BNPL payment service Klarna has partnered with gas stations chains Chevron and Texaco to allow consumers to pay for a fillup at the pump over six weeks. Klarna alerted users of its app that they can grab gas or snacks at these retailers and split the cost over six weeks.
The move comes as gas prices reached a record high on March 11 this year, with the average price at the pump hitting $4.33 per gallon nationwide, according to AAA. Since then, prices have subsided slightly. Prices had not breached the $4 mark since 2008. Russia’s invasion of Ukraine is only one reason prices have been on the rise.
Low oil production and less oil and gasoline from other sources has been the main culprit. After travel activity significantly died down in 2020 at the onset of the COVID-19 pandemic, oil producers kept production low to maintain higher prices. Now, as travel has resumed, production hasn’t yet kept pace with demand, sending prices skyrocketing.Retail Leader