Klarna Bank AB will begin allowing users in the UK to make payments directly from their bank accounts (account-to-account) as part of the fintech giant’s efforts to reduce its reliance on Visa Inc. and Mastercard Inc. “Open banking offers a huge opportunity for Klarna to reduce the cost of payments to society by cutting out the established card payment networks, and using up-to-date bank account data to make ever better lending decisions,” said Wilko Klaassen, Klarna’s head of open banking. Klarna’s move is the latest sign that Visa and Mastercard are set to face growing competition in the coming years.
Klarna Takes Aim at Visa, Mastercard With Open Banking Push
