🔒 Improved Security
In a move to boost payment security, Klarna has integrated its bank-to-bank payment service, Sofortüberweisung, into Klarna Payments. This change provides enhanced security at checkout for both consumers and merchants. Klarna's decision to merge these services comes as part of its strategy to offer a seamless and secure payment experience globally.
🌍 Global Reach
Klarna acquired Germany-based Sofort in 2014 to enter the Open Banking market. By consolidating Sofort into Klarna Payments, the Sofortüberweisung function is now available within the Klarna 'Pay Now' product range. This integration has already rolled out in various markets, including the UK, earlier this year. Users can now track their Sofortüberweisung payments via the Klarna app, making the process more convenient and secure.
🛡️ Enhanced Protection
The integration also includes enhanced protection measures. Klarna accounts now require two-factor authentication, providing increased security for users. To access these new features, customers must create a Klarna account, with 95% of Sofort customers having already done so. David Sykes, Klarna’s chief commercial officer, stated, "We are integrating Sofortüberweisung into the Klarna environment to offer the best of both worlds: the familiar Sofort payment process combined with the smoother, more secure payment experience and global reach of Klarna."
🔑 New Features
In February, Klarna launched 'Sign in with Klarna,' a consent-based data-sharing login service. This service speeds up online purchases by auto-filling consumer details. The integration of Sofortüberweisung into Klarna Payments further enhances the user experience by combining familiarity with advanced security features. German users will still see the 'Sofortüberweisung' name during their payment process, ensuring continuity in their user experience.
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