Swedish bank Klarna established itself as a dominant payment processor for e-commerce. Still, the number of Forex brokers accepting Klarna remains limited.
We will explain what Klarna is, cover its pros and cons, detail why it lacks popularity among traders and brokers despite being one of the best payment processors globally, and provide a quick guide to selecting Forex brokers accepting Klarna with a cutting-edge trading environment for various trading strategies.
- FP Markets, ECN trading with leverage up to 1:500.
- Eightcap, Competitive pricing + excellent daily videos.
- Octa, A commission-free broker with a proprietary copy trading service.
- XM, Exception range of assets + negative balance protection.
- BlackBull Markets, Best ECN trading environment, with scalping and hedging.
Best Klarna Brokers Comparison
| | | | | |
Regulators | ASIC, CMA, CySEC, FSCA | ASIC, CySEC, FCA, SCB | CySEC, FSCA, MWALI International Services Authority | ASIC, CySEC, DFSA, FSC Belize | FMA, FSA |
Year Established | 2005 | 2009 | 2011 | 2009 | 2014 |
Execution Type(s) | ECN/STP | ECN/STP, Market Maker | Market Maker | Market Maker | ECN/STP, No Dealing Desk |
Minimum Deposit | |||||
Average Trading Cost EUR/USD | 1.2 pips | 1.0 pips | 0.9 pips | 0.1 pips | 1.3 pips |
Average Trading Cost GBP/USD | 1.4 pips | 1.2 pips | 1.3 pips | 0.2 pips | 2.0 pips |
Average Trading Cost Gold | $0.16 | $0.12 | $0.30 | $0.19 | $0.90 |
Trading Platform(s) | MetaTrader 4, MetaTrader 5, cTrader, Proprietary platform, Web-based | MetaTrader 4, MetaTrader 5, Trading View | MetaTrader 4, MetaTrader 5, Proprietary platform | MetaTrader 4, MetaTrader 5, Proprietary platform | MetaTrader 4, MetaTrader 5, cTrader, Trading View |
Islamic Account | |||||
Negative Balance Protection | N/A | ||||
| Visit Website | Visit Website | Visit Website | Visit Website | Visit Website |
FP Markets
In Summary ECN trading with leverage up to 1:500FP Markets upgrades the MT4/MT5 trading platforms with Autochartist, Trading Central, and 12 plugins. It also offers cTrader and the geographically restricted Iress trading platform. MT5, MT5, and cTrader support algorithmic trading and have embedded copy trading services. FP Markets also presents its proprietary solution, Myfxbook Autotrade, and fee-based Signal Start. It places FP Markets among the leading Forex brokers accepting Klarna for copy traders.
The asset selection supports all strategies except for options trading, but it includes 70+ currency pairs, cryptocurrencies, ETFs, and bonds. The educational section features video trading courses, webcasts, podcasts, eBooks, and one newsletter.
Pros & Cons
- Choice of trading platforms and auxiliary trading tools
- Very competitive cost structure and excellent asset selection
- Low minimum deposit requirement and leverage of up to 1:500
- Well-regulated and trustworthy
- Availability of Iress geographically restricted
Eightcap
In Summary Competitive pricing + excellent daily videosEightcap established itself among the best Forex brokers due to its superb trading infrastructure, excellent order execution amid deep liquidity, competitive fees, and cutting-edge trading tools. Manual traders get a well-designed AI-powered economic calendar, and Eightcap upgrades MT4 via Capitalise AI, which enables algorithmic trading in a code-free environment. MT5 traders benefit from Flash Trader, while the dedicated cryptocurrency solution Crypto Crusher caters to cryptocurrency traders.
Copy traders get the embedded MT4/MT5 services, and Eightcap connects social traders to the active TradingView community. Beginner traders get an outstanding educational and research offering via Eightcap Labs and Eightcap Trade Zone.
Pros & Cons
- Low minimum deposit and high leverage of up to 1:500
- Competitive cost structure
- Excellent technology infrastructure and seasoned management team
- Daily research and quality educational content
- Limited leverage in some areas
Octa
In Summary A commission-free broker with a proprietary copy trading serviceFounded in 2011, Octa is a “Straight Through Processing” (STP) broker, which means they do not have an internal dealing desk. They simply connect buyers and sellers directly. With this model, Octa aims to be more cost-effective than anyone else in the market. They offer low spreads and claim 97.5% of trades are executed without slippage.
Octa offers their clients a choice of three Forex trading platforms: the world’s most popular MetaTrader 4 (MT4) and MetaTrader 5 (MT5). All of these can be traded as a desktop application, and on Android and iOS devices.
Octa is an unregulated broker but continues to earn the trust of traders around the globe, with more than 1,500,000 accounts opened. One reason for the ongoing success of this market maker is appealing bonus campaigns. This broker paid out almost $3,000,000 in bonus funds. Octa offers traders the MT4 and MT5 platforms, and a proprietary mobile trading platform. Octa additionally grants their clients Autochartist, but traders require a Silver Level in the Status Program. Traders have a choice between fixed and floating spreads, and the overall cost structure remains competitive.
Asset selection remains the distinct weakness at Octa, making it most suitable for new retail traders. A series of short educational articles offers a basic Forex introduction, and this broker maintains an excellent arsenal of research and analytics tools.
Pros & Cons
- Quick withdrawals and deposits
- 0% commission and no overnight charges
- Space with personalised trading ideas
- Customer Support 24/7
- Mobile copy trading services available only for Android
XM
In Summary Exception range of assets + negative balance protectionI rank XM among the best Forex brokers for beginners as it provides exceptional education, with the live education room available Monday through Friday between 06:00 and 15:00 GMT at its core. Beginners also receive actionable trading recommendations, and the $5 minimum deposit ensures accessibility to all traders, boosted by deposit bonuses.
XM rewards active traders with a four-tier loyalty program and supports algorithmic traders with VPS hosting. The well-balanced asset selection exceeds 1,000 assets, and the proprietary copy trading service pays signal providers up to 50% profit share. Swap-free trading and low trading fees ensure a competitive edge.
Pros & Cons
- Outstanding trading tools and loyalty program
- Low minimum deposit, high leverage*, and competitive trading cost
- Excellent research and education
- Trustworthy and transparent with generous bonuses and incentives
- Inactivity fee
BlackBull Markets
In Summary Best ECN trading environment, with scalping and hedgingBlackBull Markets was founded in 2014 in New Zealand. Like many antipodean Forex brokers, BlackBull Markets is an ECN broker, offering raw spreads and commissions. They are regulated in New Zealand by the Financial Services Providers Register (FSPR) and offer a maximum leverage on some Forex currency pairs as high as 500 to 1. In addition to their global headquarters in New Zealand, BlackBull Markets also has presences in the form of branch offices in New York and Malaysia. BlackBull Markets offers a relatively tight range of tradable assets: 27 Forex currency pairs and crosses, gold, silver, crude oil, natural gas, and 6 major equity indices. That should be sufficient for those traders with more focused strategies not requiring wide diversification.
Pros & Cons
- ECN/NDD execution model with deep liquidity
- Institution-grade pricing for retail traders via proprietary price aggregation
- ZuluTrade and Myfxbook for social trading
- Leverage of up to 1:500
- Limited deposit options
What is Klarna?
Klarna Bank AB, usually abbreviated as Klarna, is a Swedish FinTech company and bank and the leading Scandinavian payment processor. It is also available across the EU, Switzerland, China, Australia, New Zealand, Canada, Mexico, and the US. Klarna became famous with its "Buy now, pay later" service, offering users the choice to use Sofort, also known as Pay Now, to delay the payment until 30 days after the purchase and only on items consumers keep, or break down the total into four instalments payable every two weeks. Additionally, it offers monthly financing via partner banks. It also features the Klarna Visa card. Please note that its services differ based on geographic location and applicable rules and regulations. Some consumers can create a one-time card number for transactions or pay in three instalments rather than four. Klarna describes its services well after clients select their geographic location.
While Klarna established itself as a dominant e-commerce payment processor, the number of Forex brokers accepting Klarna still needs to grow. Those who have integrated Klarna support the Sofort/Pay Now option and may not allow withdrawals. Unlike many competitors, Klarna also developed a web-based extension alongside its mobile app, confirming its streamlined operations for e-commerce. It could also grant it an edge among traders, as they can swiftly deposit from the back office of their Klarna Forex broker without additional steps.
How Does Trading with Klarna Work?
Forex brokers accepting Klarna support the Sofort/Pay Now option, which uses the online banking details of clients, but in a secure and encrypted form. Neither the partner bank nor the merchant nor Klarna can access details. Before depositing, traders must open and verify their Forex trading account. Verification is mandatory for regulated brokers compliant with global AML/KYC rules, which regulators enforce. Uploading a copy of their government-issued ID and one proof of residency document issued within three to six months satisfies the verification.
Traders can use the Klarna mobile app, available on Android and Apple iOS devices, or the web-based plugin, which runs on all Chrome browsers.
After traders have verified their Forex trading account and created their Klarna account, they can fund their trading account by following the below steps:
1. Log into the dashboard of your Klarna Forex brokers using a Chrome browser.
2. Locate the funding tab.
3. Select your trading account if you have more than one and choose Klarna as your payment processor or click the Klarna web extension.
4. Enter the amount you wish to deposit and confirm the transaction. Klarna uses your online banking details with a one-time PIN.
Why Use Klarna as Your Deposit/Withdrawal Method?
Forex brokers accepting Klarna offer traders an ultra-secure payment process using online banking. Besides the mobile app, Klarna also developed a web-based extension for Chrome browsers. Depending on the geographic location, traders may use the Klarna Visa card or create a one-time card number. Forex brokers accepting Klarna do not usually allow withdrawals.
Pros & Cons of Using Klarna When Trading
Traders should consider the pros and cons of Forex brokers accepting Klarna before making Klarna their preferred payment processor.
Here are the pros of Forex brokers accepting Klarna:
- Ultra-secure deposits
- Integrated transactions for mobile users
- Web-based extension
- User-friendly interface
Here are the cons of Forex brokers accepting Klarna:
- Forex brokers accepting Klarna only allow deposits.
- No instant deposits
How to Pick a Decent Broker Offering Klarna
When evaluating the trading conditions at Forex brokers accepting Klarna, the same rules apply as any other broker analysis.
Here is a checklist of what competitive Forex brokers accepting Klarna should offer:
1. Low trading fees: Since trading fees directly impact profitability, traders should prioritize them. They can also reveal which strategies Forex brokers accepting Klarna actively support and passively discourage. Traders should ensure significant currency pairs do not exceed $8.00 per 1.0 standard round lot and evaluate swap rates on overnight positions, where positive swap rates in qualifying assets indicate a fair environment.
2. Regulation and operational history: A clean track record exceeding ten years in a competitive, business-friendly regulatory environment is paramount.
3. Algorithmic trading platform: Traders should look for MT4, MT5, cTrader, or alternative algorithmic trading platforms, as 80%+ of daily Forex volumes are algorithmic.
4. Deep liquidity pools and excellent order execution: Tight spreads are possible via deep liquidity, and superb order execution ensures that traders can transact at the prices they enter or better if price improvement technology exists.
5. Choice of assets: Traders should ensure Forex brokers accepting Klarna offer the asset they require to execute their strategy.
Bottom Line
Forex brokers accepting Klarna are rare and support only deposits, despite Klarna becoming a leading global payment processor. Besides a user-friendly mobile app, Klarna has developed a web-based extension for Chrome browsers, offering seamless financial transactions in an ultra-secure operational environment. Unlike many online payment processors, payment processing times are not instant, as Klarna works with online banking.
You might also be interested in reviewing the below top brokers:
