# Accept Klarna payments (/limited-release/alternative-payment-methods/klarna/overview)



# Accept Klarna payments [#accept-klarna-payments]

Klarna is a global technology company that provides a unified platform for payments, checkout, and post-purchase experiences.
Through PayPal's integration, merchants can offer Klarna's payment options (Pay in full, Pay in 30 days, Pay in 3 or 4 installments, and financing) with guaranteed upfront settlement and a streamlined checkout. Merchants get paid upfront, and shoppers choose how they want to pay.

| Countries                                                                                                                                                  | Payment   type                                          | Payment   flow   | Settlement   currency                | Minimum   amount                                                                                                                                                                             | Refunds                                     |
| ---------------------------------------------------------------------------------------------------------------------------------------------------------- | ------------------------------------------------------- | ---------------- | ------------------------------------ | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ------------------------------------------- |
| See [Supported countries](/limited-release/alternative-payment-methods/klarna/reference/supported-countries-payment-options/#merchant-supported-countries) | Pay in full, Pay in 30 days, Pay in 3/4, Fair Financing | Deferred payment | Local currency (same as presentment) | Varies by market and payment option. See [Payment amount limits](/limited-release/alternative-payment-methods/klarna/reference/supported-countries-payment-options/#payment-amount-limits) . | Yes, full or partial refunds up to 365 days |

## Key features [#key-features]

* **Guaranteed settlement** : Receive upfront payment with no risk while buyers enjoy flexible payment timelines, protecting your business from payment defaults.
* **Flexible payment options** : Boost conversion rates by offering Klarna's full range of payment options: Pay in full, Pay in 30 days, Pay in 3, Pay in 4, and Financing. Availability varies by market.
* **Global scale** : Klarna's network reaches 118 million shoppers across 26 markets. Offering Klarna gives merchants a familiar payment option that shoppers already know and use.
* **Streamlined checkout** : Reduce cart abandonment with pre-filled buyer details and preferred payment options that minimize friction.
* **Simplify integration** : Start accepting payments quickly with minimal development effort through PayPal's unified payment platform and streamlined onboarding process.

## How it works [#how-it-works]

1. **Buyer**: Selects Klarna at the merchant's checkout page.

2. **Merchant | Partner**: Creates an order using PayPal's Orders v2 API with Klarna as the payment source.

3. **PayPal**: Sends order ID and `payer-action` link.

4. **Merchant | Partner**: Redirects the buyer to the `payer-action` link.

5. **Buyer**:

   1\. Authenticates with Klarna

   2\. Approves transaction

6. **PayPal**: Redirects buyer to merchant's `return_url` after approval.

7. **Merchant | Partner**: Completes the payment:

   1\. **Automatic flow**: Captures the authorized payment

   2\. **Manual flow**: Authorizes first, then captures

8. **PayPal**: Settles funds to merchant's PayPal account.

9. **Merchant | Partner**: Fulfills order and notifies buyer.

## Buyer flow [#buyer-flow]

<img src="https://www.paypalobjects.com/ppdevdocs/APM_KlarnaFlow01.png" alt="image" />

## Eligibility [#eligibility]

* **Account type** : Verified PayPal Business account required.
* **Geographic availability** : Available to merchants in Europe & North America. For more information, see [Supported countries](/limited-release/alternative-payment-methods/klarna/reference/supported-countries-payment-options/#merchant-supported-countries) .
* **Legal compliance** : Must meet regional legal and privacy requirements. See [Legal and privacy requirements](/limited-release/alternative-payment-methods/klarna/reference/legal-privacy-requirements/) .

## Payment Options Overview [#payment-options-overview]

Klarna offers four flexible payment methods:

* **Pay in 30 Days—** Customers pay up to 30 days after purchase.
* **Pay in N (3 or 4)—** Customers split the cost into 3 or 4 interest-free payments.
* **Financing-** Customers spread the cost over monthly installments.
* **Pay in Full-** Customers pay the total upfront by card.