Klarna alternatives: pay less for buy now, pay later, or convert better
Six options in detail, the real cost on a $300 cart, and a six-step switch plan.
The short answer: Affirm if you sell big-ticket items and want longer plans, Afterpay if your shoppers are young and buy fashion or beauty, Zip if you want the cheapest pay-in-4 merchant rate in our math, PayPal Pay Later if PayPal is already in your checkout, and Billie if you sell to businesses in Europe or the UK. One more option most lists skip: keep Klarna and pay less for it, since Stripe says some accounts get a temporary reduced rate. We compared these six options against the official gateway price lists for 2026. Shopping as a buyer, not selling? Jump to the FAQ.
Our ranking is editorial: a sponsored spot is always labeled on its card, and no affiliate link changes a score.
Why merchants drop Klarna, or keep it on different terms
Klarna has one big asset: a brand shoppers know, with pay-in-4 at no cost to them. Merchants leave over price, a conversion lift that doesn't always show up, and refunds that turn into angry reviews. Six reasons, checked against gateway price lists and merchant threads.
About twice the price of a card
Klarna doesn't publish a readable direct merchant rate card, so you read its price at the gateways. Through Stripe in the US it's 5.99% + 30¢, plus 1.5% for international cards and 1% if currency conversion applies. On a $300 order that's $18.27, against $9.00 for a card at 2.9% + 30¢.
The conversion lift isn't guaranteed
On a UK merchant forum, one seller reported "no rise in conversion rates" after adding Klarna, along with "higher than described chargebacks". Two of the four sellers in the thread rolled it back. Another said "Less than 10% of our orders are paid via Klarna", with no change in average order value.
Disputes cost money
Stripe charges $15 for a lost Klarna dispute in the US. Merchants also have roughly seven days to answer a dispute, which is tight for a small team that ships from a warehouse.
Refunds outside the Klarna portal backfire
Refund a Klarna order by any other route and the shopper keeps getting charged installments. They complain to Klarna, then to you, and often in public. Every refund has to go through the Klarna merchant portal.
Shopify adds 2% on third-party gateways
Klarna now runs inside Shopify Payments with no extra fee. Route BNPL through a third-party gateway and Shopify adds 2% on the Basic plan. One Shopify merchant summed it up for Afterpay: "8% + the fixed fee per transaction" on a 10 to 15% margin, leaving "minimal profit left".
BNPL is turning into regulated credit
The new EU consumer credit directive, applicable in 2026, brings pay-in-installments under consumer credit rules: affordability checks and pre-contract information before the purchase. The provider carries those checks, not you. But checkout gets a step longer for European shoppers, so expect a small drop in BNPL take-up on EU orders and plan your messaging for it.
You're leaving because… go to…
The right Klarna alternative depends on what you sell and where. Usually one line fits you. Each card links to the full profile below.
Standard at 6% + 30¢ through Stripe, longer plans for shoppers.
Your shoppers are young and buy fashion or beautyAfterpay6% + 30¢ through Stripe, Clearpay in the UK.
You want the lowest pay-in-4 merchant rateZip4.5% + 30¢ through Stripe, with a fee on the shopper side.
PayPal is already in your checkoutPayPal Pay LaterNothing new to install.
Your shoppers like Klarna, only the price hurtsKlarna at a lower rateStripe mentions 2.9% + 30¢ for at least one month on some accounts.
You sell to businesses in Europe or the UKBillieB2B pay-by-invoice at 3.49% + €0.35 through Mollie.
Klarna alternatives, one by one
For each option: why move to it, who it's for, its limit, how to switch from Klarna, and what it costs the merchant. Fees come from the official Stripe and Mollie price lists for 2026, since most BNPL providers don't publish a direct rate card. Scores out of 5 weigh five criteria on this page: merchant cost, markets covered, ease of integration, refund and dispute handling, and clarity for the shopper. PayPal's score is the one from our ranking of ecommerce payment gateways.
Affirm: for big-ticket carts and longer plans
Big ticketsWhy move to Affirm. Affirm is built for larger purchases, with plans that run longer than pay-in-4. Through Stripe in the US, the Standard rate is 6% + 30¢, so $18.30 on a $300 order, almost exactly what Klarna costs. The pitch isn't price, it's the cart size Affirm's longer plans can unlock.
Who it's for. Stores selling furniture, electronics, fitness gear or courses above a few hundred dollars.
Who it's not for. A store with $40 carts: you'd pay Klarna-level fees for little extra.
Its limit. The Enhanced rate jumps to 7.99% + 30¢, or $24.27 on $300. Check which tier your account lands on before you switch.
How to switch from Klarna. Turn on Affirm in your Stripe dashboard, run both side by side for a month, compare average order value by payment method, then cut the weaker one.
- Standard via Stripe
- 6% + 30¢
- Enhanced via Stripe
- 7.99% + 30¢
- $300 cart (Standard)
- $18.30
- Score
- 3.6/5
- Limit
- Enhanced tier costs more
Afterpay: pay-in-4 for younger shoppers
Fashion and beautyWhy move to Afterpay. Cash App Afterpay is a familiar name with younger shoppers in fashion and beauty. Through Stripe it costs 6% + 30¢, plus 1.5% for international cards and 1% for currency conversion. On $300 that's $18.30. In the UK the same service runs as Clearpay.
Who it's for. Apparel, beauty and lifestyle stores whose customers already use Cash App. If you also sell in the UK, the Clearpay name is the one your British shoppers will recognize, so keep your messaging per market.
Who it's not for. Thin-margin stores on Shopify through a third-party gateway: one merchant landed at 8% plus the fixed fee.
Its limit. No savings versus Klarna: on $300, the gap is 3¢. The same merchant was told: "we can't negotiate your merchant fees". An unverified forum claim also mentions a reserve on new accounts.
How to switch from Klarna. Turn it on through Stripe or, on Shopify, prefer the route that avoids the 2% third-party fee.
- Via Stripe
- 6% + 30¢
- $300 cart
- $18.30
- Score
- 3.5/5
- Limit
- no price edge on Klarna
Zip: the lowest pay-in-4 merchant rate in our math
Lowest rateWhy move to Zip. Through Stripe, Zip's Pay in 4 "with customer fee" costs the merchant 4.5% + 30¢, so $13.80 on a $300 order. That's $4.47 less than Klarna on every order.
Who it's for. US stores that want BNPL at the lowest merchant cost and whose shoppers accept a small fee.
Who it's not for. Stores that market "no fees for you" at checkout: this rate relies on a fee charged to the shopper.
Its limit. A shopper-side fee can cost you conversions, which is the whole reason you offer BNPL. A dispute costs $3.
How to switch from Klarna. Add Zip in Stripe, keep Klarna for a month, and watch conversion by method before you cut anything.
- Via Stripe
- 4.5% + 30¢
- $300 cart
- $13.80
- Score
- 3.4/5
- Limit
- fee charged to the shopper
PayPal Pay Later: already in your checkout
Nothing to installWhy move to PayPal Pay Later. If the PayPal button is on your store, Pay Later usually comes with it. No new contract, no new app, and shoppers who trust PayPal see a familiar flow.
Who it's for. Small stores that want BNPL without managing another provider, and whose buyers already check out with PayPal. Reporting, payouts and disputes stay in the PayPal dashboard you already use, so there's no new tool for your team to learn.
Who it's not for. Stores that left PayPal over its fees. Our Switch from PayPal guide covers those.
Its limit. PayPal's fee page has no separate merchant line for Pay Later, so we give no price here. Compare your first month of statements with your old Klarna bill before you commit. And if PayPal holds or limits your account, your BNPL option goes down with it: keep a second method live.
How to switch from Klarna. Turn on Pay Later messaging in your PayPal Business account, place it on product pages, and remove Klarna messaging.
- Setup
- inside PayPal Checkout
- Score
- 3.4/5
- Limit
- no readable merchant rate
Klarna at a lower rate: stay, but pay less
Same brandWhy stay on Klarna. If Klarna carries a real share of your sales, renegotiating beats migrating. Stripe's US page says some accounts get a reduced Klarna rate of 2.9% + 30¢ for at least one month. On a $300 order, that's $9.00 instead of $18.27 while it lasts. Check your dashboard before you leave.
Who it's for. Stores where Klarna drives repeat buyers who'd miss it.
Who it's not for. Stores where Klarna is under 10% of orders with no bigger carts.
Its limit. The reduced rate is temporary. After it, you're back at 5.99% + 30¢, and Klarna's refund and dispute issues stay.
How to do it. Check your Stripe pricing page, and on Shopify keep Klarna inside Shopify Payments to avoid the 2% fee.
- Standard via Stripe
- 5.99% + 30¢
- Reduced rate
- 2.9% + 30¢, at least one month (some accounts)
- Score
- 3.5/5
- Limit
- reduced rate is temporary
Billie: pay-by-invoice for B2B in Europe and the UK
B2BWhy move to Billie. Klarna targets consumers. Business buyers want to pay on invoice terms. Billie handles B2B pay-later and takes the non-payment risk. Through Mollie it costs 3.49% + €0.35, in the UK and much of Europe.
Who it's for. Wholesalers, equipment sellers and SaaS or training companies selling to businesses in the UK or the EU. On a €300 order, Billie costs €10.82, less than any consumer BNPL on this page.
Who it's not for. US-only stores and consumer brands: Mollie lists Billie for European and UK buyers.
Its limit. Business customers only, so keep a consumer BNPL next to it. Your buyers also need a registered company, which rules out most sole traders.
How to switch from Klarna. Turn on Billie in Mollie and show it only to customers who enter a company number.
- Via Mollie
- 3.49% + €0.35
- Score
- 3.5/5
- Limit
- business buyers only
The 6 alternatives side by side
Our default pick: Zip if price comes first, Affirm for big carts. The math uses a $300 order. At a 30% margin, that sale earns you $90. Klarna through Stripe costs $9.27 more than a card, so roughly one Klarna order in ten has to be a sale you wouldn't have made otherwise to cover it.
| Merchant rate | Cost on $300 and switch from Klarna | |
|---|---|---|
| Card (benchmark)Stripe US | 2.9% + 30¢ | $9.00 |
| Klarna via StripeStarting point | 5.99% + 30¢ | $18.27; lost dispute $15 |
| AffirmBig tickets | 6% + 30¢ (Standard) | $18.30; enable in Stripe |
| AfterpayYounger shoppers | 6% + 30¢ | $18.30; enable in Stripe |
| ZipLowest rate | 4.5% + 30¢ (with customer fee) | $13.80; enable in Stripe |
| PayPal Pay LaterAlready there | No readable merchant rate | Turn on messaging in PayPal |
| Billie (B2B)Europe and UK | 3.49% + €0.35 (Mollie) | Business buyers only |
US rates from Stripe's official price list in 2026, Billie from Mollie's. Rerun the math with your real average order and BNPL share.
Replace Klarna in six steps
Order matters. Each step protects something: your sales, open refunds, your margin and your reviews.
Measure what Klarna actually brings in
Month 0Pull three months of orders. Note Klarna's share, its average order value against other methods, and total Klarna fees. If it's under 10% of orders with no bigger carts, you're paying a lot for little.
- Time
- half a day
- Risk if rushed
- cutting a profitable method
Add the alternative before cutting Klarna
Week 1Turn on the new option and leave Klarna live. For a month, shoppers choose. That's the only conversion test that counts for your store.
- Time
- one month
Swap the price messaging on product pages
Week 1Klarna widgets ("or 4 payments of $75") live in your theme, emails and sometimes ads. Search your theme for "klarna" and replace every one. Messaging for a method you no longer offer is an abandoned cart.
- Where to look
- theme, emails, ads, terms
Check the Shopify third-party fee
DecisionOn Shopify, Klarna runs through Shopify Payments at no extra fee. A third-party gateway adds 2% on Basic, or $6 on $300. Our Switch from Shopify guide covers leaving the platform itself.
- Basic plan fee
- 2%
Finish refunds in the Klarna portal
Months 1 to 3Every Klarna order is refunded in the Klarna merchant portal, never by another route, or the shopper keeps paying installments. Keep portal access through your return window and answer disputes within about seven days.
- Dispute reply window
- about 7 days
Turn Klarna off and update your policies
Month 2Disable Klarna in your gateway, remove it from your terms and payment page, and keep the account open until the last possible refund.
- To update
- terms, FAQ, payment page
Is your tool missing from this page? Email us: hello@hackceleration.com
What makes a BNPL switch go wrong
The same mistakes show up in merchant threads. None of them is technical: they're rushed math and things forgotten.
Comparing providers, not gateways
The same Klarna has different prices depending on the gateway and the country. Always compare the provider and gateway pair, on your average order.
Picking the cheapest rate blindly
Zip's lower rate comes with a shopper fee. If shoppers drop off, the savings are gone.
Refunding by another route
The shopper keeps getting billed, complains, and the bad review lands on your store. Refund through the provider that took the payment.
Forgetting Shopify's 2%
One merchant ended at 8% plus a fixed fee per order. Run the math before plugging a third-party gateway into Shopify.
Trusting other merchants' numbers
One seller saw no lift, a French store cited by PrestaShop saw average orders jump 48%. A month with both options live gives you your own answer.
Assuming fees are negotiable
Afterpay told one merchant it can't negotiate fees. For a small store, the lever is the gateway. Our ecommerce payment gateway ranking compares them.
Klarna alternatives: frequently asked questions
What is the cheapest Klarna alternative for merchants?
In the US, Zip through Stripe at 4.5% + 30¢, so $13.80 on a $300 order, against $18.27 for Klarna. The catch: that rate includes a fee charged to the shopper.
Is Afterpay cheaper than Klarna for merchants?
No. Through Stripe, Afterpay costs 6% + 30¢ and Klarna 5.99% + 30¢. On $300, that's a 3¢ gap. Pick between them on your audience, not price.
Affirm or Klarna for a store with large orders?
Affirm, if your carts run into the hundreds and shoppers want longer plans. The Standard rate matches Klarna; the Enhanced rate (7.99% + 30¢) costs more, so check your tier.
What happens to open refunds after I drop Klarna?
They still go through the Klarna merchant portal. Keep access until your return window closes, or past customers keep paying installments on returned goods.
How do I remove Klarna from Shopify without breaking checkout?
Turn on your replacement first, swap the theme's Klarna messaging, then disable Klarna in Shopify Payments. Avoid moving BNPL to a third-party gateway on Basic: Shopify adds 2%.
Is there a buy now, pay later option for B2B?
Yes, as invoice terms: Billie through Mollie at 3.49% + €0.35, in the UK and much of Europe. The business buyer pays later and Billie carries the non-payment risk.
Is Sezzle a good alternative to Klarna?
For shoppers, it can be. Sezzle's own example for a $300 Pay in 4 purchase shows $75 down plus a $7.49 service fee, then three payments of $75, at 45.0% APR. Its Pay in 5 plan runs at 0% APR. For merchants, Sezzle doesn't publish a fee schedule on its site and isn't on Stripe's list, so ask for a quote before comparing it with Klarna.
I'm a shopper: what are good apps like Klarna?
Afterpay, Affirm, Zip, Sezzle and PayPal Pay Later are the most common at US checkouts. Pick by plan length: pay-in-4 for small buys, Affirm for longer plans on big ones. Pay-in-4 is usually free if you pay on time; late fees vary by provider, so check them in the app before you commit.
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