This is the primary positioning tactic used across the startup industry . Uber isn't a taxi app, it's actually the "future front end for millions to access autonomous transport". Doordash isn't a delivery app, it's an "on-demand logistics" platform.
Similarly, Klarna isn't a shady payday loan company, it's an "AI-first consumer finance play".
Not that I necessarily disagree with your overall take, but can someone explain how 'financing' your DoorDash order with a credit card is perfectly OK, but financing with Klarna is somehow dubious and shady. Surely the problem is buying stuff you cannot afford, not how you choose to buy it.
I think there is a feeling that klarna, and other bnpl companies just lend without checking or caring of consumer credit, or buying power. I've never used them before, so I don't know if this is a case.
With credit cards there is the "appearance" of them checking credit scores, ability to pay , etc.. before giving a credit card.
I say appearance, because as we all know cc companies will just lend cards to anyone, and then charge huge interest rates.
Ultimately it's another form of credit, and it's a minor change on the current system. But since it's finance and lending, it's a step to make lending easier.
Lending and banking in general is a highly regulated market so they do have to underwrite and do anything in their power to avoid lending money or start contractual obligations with people that are bad creditors. Source: worked for them for 2 years.
Similarly, Klarna isn't a shady payday loan company, it's an "AI-first consumer finance play".