact the fintech sector?

For the fintech sector, Klarna’s collaboration with Apple is a strategic move that underscores the growing intersection between finance and technology. By offering consumers flexible financing options with 0% APR for qualified customers, Klarna is reducing barriers to entry for premium tech products.

However, this offering is subject to credit approval, with actual APR rates varying from 0% to 29.99%, depending on the customer’s creditworthiness.

So, whilst this collaboration could expand customer access to Apple products, the interest rates that less economically stable individuals receive could be less enticing. 

With this initiative, Klarna is positioning itself as a major player in the evolving buy-now-pay-later (BNPL) landscape, where consumer demand for flexible payment models continues to rise.

Indeed, a deal of this size and prestige does a lot to enshrine the legitimacy of Klarna's model, which could lead to similar approaches being adopted across the fintech sector.

Sebastian says that Klarna's model wants to understand its customers, which he says is sort of "unique" in financial services.

He says: "The better I understand you as customers, the more likely I'm able to actually save you time, save you money, and do something that's of value for you."

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