Klarna has gone live with J.P. Morgan Payments, giving US merchants on the Commerce Platform access to Klarna's checkout options without additional integration.
Merchants across retail categories, including apparel, travel, and health and wellness, can now provide customers with the option to pay in full, split purchases into interest-free instalments, or access longer-term financing at checkout.
Previously, offering flexible payment options at checkout required merchants to build and maintain their own integration with a buy now, pay later provider, a process that has typically been out of reach for smaller businesses lacking dedicated payments infrastructure. By embedding Klarna's payment methods directly into the Commerce Platform, J.P. Morgan Payments enables merchants of any size to activate the service without separate development work.
According to data cited by the companies, more than one in four US consumers report being more likely to complete a purchase when flexible payment options are available at checkout. The companies point to this as a factor behind the integration, framing consumer demand for instalment and deferred payment options as a driver of merchant adoption.
J.P. Morgan Payments processes USD 2.6 trillion in merchant payment transactions annually in the US, according to figures the company has published. The scale of its merchant network means the Klarna integration could extend flexible payment access to a broad base of US businesses already processing transactions through the Commerce Platform, without requiring them to onboard a separate payments partner.
Company statements
David Sykes, Chief Commercial Officer at Klarna, said the go-live moves the partnership between the two companies from planning into active use, and described the combination of J.P. Morgan Payments' merchant reach with Klarna's checkout offering as relevant to merchants on the platform.
In addition, Michael Lozanoff, Global Head of Merchant Services at J.P. Morgan Payments, said merchant feedback has consistently identified flexible payments as a driver of conversion, while implementation complexity has remained a barrier for many businesses. He said the direct integration is intended to address that barrier for merchants of varying sizes.
The partnership adds to a series of integrations between buy now, pay later providers and payment processors, as instalment and deferred payment options continue to expand within mainstream checkout infrastructure in the US. For J.P. Morgan Payments, the addition of Klarna to its Commerce Platform extends the range of payment methods available to merchants without requiring separate technical work, while for Klarna, the integration provides access to J.P. Morgan Payments' existing US merchant base.
