Klarna Deprecated Sofort: Next Steps for Merchants

Sofort—one of Europe’s top bank transfer providers—is being deprecated by Klarna as a standalone payment method. After September 30, 2024, merchants currently using Sofort to accept bank transfers from European buyers will no longer be able to do so and must offer alternative payment methods to their customers.

This strategic move is designed to integrate Sofort’s functionality into Klarna’s broader “Pay Now” service and create a unified payment experience under the Klarna brand. 

Key dates 

• November 1st, 2023: Sofort stopped being available for new businesses as a standalone payment option through all integrations.
• January 1st, 2024: Sofort is no longer available to buyers in Italy and Poland for existing merchants.
• September 30, 2024: Existing merchants will no longer be able to process Sofort payments.
• October 1st, 2024: Sofort will be fully discontinued across all integrations.

What actions do merchants need to take?

If you accept Sofort payments through Solidgate, you can continue using it until September 30, 2024, for all countries except Italy and Poland. Before this deadline, you should:

1. Update your checkout: Remove Sofort from your checkout front end.

2. Hosted UI changes: If you use a Solidgate-hosted UI, no code changes are necessary; Solidgate will automatically remove Sofort from the user interface.

3. Offer alternative payment methods through Solidgate integration: 

• SEPA Direct Debit—payment integration available in the EU.
• Open Banking PIS—bank transfers with coverage in the DACH region and great UX.
• iDEAL (for the Netherlands).
• Giropay (for Germany).
• PayPal—PayPal wallet allows payment to be made directly via bank funding. 

You can find the full list of available APMs on this page; contact your Account Manager and they’ll help you connect the preferred APMs. 

What happens if I don’t act?

If you don’t remove Sofort from your checkout page by September 30, 2024, it might remain there as an available payment option. If a customer tries to use Sofort, they’ll see an error message and, unless an alternative is offered, won’t be able to pay.

Zooming out: The reasons behind the shift

Since Klarna acquired Sofort back in 2015, its brand recognition and adoption of its payment solutions have grown in leaps and bounds. As part of this evolution, the company has made a strategic decision to integrate its bank transfer services with Klarna Payments instead of keeping Sofort as a standalone option. 

By bringing everything under Klarna Pay Now, they aim to “cut out the clutter” and make their payment process slicker and more efficient. Klarna is also making sure that the merchants who’ve been using Sofort don’t have a rough time switching over by helping them get into the new system so they can keep things running smoothly without any hiccups.