Woman using tablet, online payment, banking and online shopping in the blue color background.
Fintech North America Paytech

Klarna Teams Up with GoCardless to Accelerate US Expansion

Klarna, a global retail bank, payments and shopping service, announced that it has chosen GoCardless, a global provider of account-to-account payments, to offer bank debit payments to its over 21 million US customers.

Klarna will use GoCardless for its popular Pay in 4 offering and its financing solution, creating a more convenient shopping experience for consumers. Klarna users can pay in four interest-free instalments when choosing Pay in 4, as well as across monthly payments with Klarna financing. These alternatives for purchases reduce the risk of failed or late payments and remove the hassle of entering and updating card details.

This new way of paying taps into the growing trend of US shoppers moving away from traditional forms of credit with high-interest rates and revolving debt, towards smarter and more sustainable payment methods. Younger consumers, in particular, have lower adoption rates for credit cards: In the US, Gen Z consumers have an average of two credit cards compared to the national average of three, according to Motley Fool.

Koen Köppen, CTO at Klarna, says: “The US is a key market for Klarna, and we continue to see strong growth, doubling our customer base to over 21 million from last year. To continue along that trajectory we need partners that not only provide our consumers and retailers more choice and control but also offer us cutting-edge technology and best-in-class service. We’re excited to work with GoCardless and leverage its expertise in account-to-account payments as we expand in the US.”

Hiroki Takeuchi, co-founder and CEO of GoCardless, adds: “We’ve been proud to work with Klarna in the UK since 2018. From the start, it was clear one of our value-adds was our global bank debit network, enabling Klarna to access multiple markets through a single platform. After years of phenomenal growth across the world, we’re thrilled to be Klarna’s bank debit provider as they make further inroads in the US.”

Takeuchi added, “With card fees rising and the appetite for debt dropping, we predict rapid growth for alternative payment methods. Not only does this include making purchases with Buy Now, Pay Later, it also extends to how shoppers prefer to pay off their balances – namely, through their bank account, whether that’s powered by ACH debit or newer technology like open banking. Over the next few years we expect account-to-account payments to challenge the dominance of cards as they tap into changing consumer demand and provide merchants significant benefits in terms of cost, conversion and churn.”

This announcement builds on GoCardless’ presence in the US, a market it entered in 2019. Since then, GoCardless has grown its customer base, which includes DocuSign and 8×8, and opened a second office in New York City to act as the hub for strengthening and scaling the GoCardless payment infrastructure in the US. The US will continue to be a focus area for GoCardless, with the company doubling its headcount in 2021 as roles were filled across both the company’s east coast and San Francisco offices. By the end of 2022, GoCardless plans to grow the US team by another 125%.


  • Polly is a journalist, content creator and general opinion holder from North Wales. She has written for a number of publications, usually hovering around the topics of fintech, tech, lifestyle and body positivity.

Related posts

Behind the Idea: WayFlyer

Francis Bignell

Bitso Acquires Quedex to Aid Latin American Expansion

Polly Jean Harrison

Wildfire Systems On Fueling Savings and Empowering Customers as a ‘Fintech for Good’

The Fintech Times