Consumer complaint received 2025-06-23 00:00:00
Product: Payday loan, title loan, personal loan, or advance loan — Installment loan
Issue: Problem with additional add-on products or services — 
Company: Klarna AB
State: NC

Complaint narrative:
Consumer Complaint to CFPB Filed Against : Klarna Summary of the Issue : Klarna has failed to provide fair and lawful dispute resolution in a case involving a merchant ( Naharas Curls ) who breached a written agreement for a product exchange. Despite my full compliance and submission of clear evidence, Klarna has repeatedly sided with the merchant and continues to hold me financially liable for a product I did not receive in acceptable or agreed-upon form. 

Details : I purchased a product through Klarna and later entered into a written exchange agreement with the merchant, which I signed and returned. This agreement itself had no expiration date on it, and was made with the merchant 's full knowledge that the item had been used. The merchant did communicate in an email that they would no longer accept anything from me within XXXX hours of their email on the XXXX, however, stating something like that, having the consumer ask a question or for clarification ( in this instance, a video of what I would be receiving so that I can know that what I was getting this time was what was advertised. That video wouldve been beneficial for me and for them because they could say that I knew exactly what I was getting this time ) and then not responding at all until the XXXX hours is up not how that works. Once the consumer has questions/has responded and you havent, that stipulation is legally moot. 

A business should not be able give a XXXX hour stipulation with a XXXX business day response time, as it unfairly ( and probably purposely ) leaves no room for questions/issues/clarification. A business cannnot strong arm consumers into accepting things/signing things that way.

The merchant failed to honor the agreement, The merchant later claimed they had no item in stock to complete the exchange, and refused to substitute with similar in-stock items or issue a refund. Consumers have a right to quick resolutions. One was available, however the business purposely chose not to utilize it.

I submitted comprehensive evidence to Klarna, including the signed agreement, email communications, confirmation that the items condition was disclosed and accepted, and reviews from other consumers with similar complaints. 

Klarna refused to conduct a fair or thorough review, dismissed my evidence, and continues to enforce payment despite the merchants breach of contract. 

Klarna is now shielding the merchant behind an irrelevant return policy that was not part of the resolution agreement. This was never about a returnit was an agreed-upon exchange that became a refund request only after the merchant failed to uphold their end ( in a fair and timely fashion ).

I was left with no exchange, no product, and no resolutionyet Im still being asked to pay.

The merchants refusal to provide the exchange or issue a refund has left me with no resolution and no usable product, yet Klarna continues to demand payment.

Supporting Evidence Available Upon Request : -Signed exchange agreement -Email communications with merchant -Screenshots and documentation of dispute process -Consumer reviews confirming pattern of similar behavior by merchant .. who at one point was operating illegally because they failed to file the necessary paperwork.

This unresolved issue is harming me financially, and if not corrected, I am prepared to seek further legal recourse. Klarnas conduct in this matter is both negligent and unjust under consumer financial protection standards.

Company response to consumer: Closed with explanation