Klarna Confirms Recycled Phone Numbers Caused Technical Issue

Klarna says a glitch involving recycled phone numbers, exposed limited personal details for under a few thousand users and has now been resolved.

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Klarna is addressing online reports suggesting the company may have suffered a data breach. The claims varied widely, prompting the firm to issue a detailed explanation of what it says actually happened. According to Klarna, the incident was not a breach of its systems but a technical issue linked to recycled phone numbers that affected a very small subset of users.

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How Recycled Phone Numbers Created an Identity Mix-Up

In its statement, Klarna said the problem involved recycled phone numbers that were not immediately recognized by its identity systems. Mobile providers routinely reassign old numbers after customers switch carriers or obtain new ones. This practice presents an industry wide challenge for companies that use phone numbers as part of their login or verification processes. Klarna estimates that fewer than a few thousand users may have been affected and says it will notify each individual directly.

Klarna also outlined how recycled numbers can lead to unintended access. If a new owner receives a previously used number, digital services may momentarily associate the number with the prior user. Most companies rely on multiple signals and risk checks to prevent that scenario. Klarna says it uses device fingerprinting, behavioral analysis, geolocation signals, and dynamic risk scoring to identify and block recycled numbers before they cause any issue. The firm stressed that these systems detect the overwhelming majority of reassigned numbers even in rare edge cases.

Klarna Implements Additional Safeguards

Senior leaders at Klarna were briefed as soon as the issue was identified. The company says engineers have fully resolved the underlying problem and added more verification steps to prevent similar cases in the future. Klarna emphasized that the issue was contained and limited to a small group of users whose reassigned numbers were not flagged quickly enough by automated systems.

For those potentially affected, the information that may have been visible includes basic personal data such as name, email and address. Klarna confirmed that no card details were exposed. The company also said the matter was not tied to any specific device type, operating system, app version or payment feature, which suggests the problem centered entirely on the number reassignment process rather than a broader flaw in its platform.

Ongoing Investigation And Commitment To Transparency

Klarna is continuing its internal investigation and says it will maintain direct communication with impacted customers. The company framed the incident as a reminder of the complexity of digital identity systems and the importance of layered verification checks.

Klarna added that earning and retaining customer trust requires both strong technical safeguards and disciplined organizational processes and said it remains committed to both. The company reiterated that its top priority is protecting users and ensuring transparency when issues arise.

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