Introducing Buy Now, Pay Later with Klarna for Joist Payments with Stripe, giving your clients more flexible payment options.
Buy Now, Pay Later makes it easier for clients to manage larger payments, ensuring you get paid up-front & on-time.
Which payment options are available?
There are 3 different options we offer with BNPL (Stripe):
Pay in 3 or 4 (also known as Installments): Clients pay for the purchase in 3 or 4 interest-free installments.
Monthly installments (also known as Financing): Clients pay for the purchase over a longer term of up to 36 months, which might include interest.
Pay later: Clients pay for the purchase in a single payment within 30 days.
Clients will still have the option to pay immediately using a linked card, bank debit, or bank transfer.
Note: The BNPL with Joist Payments (Stripe) option is currently only available for clients in the US and Canada.
How It Works
Make sure online payments are enabled in your account. Here's a guide on how to do that: Can I turn Joist Payments on and off?
Send your client an Estimate or Invoice with Joist Payments enabled.
Client selects the Klarna option at the checkout of their invoice.
Client creates an account with the Buy Now, Pay Later provider (Klarna).
Customer accepts or declines the terms of the repayment plan.
Customer returns to your invoice.
You get paid up-front – Klarna pays you the full amount immediately (minus fees), while the client pays over time.
Fees & Comparison to standard debit/credit payments.
See a full list of fees here, including the fees for Buy Now, Pay Later.
While the BNPL fee is higher, the benefit is that clients are more likely to approve larger jobs knowing they can pay in installments, and you get cash flow up front.
How to Offset Fees
To cover the additional cost of BNPL, you can:
Add a Small Markup – Adjust your pricing with the markup feature in the app to account for the BNPL fee. You can add markup by itself, or in addition to the "Cover Fees" feature in Joist.
Include Fees in Estimates – Plan ahead and build the cost of BNPL into your project from the start.
Get Started Today
Simply enable online payments while editing your estimates & invoices, and your customers will see the "Pay Later" option at checkout.
You can also go to the Payments section in the settings of the app to ensure Joist Payments is activated for all newly created documents, going forward.
Offering flexible payment options can help you win more jobs and get paid faster, with no extra waiting.
FAQs?
Is there a transaction limit for BNPL through Joist Payments (Stripe) with Klarna?
Yes, there are transaction limits for Joist Payments (Stripe) with Klarna. These limits will depend on 2 factors: the BNPL option your client chooses and your client's location.
Transaction limits include the following:
Pay in 4: $1 to $2000 per transaction in the US ($1500 cap in Canada)
Pay Later (30 days): $5 - $1000
Financing: between $45 to $10K (max in Canada is $17,500)
Pay in full: max $4000
If you have any questions or need help with your BNPL options, the team at Stripe can be contacted through your Stripe Dashboard or here: Stripe Support.
If you still need assistance after reaching out to Stripe, please reach out to the Joist Support team at hello@joist.com or through the in-app chat option.
Do BNPL payment methods affect a client’s credit score?
Yes, they can affect credit score under certain circumstances. However, as long as customers are careful not to overspend and continue to make payments on time, most BNPL payment methods shouldn't significantly impact a customer's credit score.
Credit scores may also be impacted if providers run a hard credit check or if a customer fails to make payments on time.
Can my client’s BNPL payment request be declined?
Yes, a BNPL payment request may be declined. Klarna takes into account multiple factors when deciding to accept or decline a transaction (for example, length of time buyer has been using Klarna, outstanding amount customer has to repay, value of the current order).
Klarna might decline the transaction due to unsatisfactory risk assessment result, the transaction amount involved, or the customer having a large outstanding debt.