KlarnaQuick Wins
£10 Free Cash
Value
£10
Klarna is a Swedish fintech founded in 2005, best known in the UK for its Buy Now Pay Later service. The company has more than 119 million active customers worldwide and more than 11 million in the UK, working with more than 60,000 UK retailers including Argos, eBay, Eurostar, and John Lewis.
Customers
11m
UK accounts
Founded
2005
21 years old
App Store
4.9 ★
480k reviews
Google Play
4.8 ★
1.8m reviews
Live offers
1
Worth £10
Klarna Financial Services UK Ltd is authorised by the Financial Conduct Authority for electronic money issuance (FRN 1021834) and consumer credit (FRN 987889). Klarna Balance is safeguarded under e-money rules, not protected by the Financial Services Compensation Scheme.
Klarna at a glance
Klarna is an FCA-authorised fintech offering a UK wallet, virtual Visa debit card and Buy Now Pay Later. Quidsy lists a free cash offer for new wallet users who load and spend on a few everyday purchases. Handy as a spending top-up alongside your main bank, not a full current account replacement.
Updated:
Current Klarna offers
Review notes· 5 min read
Klarna details
Klarna is a Swedish fintech founded in 2005, best known in the UK for its Buy Now Pay Later service. The company has more than 119 million active customers worldwide and more than 11 million in the UK, working with more than 60,000 UK retailers including Argos, eBay, Eurostar, and John Lewis.
In October 2025, Klarna launched its first UK virtual Visa debit card (Klarna Card) alongside a digital wallet (Klarna Balance), marking its expansion beyond Buy Now Pay Later into everyday banking. Klarna Financial Services UK Ltd is authorised by the Financial Conduct Authority both as an electronic money institution and for consumer credit activities.
Klarna suits anyone who already shops with retailers that accept it and wants a flexible way to pay. The new Klarna Card and Klarna Balance are useful for people who like the option to split payments via Buy Now Pay Later but also want a regular Visa debit card for everyday spending. The wallet is best used as a top-up card you load before spending, rather than as a primary current account: there are no direct debits or standing orders yet, so it does not replace your main bank.
Is Klarna safe?
Yes, Klarna is regulated by the Financial Conduct Authority. Klarna Financial Services UK Ltd is authorised as an electronic money institution (FRN 1021834) for the Klarna Card and Klarna Balance, and separately for consumer credit (FRN 987889) covering its longer-term Pay Later financing plans.
Because Klarna Balance is e-money rather than a bank deposit, it is not covered by the Financial Services Compensation Scheme. Instead, EMI safeguarding rules require Klarna to hold customer funds in segregated accounts so they can be returned to you if the firm fails. The Klarna Card is issued via Visa and carries standard Visa fraud protections.
Buy Now Pay Later itself has historically sat outside FCA oversight in the UK, but that is changing: from 15 July 2026, BNPL providers including Klarna must be FCA-authorised under new consumer credit rules covering affordability checks, clearer terms, and access to the Financial Ombudsman Service. Klarna already operates regulated credit products and has publicly welcomed the new regime.
Who is Klarna for?
Klarna suits anyone who already shops with retailers that accept it and wants a flexible way to pay. The new debit card and wallet are useful for people who like the option to split payments via Buy Now Pay Later but also want a regular debit card for everyday spending.
The wallet is best used as a top-up card you load before spending, rather than as a primary current account. There are no direct debits or standing orders yet, so it does not replace your main bank account.
What does Klarna do?
Klarna Card
A virtual Visa debit card backed by your Klarna Balance. Use it online or in-store anywhere Visa is accepted, with no credit check at sign-up.
Klarna Balance
A digital wallet you top up from your bank, then spend from via the Klarna Card. Refunds and cashback rewards land here too.
Buy Now Pay Later
Split purchases into interest-free instalments or pay later at around 60,000 UK retailers including Argos, eBay, Eurostar, and John Lewis.
Standard membership free
The basic Klarna membership has no monthly fee. Paid tiers offer extra rewards but are entirely optional.
Pros and cons
What stands out
4 pros- Buy Now Pay Later at around 60,000 UK retailers
- New Klarna Card (Visa debit) backed by the Klarna Balance wallet
- FCA-authorised for both e-money and consumer credit
- No credit check at sign-up, won't appear on your credit file
Worth knowing
3 cons- Klarna Balance is safeguarded under e-money rules, not FSCS-protected like a bank deposit
- No direct debits or standing orders yet, so it cannot replace your main current account
- BNPL still tempts overspending if you are not careful tracking what you owe
Klarna is a useful add-on for anyone who already shops with retailers that accept it. The new virtual debit card is a nice extension of the wallet. Fine as a top-up spending card, but not a full bank account replacement.
For this £10 bonus, the maths is simple: load £15 you would have spent anyway, make 3 transactions during your normal shopping, and get £10 back instantly. Any leftover can be transferred straight back to your bank, with only a soft credit check. Easy yes.
Klarna FAQs
Klarna mainly earns from retailer commissions: businesses pay Klarna a percentage of each sale when shoppers check out with Buy Now Pay Later or the Klarna Card. It also earns interest and fees on longer-term financing plans (6-36 month "Pay Later" loans), and a small portion of revenue comes from interchange fees on Klarna Card transactions. Standard membership is free for users.
After signing up to Klarna through a referral link, make three separate transactions of at least £5 each within 30 days of signing up, using your Klarna Card or Klarna Balance. The £10 lands in your Klarna Balance shortly after the third qualifying transaction posts, and you can transfer it straight back to your bank. The Klarna Card needs no credit check at sign-up, so it won't affect your credit score.
Next step
Choose your route with Klarna
£10 Free Cash is the strongest live Klarna route we have listed right now.