Back in May 2022, the finest economy journalist in Sweden, Andreas Cervenka, reported that Klarna were bleeding out at a rate of 3 million SEK/hour. That's around 300,000 euro/hour.

Today Klarna report a loss of 1 billion USD for 2022. That's 47% more of a loss than they bled out in 2021.

https://www.finextra.com/newsarticle/41878/klarna-reports-1-billion-loss

https://www.aftonbladet.se/nyheter/kolumnister/a/x8jgv8/andreas-cervenka-verkligheten-har-hunnit-ikapp-klarna-kry-trustly-och-storytel

Can you imagine their marketing–team meetings?

'Oh drat! We've gotta make it seem like we're not dying from making teenagers go into life–long debt! I know! Let's introduce charges for late payments!'

They actually did just that yesterday: https://www.finextra.com/newsarticle/41870/klarna-uk-to-introduce-charges-for-late-payments

In 2021, Siemiatkowski bragged that part of Klarna's success is because of financing via savings accounts and the fact that Klarna pays lower interest rates than a major bank like Crédit Agricole. This is due to the fact that Sweden has a higher credit score than France.

The average purchase via Klarna is 75 USD. In 2020 and 2021, Klarna sent 72,000 payment injunctions to the Swedish Enforcement Authority. This means 72,000 payments were not met in time.

The best customer is the one that doesn't pay at once, but gets a reminder and then a debt collection claim.

Niklas Adalberth, Klarna founder, at an investment conference in 2014.

In 2020, the record number of Swedes who'd applied for debt relief was broken. The problem was particularly big for people between 18 and 30 years old.

In other words, BNPL companies trap young people in debt; now, ironically enough, the future has come for Klarna and their ilk to pay.

https://pivic.blog/blog/klarna-pays/

#klarna #bnpl #BuyNowPayLater #capitalism #debt #CrimePays

1. Der Gesetzesvorschlag gilt für alle Kreditprodukte mit nur wenigen Ausnahmen! Wichtig: Auch geringe Kreditmengen wie bei #BuyNowPayLater sind drin! Mit wenigen Klicks kann man sich verschulden. Und: Wer wenig Geld hat, nimmt tendenziell für geringere Beträge einen Kredit auf.

🐦🔗: https://nitter.eu/galleerie/status/1546878034011111429

When #bitcoin does well, the corporate blob in #Australia push #Afterpay, some glorified #BuyNowPayLater credit card system.

#consume #distract #debtPushers