Klarna says more customers are falling behind on their buy now, pay later loans as U.S. consumer debt hits a record high.

Klarna says consumer credit losses rose 17% year over year as more BNPL users miss payments. Reports from Bankrate and LendingTree show late payments are growing across the BNPL sector.

But there are also downsides; financing larger-ticket items comes with higher risk of default ... BNPL product. These are material ESG considerations, and we anticipate heightened regulatory ...

Increased regulatory, political and public scrutiny could erode the bank ... Commonwealth Bank took a stake in Klarna, has the CBA BNPL offering named StepPay, and a no-interest credit card ...

The new card makes it easy to use a buy now, pay later plan, but you can get its paid features for free elsewhere.