Customers Don't Have to Pay Klarna? Court Ruling Cancels Collection Fees – Complete Guide

It sounds almost too good to be true: customers don't have to pay Klarna. Yet this is exactly what a recent court ruling means in practice for thousands of Dutch people who once faced collection fees from the Swedish payment service. The Central Netherlands District Court ruled that Klarna was not transparent about its business model and, in effect, provided consumer credit without complying with legal requirements.

Why customers don't have to pay Klarna, according to the court

The heart of the case lies in how Klarna makes money from pay later services. As long as a payment service remains free, there's no problem. But once fees are charged – such as collection fees – European courts consider that a paid credit product. And then strict rules apply: a mandatory creditworthiness check, clear information about costs, and the warning "borrowing money costs money."

Klarna did not meet these requirements. The court found that the company could not prove that its collection fees were only meant to cover costs and were not part of its profit model. Because consumer protection laws apply to consumer credit agreements, the judge ruled that the customer did not have to pay the claimed interest and collection fees.

Which costs you can recover (and which you can't)

Let's be clear: you still have to pay the original purchase amount. That's not in question. But all the extra fees Klarna charged because you were late? In many cases, you can ignore them or get them back. Here's what you need to know:

• Collection fees – Klarna can no longer charge these as long as the company fails to comply with credit rules. Already paid them? You can ask for a refund.
• Interest – Interest on overdue payments also falls under the same ruling. Don't pay it.
• Reminder fees – The first reminder is free, but after that Klarna often adds fees. Those are now on shaky legal ground too.
• The original amount – This remains due. The ruling only applies to penalties and extra costs.

An important note: the ruling officially applies only to the Central Netherlands region. Other courts may decide differently. Still, this ruling carries weight, and it's expected that other judges will take it into account.

How to use this ruling in your situation

Have you left a Klarna review complaining about excessive fees? Or are you dealing with a payment arrears yourself? Here's your practical customers don't have to pay Klarna guide:

Step 1 is to check whether your situation falls under the ruling. It applies to cases where Klarna charged collection fees or interest on pay-later purchases. Step 2: refuse to pay those extra fees. You can tell Klarna that you are referring to the Central Netherlands District Court ruling. Step 3: if you've already paid, file a formal complaint with Klarna to get the money back. Debt counselors advise weighing the merits of each case – for high fees or a 100% arrangement, it's quickly worth the effort.

Meanwhile, Klarna is trying to defend itself. The company claims it doesn't make money from collection fees and that these fees actually cost the company money. The numbers don't lie: Klarna says that for every €100 in late-payment fees, it spends about €126 on collections and credit losses. But the court wasn't convinced, and the financial complaints institute also ruled that Klarna seriously violated the rules.

What does this mean for new purchases with Klarna?

Klarna has since obtained a license for collection activities in the Netherlands. That sounds like the company is now playing by the rules. Yet the story isn't over. The core question – whether pay-later services should be considered credit – remains unresolved.

Starting in November 2026, stricter European rules for Buy Now, Pay Later services will take effect. Then credit checks and age verification will become mandatory. Until then, we're in a gray area. A consumer watchdog has warned, for example, about Klarna's new payment card, which allows you to pay later in physical stores as well. They find this undesirable because it lowers the barrier to debt even further.

One thing is clear: the days when Klarna could charge high collection fees without consequences are over. This ruling gives consumers a powerful tool. And if you want to know how to use customers don't have to pay Klarna in practice? The answer is simple: refuse the extra fees, refer to the ruling, and pay only what you owe for the purchase itself.

Keep in mind that Klarna can report payment defaults to credit bureaus. For now, this has no effect on your BKR registration, but it's something to watch. My advice: pay on time if you can, but don't be intimidated by unfair fees.