Has Anyone received Square Loan offer in 2022?

[TheMercantile]

Has anyone received a square loan offer in 2022? For some reason it says I’m ineligible, however I was just offered 100k in Nov. I turned it down because the payback rate was 17% so that means with a good Dec, they would’ve taken $51,000 of my profits in just 1 month. I did a thumbs down on the offer because of that. Does rating the offer poorly take me out of receiving offers? 

[RL35]

17% is not interest. Its the payback amount. Its the amount they take out from each transaction. There is no APR or intrest on these loans. Square charges a flat rate thats added onto the loan. My loan was for $6500 and they charged $800 loan fee and 16% is taken out from each transaction to payback the loan. You would need to have made over $300k in sales in one month to pay $51k back to your loan but your loan would be 50% paid off. And if the 2nd month was the same amount, your loan would be almost paid off in 2 months and you would most likely get another loan offer.

For me, its nice to get a large amount up front for big purchases. Then Im able to pay it back usually within 4 to 6 months and get another offer. Before covid, once i got to 60% loan paid off, i would get another offer. i would plan my business expenses when i was close to 60%. But now, my offers are coming at different times. One time it was 100% loan paid off, another at 50%, and now im at 70% with no offer even tho square says im good in all areas.

I love these loans cuz i dont have to remeber to pay the monthly payment and theres no APR. I wish i could pay all my bills like this. One less thing to think about.

[ianssoph · Accepted solution]

I have always received offers between 60%-80% paid back. They don’t give you their exact algorithm for offering a loan, but if you login to your dashboard they now give you more insight as to why your business hasn’t received another offer yet. It basically goes off how much you are processing and the mix of new to old customers. Best of luck to you! I am on my 10th loan and the offers always exponentially increase for my business.

[Stefanieblue]

I’m at 86% and no offer Insight… what percentage was you at on your last offer?  On my last loan offer I had to pay it in full before this offer

[ianssoph]

My 8th loan was 70% repaid and my 9th 60%. My current loan is at 62% repaid with no new offer yet. 

[Ralphael84]

I’m completely done with my loan have made several new clients no chargebacks great loan history 

[Stefanieblue]

When was you done with your last loan? And how long ago has it been?

[Ralphael84]

I believe the 18th I finished hopefully soon 

[Ralphael84]

About A week

[Ralphael84]

I actually got an offer yesterday 

[Pnp2014]

Did you ever receive an offer? I’m at 83% and wondering do we have to pay it off first before getting another 

[Magicsmurf]

I have twice been offered loans before I paid off the previous loan. 1 was at around 70% and the other was around 85%. They use the new loan to payoff the previous. So if you are offered $500 and still owe $100 from previous, you will only receive $400 when new loan is funded. There is zero guarantee that you will be offered a new loan before payoff. And it can literally be years before the next offer. (Received loan #1. Paid off well before required time frame. Took 3 years for offer #2 and then offers 3 and 4 were done as listed at beginning of this reply. Currently hoping for #5 soon. At 83% payoff right now) 

[Jjbeautyco]

I’m finally at 60% and really hoping for a new offer soon ! 🙏🏽 my past ones have been before 50-60%. 

[jennwd2021]

Yes, but super low ones, and they vary all over the place even though I have consistent daily sales.

[Candlestore]

@TheMercantile ; It should not take you out of getting offers since the offers are based on you Credit Card Sales.  You need to have roughly $10,000 a year (edited after accidently posting wrong time frame)  in Credit Card sales that are processed through Square.  I get loan offers from Not eligible during slow times to just about $30,000 during my busy season.  Square has some formula that automatically generates the loan offers that we see on our Square Dashboard.

[Ralphael84]

10,000 per year

[Candlestore]

oops my bad,  I thought I read before it was $10,000 a month but I stand corrected it is $10,000 of Credit card transaction a Year.  I will edit my previous reply.  Thank you for letting me know.

[Doran]

I turned one down in November for the same reason and then accepted one in January.  It was for a lower amount but it helped during the slow months.  I noticed you can now go into the Square loans tab and see your "loan health" it gives insight on eligibility and loan previous loan stats.  That section might help you see what is holding you up from an offer.   

[Innerglo]

You must have nice revenue if you are being offered 100k! 

I looked at the loan but the % rate for borrowing the cash was kinda high for my liking. 

I talked to a friend and he did get a really good thing from taking the loan.  Once you take the loan you get assigned like a square rep with a direct contact number. I guess an account manager?  Once you have that person you can negotiate some other neat things like a better CC processing rate if your cc runs over 250k yearly. 

[bsa77]

Do you know where he found the direct number for a rep? I am well over that yearly and have never been able to contact someone directly

[ianssoph]

Go to your dashboard and chat with an agent. They will give you the direct number and customer code to call.

[Thistledome1840]

My last loan came at 48%. This one is 6 months in and started at 19500 and payback 22000. I’m at 81% and still no offer. There stock is down $200 a share. When you are paying back 2200-2500 a month it seems they would want to keep that extra money coming in. It’s really frustrating because we are all taking a hit in this economy however our sales are still going strong. I look forward to the loans as it helps me adjust my capital for the next 6 months. Now I’m getting a little worried. If I go 100% paid off I think I’d rather just keep the 2500 a month and adjust to that.