Financial services are highly regulated. This means that Klarna and our merchants who advertise with us need to follow the laws and regulations that govern advertising financial products.
The following advertising guidelines provide a general overview of the requirements you need to follow. Remember that it is also your responsibility to learn and understand the laws governing the advertising of financial products. If you ever have any questions or are unsure, please reach out to your Klarna marketing contact or us.comarketing.support@klarna.com.
When advertising financial products, it is important that you make the right disclosures so that consumers can easily understand what is being advertised. You MUST include the disclosure. It MUST be easy for consumers to see. If you cannot put the disclosure directly next to the messaging, it must be on the same page using a reference text or reference symbol, or One click away using a hyperlink. Disclosures inform customers of actually available terms, they must be clear and conspicuous, they must be legible—no one should have to squint to read them: 8 pt. font size minimum is usually sufficient and contrast text with background color for full visibility.
If disclosures are separate from the messaging they modify, you need to connect the messaging and the disclosure together with one of the following:
Hyperlink: Learn more.
Reference text: See footer for details.
Reference Symbol: (e.g., *,†) If using a reference symbol, the claim ends with the reference symbol and the disclosure begins with the same reference symbol.
| Product Referenced | Example Advertising Messaging (list not exhaustive) | Required Disclosure |
|---|---|---|
| Pay in 4 |
| *CA resident loans made or arranged pursuant to a California Financing Law license. |
| Pay in 30 |
| *CA resident loans made or arranged pursuant to a California Financing Law license. |
| Financing |
| *Monthly financing through Klarna issued by WebBank, member FDIC. |
| Pay in 4 and Financing, Pay in 30 and Financing, Pay in 4 and Pay in 30 and Financing | See above examples. | *Monthly financing through Klarna issued by WebBank, member FDIC. Other CA resident loans made or arranged pursuant to a California Financing Law license. |
The following additional disclosures need to be made when referencing payment terms of Pay in 4/Pay in 30 Products.
| Product Referenced | Example Advertising Messaging (list not exhaustive) | Required Disclosure |
|---|---|---|
| Pay in 4 |
| *See payment terms. A higher initial payment may be required for some consumers. CA resident loans made or arranged pursuant to a California Financing Law license. |
| Pay in 30 |
|
The following disclosures are required under TILA if you use “trigger terms” in your advertising.
| Trigger Term | Trigger Term Example (examples not exhaustive) | Required Disclosure |
|---|---|---|
| Periodic Payment Amount |
| Representative Example required. See Financing Advertising Legal Guideline for more information. |
| Number of payments or period of repayment |
| Representative Example required. See Financing Advertising Legal Guideline for more information. |
| Amount of interest (APR) |
| Representative Example required. See Financing Advertising Legal Guideline for more information. |
| Amount of down payment |
| Representative Example required. See Financing Advertising Legal Guideline for more information. |
If you use social media influencers, bloggers, or other third parties to advertise Klarna and your business, there is more you need to know!
When social media influencers, bloggers, or other individuals receive any type of payment to endorse or otherwise mention a product (called an “endorsement”), they are required to disclose the existence of the relationship on the post where the endorsement was made. The Federal Trade Commission (FTC) has released a guide you can share with bloggers that explain in plain language when and where they need to make disclosures here. There is also more information available to social media influencers and bloggers here.
When social media influencers and bloggers endorse Klarna’s products, they are endorsing a financial product. Therefore, they need to do two things.