Is Klarna or Toast better?

Neither clearly leads. Klarna starts at On request and Toast at Free, and user ratings are close enough to be indistinguishable. Choose on capability and platform support.

Which is cheaper, Klarna or Toast?

Toast has a free tier; the other does not. Paid plans start at On request for Klarna and Free for Toast.

Does Klarna or Toast run on more platforms?

Klarna runs on Web, iOS, Android. Toast runs on Web, iOS, Android, Tablets, Web browsers.

Can I use Toast for free?

Yes. Toast has a free tier, so you can try it without paying. Klarna starts at On request.

What is Klarna best used for?

Klarna is most often used for a fashion or furniture retailer with average order values high enough that a 3% fee uplift is repaid by a larger basket, a merchant selling to younger shoppers who have low credit card penetration and would otherwise abandon at checkout, a european retailer wanting a single hosted checkout that handles instalments, invoice and card in one flow, a brand that wants distribution inside klarna's shopping app as an acquisition channel rather than only a payment option. Of those, a fashion or furniture retailer with average order values high enough that a 3% fee uplift is repaid by a larger basket and a merchant selling to younger shoppers who have low credit card penetration and would otherwise abandon at checkout are not what Toast is typically brought in for.

What can Klarna do that Toast cannot?

Klarna covers Pay in 4, Pay in 30 days, Longer-term financing, Klarna app placement. Toast covers Point of sale, Order management, Kitchen display system, Employee scheduling.

E-Commerce · head to head

Klarna vs Toast

Klarna

E-Commerce

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

From: On request
Rated: -

Full review Website

Toast

E-Commerce

Cloud POS platform for restaurants and hospitality

From: Free
Rated: -

Full review Website

The short version

Only Toast has a free tier, so it costs nothing to try first.
Each has a real cost: 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.; Toast starter tier lacks advanced features; most capabilities require paid plans above $69/month
They diverge on capability: Klarna covers Pay in 4, Toast covers Point of sale.
Prices and features above were last checked on 31 August 2026.

Where they differ

Only the attributes on which Klarna and Toast actually diverge.

Attributes where Klarna and Toast differ
Attribute	Klarna	Toast
Starting price	On request	Free
Pricing model	quote	Unknown
Free tier	No	Yes
Platforms	Web, iOS, Android	Web, iOS, Android, Tablets, Web browsers
Founded	Unknown	2011

Identical on both: 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 Klarna

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

Only in Toast

Point of sale
Order management
Kitchen display system
Employee scheduling
Customer management
Inventory tracking
Analytics & reporting
Delivery integration

What people use each for

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

Klarna

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

Toast

No use cases recorded yet. See the Toast review.

Where each one falls short

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

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.

Toast

Starter tier lacks advanced features; most capabilities require paid plans above $69/month
No free tier for advanced features like employee scheduling, inventory, or loyalty programs
Setup and training time required for complex multi-location deployments
Payment processing tied to Toast ecosystem; limited flexibility for alternative payment processors
Hardware costs can be substantial for full-featured setups with multiple terminals and kitchen displays

Pricing, plan by plan

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

Toast

Free

Starter KitFree
- Cloud-based POS
- Payment processing
- 1-2 terminals
Point of Sale$69/month
- Custom hardware configurations
- Advanced reporting
- Core POS features

Which should you pick?

Choose Klarna if

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

Klarna review

Choose Toast if

You need point of sale.
You want to start without paying.
You work on Web, iOS, Android, Tablets, Web browsers.
You also want order management.

Toast review

Questions people ask

Is Klarna or Toast better?: Neither clearly leads. Klarna starts at On request and Toast at Free, and user ratings are close enough to be indistinguishable. Choose on capability and platform support.
Which is cheaper, Klarna or Toast?: Toast has a free tier; the other does not. Paid plans start at On request for Klarna and Free for Toast.
Does Klarna or Toast run on more platforms?: Klarna runs on Web, iOS, Android. Toast runs on Web, iOS, Android, Tablets, Web browsers.
Can I use Toast for free?: Yes. Toast has a free tier, so you can try it without paying. Klarna starts at On request.
What is Klarna best used for?: Klarna is most often used for a fashion or furniture retailer with average order values high enough that a 3% fee uplift is repaid by a larger basket, a merchant selling to younger shoppers who have low credit card penetration and would otherwise abandon at checkout, a european retailer wanting a single hosted checkout that handles instalments, invoice and card in one flow, a brand that wants distribution inside klarna's shopping app as an acquisition channel rather than only a payment option. Of those, a fashion or furniture retailer with average order values high enough that a 3% fee uplift is repaid by a larger basket and a merchant selling to younger shoppers who have low credit card penetration and would otherwise abandon at checkout are not what Toast is typically brought in for.
What can Klarna do that Toast cannot?: Klarna covers Pay in 4, Pay in 30 days, Longer-term financing, Klarna app placement. Toast covers Point of sale, Order management, Kitchen display system, Employee scheduling.

Answered from the vendors’ own pages

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.

Toast: What is the cost of Toast POS?

Toast offers a free Starter Kit tier for one or two terminals with POS and payment processing at no upfront cost, though costs are built into payment processing rates. Paid plans start at $69/month for the Point of Sale plan, with Custom tier available via quote for advanced features.

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.

Toast: Does Toast include online ordering?

Yes. Toast offers online ordering capabilities where customers can order via QR code while seated (Order & Pay) or through standalone online ordering integrated with the POS for kitchen automation.

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.

Toast: Does Toast offer drive-through capabilities?

Yes. In April 2026, Toast launched a drive-thru product supporting voice ordering through integrations, allowing restaurants to automate drive-through workflows.

Source

Klarna: Is Klarna still independent?

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

Klarna vs Toast

Klarna

Toast

The short version

Where they differ

What each one covers

Only in Klarna

Only in Toast

What people use each for

Klarna

Toast

Where each one falls short

Klarna

Toast

Pricing, plan by plan

Klarna

Toast

Which should you pick?

Choose Klarna if

Choose Toast if

Questions people ask

Answered from the vendors’ own pages

Related pages

More on Klarna

More on Toast

Keep looking

Other head to heads