25/08/2026
I’ve posted about this previously but have a case on my desk just now where the clients credit score is really good, but there have been a lot of Klarna agreements used in the last 2 years, leading to lenders declining!
Should you avoid these BNPL offers when looking to apply for a mortgage?
100% YES!!!
When looking for a mortgage, you’re likely looking to borrow a substantial amount of money.
You buy a pair of trainers for £150.
You’re given the option of 3 interest free payments of £50.
What’s the harm in doing that?
If it’s a one off then you’ll probably be alright.
If it’s a regular occurrence or there are a number of these on the go at once, there’s potential for a lender to question it.
Think about it from a lenders point of view.
They perform a credit check when you apply for a mortgage.
They see Klarna littered throughout your credit file - yes Klarna pops up on credit files now!
They could think, that you can’t afford to pay for these goods in one go.
If you can’t afford £150 in one go, how will you afford to pay a much higher mortgage every month?
I’m sure you can afford the £150 and just took the interest free payments for convenience.
Don’t get caught out by this when looking for a mortgage.
It’s all about painting a picture for a lender as to why they should agree to giving you a mortgage.
