Swedish fintech firm Klarna has secured an exclusive deal to provide buy now, pay later loans for Walmart customers, taking a coveted partnership away from rival Affirm. The partnership is expected to be launched in the coming weeks and will be available on all Walmart channels by the holiday season.
Klarna’s OnePay brand will handle user experience via its app, while Klarna itself will make underwriting decisions for loans ranging from three months to 36 months in length, with annual interest rates from 10% to 36%. The move heightens competition between Affirm and Klarna, two of the world’s biggest buy now, pay later players.
The partnership comes at an opportune time for Klarna as it readies one of the year’s most highly anticipated initial public offerings. Klarna CEO Sebastian Siemiatkowski described the deal as a “game changer” that will help redefine checkout at Walmart, both online and in-store. The move also underscores the growing demand for buy now, pay later options, with Americans holding a record $1.21 trillion in credit card debt.
Klarna’s valuation has been on the rise, with its private market value currently around $15 billion, nearly matching the public market value of Affirm. Shares of Affirm dropped 4.2% Monday after falling as much as 14% earlier in the session.
Source: https://www.cnbc.com/2025/03/17/walmart-klarna-nearing-ipo-wins-fintech-partnership-from-affirm.html