Credit Score Basics > Does Klarna Report to UK Credit Reference Agencies?

Does Klarna Report to UK Credit Reference Agencies?

Wollit Team2 minute read · Updated 18th February 2025

Since June 2022, Klarna has changed how it reports customer information to UK credit reference agencies. This guide explains exactly what Klarna reports, how it affects your credit score, and what you need to know about Buy Now Pay Later (BNPL) credit reporting.

Quick Answer

Yes, Klarna now reports to UK credit reference agencies. They share payment information with Experian and TransUnion, including both positive payment history and missed payments.

How Klarna Reports to Credit Reference Agencies

What Information Does Klarna Report?

Klarna reports several types of information:

Payment history (on-time and missed payments)
Outstanding balances
Credit agreements
Account status

Which Credit Reference Agencies Receive Klarna Data?

Currently, Klarna reports to:

Experian
TransUnion

Note: While Klarna doesn't directly report to Equifax, it's still important to monitor all three credit reference agencies for a complete view of your credit profile.

How Klarna's Credit Checks Work

Different Klarna services involve different types of credit checks:

Pay in 30 Days & Pay in 3:

Soft credit check only
Won't affect your credit score
Only visible to you

Financing (6-36 months):

Hard credit check required
Visible to other lenders
May temporarily impact your credit score

Impact on Your Credit Score

Positive Impact

✓ On-time payments can help build credit history ✓ Responsible use shows good money management ✓ Regular repayments demonstrate reliability

Negative Impact

✗ Missed payments stay on your file for 6 years ✗ Late payments can harm your credit score ✗ Multiple applications might affect creditworthiness

Managing Klarna Payments and Your Credit File

Best Practices

Always make payments on time
Set up payment reminders
Don't overextend yourself
Monitor your credit report regularly
Keep track of all BNPL commitments

What Happens If You Miss a Payment?

If you miss a Klarna payment:

It will be reported to credit reference agencies
Your credit score may be negatively affected
The missed payment stays on your file for 6 years
You might face restrictions on future Klarna use
Late payment fees may apply

Using Klarna Responsibly

To protect your credit score while using Klarna:

Only borrow what you can afford
Keep track of payment dates
Maintain emergency funds for payments
Check your credit report monthly
Don't rely solely on BNPL for credit building

Frequently Asked Questions

Q: How quickly does Klarna report to credit reference agencies? A: Klarna updates credit reference agencies monthly with your payment information.

Q: Can Klarna help improve my credit score? A: While responsible use can contribute positively, BNPL shouldn't be your primary credit-building strategy.

Q: What should I do if I can't make a payment? A: Contact Klarna immediately to discuss options. Being proactive can help prevent negative credit impacts.

Final Thoughts

Understanding how Klarna reports to credit reference agencies is crucial for managing your credit health. While BNPL can be a useful payment tool, it's important to use it responsibly and be aware of its impact on your credit file.