Does Klarna affect your credit score?

Emily Tye

Written byEmily Tye

Updated:Dec 18, 2025

5 min read

Buy Now, Pay Later (BNPL) services like Klarna are popular ways to spread the cost of purchases, but yes, they can affect your credit score. This could be in both a positive way (if you make all payments on time) and in a negative way (if you miss payments). Let me break it down for you.

How does Klarna affect your credit score?

Klarna offers three main ways to spread your payment:

  1. Pay in 3: Split the cost into three interest-free monthly payments.

  2. Pay in 30 days: Get up to 30 days to pay for your order in full.

  3. Financing: A longer-term credit agreement with interest.

Since June 2022, Klarna has shared this borrowing data with Experian and TransUnion. This means all your repayments, whether on-time or late, are reported. So:

  • ⬇️Any missed or late payments can show up on your credit file and cause your score to lower.

  • ⬆️ But, if you use Klarna responsibly and make your payments on time, you can actually boost your score, which may make it easier for you to apply for a loan, mortgage or credit card.

Note: In the UK, using Klarna's 'Pay in 3', 'Pay in 30 days' and 'Financing' services require a soft credit check (not a hard credit check), which does not impact your credit score.

What happens if you miss a Klarna payment?

Missing a payment has real-world consequences:

  1. Late fees: Since March 2023, Klarna have charged a late fee (typically £5 per instalment), though these are capped to prevent debt from spiralling (at 25% of the order value).

  2. Credit score damage: Unlike in the early days of BNPL, missed payments on any Klarna product (including Pay in 3) are reported to credit agencies. This can lower your credit score.

  3. Debt collection: If a balance remains unpaid, Klarna may pass your debt to a collections agency, which can have a more severe impact on your credit file.

The 'Pay in 3' service will take your payment automatically from your debit or credit card, however 'Pay in 30 days' payments are manual. To ensure you never miss a payment, it's a good idea to set up the 'Autopay' feature. To do this:

  1. Download the Klarna app and navigate to the control centre.

  2. Tap 'Payment methods'.

  3. Select Autopay.

  4. Enter your card details (or select a card from the list if you've previously done so).

  5. Toggle on Autopay.

This blog is for informational purposes only and does not constitute financial advice. Please speak to a qualified financial adviser before making financial decisions. Always check terms before using Buy Now, Pay Later services.