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E-Commerce · head to head

Etsy vs Klarna

Etsy logo

Etsy

E-Commerce

Global marketplace for handmade, vintage, and unique items

From
On request
Rated
-
Full reviewWebsite
Klarna logo

Klarna

E-Commerce

Buy now pay later and instalment checkout for online and in-store merchants

From
On request
Rated
-
Full reviewWebsite

The short version

  • Each has a real cost: Etsy transaction fees at 6.5% of sale price; Klarna merchant fees for the short-term products run around 5.99% plus a fixed fee in the United States, roughly double a standard card rate, so unless Klarna measurably lifts average order value or conversion it is a straight margin loss.
  • They diverge on capability: Etsy covers Shop setup, Klarna covers Pay in 4.
  • Prices and features above were last checked on 31 August 2026.

Where they differ

Only the attributes on which Etsy and Klarna actually diverge.

Attributes where Etsy and Klarna differ
AttributeEtsyKlarna
Pricing modeltransactionquote
PlatformsWebWeb, iOS, Android
Founded2005Unknown

Identical on both: starting price (On request), free tier (No), user rating (Not yet rated), category (E-Commerce).

What each one covers

Drawn from each product's published feature list. An absence here means we hold no record of it - not that the product lacks it.

Only in Etsy

  • Shop setup
  • Product listings
  • Payment processing
  • Shop customization
  • Order management
  • Shipping labels
  • Reviews & ratings
  • Shipping protection

Only in Klarna

  • Pay in 4
  • Pay in 30 days
  • Longer-term financing
  • Klarna app placement
  • Klarna Checkout
  • In-store payments
  • On-site messaging
  • Merchant portal

What people use each for

The jobs each tool is most often brought in to do.

Etsy

  • Selling handmade crafts and unique itemsnot Klarna
  • Reselling vintage goods and collectiblesnot Klarna
  • Marketing handpicked curated productsnot Klarna
  • Operating storefront with secured payment processingnot Klarna

Klarna

  • A fashion or furniture retailer with average order values high enough that a 3% fee uplift is repaid by a larger basketnot Etsy
  • A merchant selling to younger shoppers who have low credit card penetration and would otherwise abandon at checkoutnot Etsy
  • A European retailer wanting a single hosted checkout that handles instalments, invoice and card in one flownot Etsy
  • A brand that wants distribution inside Klarna's shopping app as an acquisition channel rather than only a payment optionnot Etsy

Where each one falls short

Documented limitations, not opinions. Every one is a constraint you would hit in normal use.

Etsy

  • Transaction fees at 6.5% of sale price
  • Payment processing fee of 3% plus $0.25 per transaction
  • 15% offsite ads fee for sales from Etsy external advertising
  • No monthly subscription covers fees - all fees per transaction

Klarna

  • Merchant fees for the short-term products run around 5.99% plus a fixed fee in the United States, roughly double a standard card rate, so unless Klarna measurably lifts average order value or conversion it is a straight margin loss.
  • Rates are negotiated and unpublished, which means small merchants pay the standard rate while large ones negotiate down, and you cannot benchmark what you are being charged without going to market.
  • Returns and partial refunds are handled through Klarna's systems rather than your payment processor, so your finance team reconciles a second settlement flow and customer service handles a second dispute process.
  • Buy now pay later is being brought under consumer credit regulation in the UK, the EU and Australia, which is already changing affordability checks and disclosures; the checkout experience that converts today may be legally required to add friction.
  • Klarna owns the post-purchase relationship, sending payment reminders and marketing in its own name, so a shopper who has a poor collections experience associates it with your brand while you have no control over the messaging.

Pricing, plan by plan

Etsy

On request
  • Seller Fees$0.2/listing
    • Listing fee per item for 4 months
  • Transaction Fee$6.5/percent
    • 6.5% of sale price including shipping
  • Payment Processing Fee$3/percent
    • 3% of sale price plus $0.25 per transaction
  • Offsite Ads Fee$15/percent
    • 15% of sale price when sale results from Etsy external advertising

Klarna

On request
  • Klarna for Business$undefined/year
    • Per-transaction percentage plus a fixed fee, negotiated by merchant
    • No published rate card; rates vary by market, product and volume
    • Short-term products priced materially above card interchange

Which should you pick?

Choose Etsy if

  • You need shop setup.
  • You also want product listings.
Etsy review

Choose Klarna if

  • You need pay in 4.
  • You work on Web, iOS, Android.
  • You also want pay in 30 days.
Klarna review

Questions people ask

Is Etsy or Klarna better?
Neither clearly leads. Etsy starts at On request and Klarna at On request, and user ratings are close enough to be indistinguishable. Choose on capability and platform support.
Which is cheaper, Etsy or Klarna?
Etsy starts at On request and Klarna at On request.
Does Etsy or Klarna run on more platforms?
Etsy runs on Web. Klarna runs on Web, iOS, Android.
What is Etsy best used for?
Etsy is most often used for selling handmade crafts and unique items, reselling vintage goods and collectibles, marketing handpicked curated products, operating storefront with secured payment processing. Of those, selling handmade crafts and unique items and reselling vintage goods and collectibles are not what Klarna is typically brought in for.
What can Etsy do that Klarna cannot?
Etsy covers Shop setup, Product listings, Payment processing, Shop customization. Klarna covers Pay in 4, Pay in 30 days, Longer-term financing, Klarna app placement.

Answered from the vendors’ own pages

Etsy: What is the listing fee on Etsy?

Each listing costs $0.20 and is active for 4 months. You only pay transaction and payment processing fees when you make a sale.

Source
Klarna: What does Klarna cost a merchant?

Klarna does not publish a rate card. In the United States most merchants pay around 5.99% plus $0.30 for short-term products, with longer-term financing nearer 3.29% plus $0.30, and large merchants negotiate lower.

Etsy: What are Etsy's transaction and payment fees?

Etsy charges 6.5% transaction fee on the sale price including shipping, plus 3% and $0.25 for payment processing per transaction. If a sale results from Etsy's external advertising, an additional 15% offsite ads fee applies.

Source
Klarna: Does the merchant carry the credit risk?

No. Klarna pays the merchant the full amount less fees and takes the risk of the shopper not paying.

Etsy: Are there monthly subscription costs?

No, Etsy does not require a monthly subscription. You pay per listing ($0.20) and transaction-based fees when you make sales.

Source
Klarna: Can I use Klarna alongside my existing processor?

Yes. It is normally added as an additional payment method through Shopify, Adyen, Stripe or a direct integration rather than replacing your card acquirer.

Etsy: What types of items can I sell on Etsy?

Etsy allows items you made, designed, handpicked, or sourced that meet Creativity Standards. The marketplace focuses on unique, handmade, or vintage goods rather than mass-produced items.

Source
Klarna: Is Klarna still independent?

Yes. It listed on the New York Stock Exchange in September 2025 and holds a Swedish banking licence.

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