Accepting Installment Payments in Your Shop

Buyers in the United States can choose to pay in installments from any shop that offers Etsy Payments if the buyer’s total is between $50 USD and $10,000 USD after discounts and before shipping and taxes. At this time, Klarna installment payments are only available to US buyers. We hope to add more locations in the future.

Klarna, an online payments company, offers installment payments to buyers on Etsy when they meet the relevant criteria.

As long as you offer Etsy Payments, you don’t need to add the option for US buyers to pay in installments with Klarna. As with all Etsy Payments payment methods, there is no way to opt out.

Am I responsible for the buyer's payments to Klarna? 

When a US buyer pays with Klarna, you receive the full payment immediately in your Payment account at the time of the sale, similar to any other Etsy Payments payment method. The buyer will pay the installments directly to Klarna.

If the buyer fails to make payments to Klarna, this will not affect the payment you received for the order.

Learn more about how buyers pay with Klarna

How refunds work with Klarna

You can refund a Klarna order in the same way you refund any other Etsy Payments order. Once issued, Klarna will receive the refund from Etsy and apply it to the buyer’s Klarna balance appropriately.

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