Klarna IPO. Goes public on the the 10th

Only if you don’t look at it as change in consumer spending behavior, and not have long term effects

I have a friend that could own this entire company with everything he Klarna's and Afterpays...

Those Disney vacations don't pay for themselves without Klarna style companies

Is this worth picking up some?

I would short it to hell out the gate, personally. I’ve heard some horror stories about their non performing loans.

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So do credit cards, what’s the difference?

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Credit cards have a much more stringent approval process than BNPL loans have. Thin kabout it, a lot of people who COULDNT get a credit card are using BNPL, that's one of the main audiences of these.

If you have credit card(s), you would just use that generally speaking as it gives you a similar amount of time to pay it off with 0 interest.

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Credit cards have a much more stringent approval process than BNPL loans have. Thin kabout it, a lot of people who COULDNT get a credit card are using BNPL, that's one of the main audiences of these.

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Instead of a revolving credit line each and every BNPL transaction is being individually underwritten. So a quality credit model should perform better at declining purchase requests that would lead to delinquency over time.

I’m only going to use Affirm as a counter example because they’re the only one I know that doesn’t charge any late/hidden fees. And that in my opinion makes them a product worth using/investing in.

Evidence: Check out Affirms delinquency rates vs the major credit cards. It’s much lower.

Note: Klarna uses late/hidden fees às a significant portion of their income (17% last I saw). You could argue à company with that much incentive to capture fees might be approving loans knowing à percentage needs to be delinquent because it’s their actual business model.