Klarna has applied to become an official bank in the US, its latest move aimed at moving beyond its Buy Now, Pay Later (BNPL) roots.

On Monday, it announced it had submitted applications to Utah Department of Financial Institutions and the Federal Deposit Insurance Corporation with the intention of forming Klarna Bank USA, an industrial bank which would be chartered in Utah.

The Swedish FinTech has operated as a bank in Europe since 2017 and currently serves US customers through partner banks. It said it has provided access to over $91.3 billion in credit since 2019, which has saved consumers over $5.1 billion in interest compared to a revolving credit card.

The company currently has over 30 million customers in the US.

The company said that if approved, the new bank would allow it to bring banking operations in-house, strengthening reliability across its provided services and supporting sustainable growth.

Gary Harding, who served as chief executive of Utah-based business bank Milestone Bank until January of this year, has been selected as the potential president and chief executive of Klarna Bank USA. Prior to this role, he was the chief risk officer for the abortive Rakuten Bank America, which ultimately withdrew its banking license bid in 2023.

“Banking is built on trust,” said Sebastian Siemiatkowski, co-founder and chief executive of Klarna. “We've seen firsthand the appetite for a fairer, more transparent approach in the US, and our own banking licence is the natural next step, giving customers tools to borrow responsibly and build financial confidence, while bringing greater competition, innovation, and choice to consumers and merchants alike.”

Klarna, best known for its BNPL services, is one of several FinTechs working to diversify their offerings into more traditional banking provision. Last year, it began offering current accounts in the UK for the first time and last week it was listed alongside major European banks including Lloyds, HSBC, and Revolut as one of the first banks to complete agentic transactions through Visa’s new system.

An increasingly diversified offering helped the bank to turn a profit in the first quarter of this year, the first time since its 2025 public market debut.

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