New Square Loan in 2024

[SPPhotography1]

I’m at a bit of a loss for what else I need to do to be offered a new Square Loan at this point. I’ve been with Square for over 10 years, had 7 loans now that I’ve have paid back early every single time. Metrics are all in green, record sales year. In 2023, record numbers across the board, no refunds, no complaints or issues of any kind in our entire history. Current loan is 80% paid off, but no new offer in site. This is the kind of stuff that causes businesses to find someone else to process through! Please help! I’m sure I’ll get the same old excuses that you guys send to everyone about looking at every aspect of the business. But there isn’t a single aspect that isn’t way up. I’m not sure if there is a new process they are using now, or if there is some kind of issue with my banking or something else I’m not thinking about or aware of. Any help would be much appreciated. Thanks, because I could really use some new capital to start the year off with and reinvest into my business!

[Stacelyn24 · Accepted solution]

I'm really sorry to hear about your frustration with the loan offers. I understand how important it is to feel valued, especially as a loyal customer. Let me try to address your concerns and provide some clarity.

Loan Offers and Qualification Parameters

Square’s loan offers are based on a variety of factors, and while past trends have shown offers at certain thresholds, the exact parameters can change over time and are not always disclosed in detail. Here are a few points to consider:

• Dynamic Criteria: Square uses a complex set of algorithms that take into account not just the repayment percentage but also your recent sales history, account health, and overall business performance.
• Market Conditions: External market conditions and internal policy changes can also impact when and how loan offers are extended.

Value Beyond Transaction Fees

I understand that a 3% card transaction fee can seem high compared to other providers, but Square offers several features and benefits that help justify this cost:

• Integrated Ecosystem: Square provides a comprehensive suite of tools that work seamlessly together, from point-of-sale systems to online stores, invoicing, and inventory management.
• Ease of Use: The user-friendly interface and intuitive design make managing your business simpler and more efficient, saving you time and reducing the need for extensive training.
• Reliable Support: Square offers robust customer support and resources to help you resolve issues quickly and keep your business running smoothly.
• Secure Transactions: Advanced security measures protect your business and customers from fraud and data breaches.
• Analytics and Reporting: Detailed analytics and reporting tools help you understand your business performance and make informed decisions.

I understand the disappointment regarding the loan offer, please know that Square regularly reviews its criteria and your status. I recommend reaching out to Square’s customer support for a more personalized review of your account and to express your concerns directly.

[TheRealChipA · Accepted solution]

Good news, bad news, eh @cmeshine.  There are a number of reasons that COULD be part of why your new offer was lower.

1. Square might be slowing down on how much loan exposure they want to have on their balance sheet.  They are, after all, a publicly traded company that has to answer to their shareholders and investors.
2. If our sales are flat or at least not growing at a good rate to cover inflation and higher interest, then Square’s algorithm understands that inflation is eating into our available cash to pay bills, etc.  Flat sales (or very slowly growing sales) are always red flags to lenders, Square or not.
3. Sometimes how long it takes us to pay off our current loans can be a factor.  Let’s say that previous loans were paid off with automatic payments in 8-10 months in the past.  But for this current loan it took us 12-15 months.  That tells Square that our card processing volume can’t keep you with higher loan amounts.  Yes, they give us 18 months to fully pay a loan, but they obviously prefer that we pay them off closer to the 12 month mark.
4. If our cash/card ratio drastically changes, and cash spikes or is consistently higher than historical for our business, that is another red flag.  Since Square must only consider card volume when calculating repayment rates this can become a problem.

Of course, I’m not saying that any of these contributed to your lower offer.  I’m just throwing out a few reasons why this CAN happen.

[Jjpainting]

Yeah that post **bleep**ed me off as well. I love the regulars on here that post often. The more the better. It gives everyone a sense of loan trends and is helpful. Really doesn’t solve the problem with trying to figure out their weird algorithm, as I’m coming to the conclusion that it’s more like a random lottery at times 😂

[Twpchair]

This is the first place I come in the winter especially when im in panic mode then especially a bad winter! I know what I will get by calling and here you nailed it you can see the trends. Is it a guarantee no but it seems to be better than guessing that old algorithm! The other part of the new verbiage on the last part added about the market, and economy was idle or idling the algorithm. Well, unfortunately, we don't get an email or something in our dashboard about it. Myself I prefer to just tell me for the next 6mths or whatever that we have to slow down on the loans or amounts until the economy, lending whatever it is gets back on track. Thank you though for the kind words. I do get the frustration though. But wrong one!

[Healthyketo]

I always appreciate your feedback! We sort of developed a little family here. Lol you’re like our group “mom” I don’t believe you work for square nor have any affiliation with what goes on behind the scenes. I do believe that you have been with square for a very long time and your experience with square shows. And we all appreciate the feedback from you. You’re always so positive and it gives us that glimmer of hope that we can be next! Overall we appreciate you! Have a great Sunday! 

[Twpchair]

Thank you, since 2012 before loans! I think I was one of the first in the “testing” of the new loans in 2014. No, I don't work for Square, I'm not a bot 😆 too many typos and too lengthy of a post! Square would fire me and cut it to a sentence! I understand the importance and frustration people are holding tight but only for so long. I honestly haven't seen it this tough as now. I told the others above to type in The White Pallet Chair Clare Mi and that's me!!!! Hopefully, that's ok to post. Thank you, and honestly good luck to you! 3/4 or more months paid off is something we are not used to!!!! 

[Paulynne]

So sorry they came for you like that. You seem to only want to help and keep everyones spirits up. 

[Twpchair]

I understand the frustration, unfortunately, people get frustrated and I'm not saying that person but others are really needing this now type of thing to stay open. As far as I know, they would fire me pretty fast over my typos and I would handing out loans like candy! I see people post up 200% or higher that's exactly what they say they are looking for. I don't think imo that is has as much to do with you or me or the others waiting but just lending in general is tight. Like the other guy posted their pos forums are saying the same thing as here. The only ones I know that work for Square are clearly defined as moderator or mod. Others have accused others of being bots etc. I don't think so just going by how they talk is all. Thank you for your kind words. If you get bored look up The White Pallet Chair, Clare Michigan that's me! Good luck and hopefully soon! 

[Paulynne]

Yeah I guess everyone is frustrated/scared. I will definitely look up your business! I’m Victoria & Jane in Atlanta. We’re on Instagram as @victoriaandjane

[GlitzyCow]

Goofy you say? Yeah around here there’s a different word for you. Btw you seem to have enough time to read what she has to say… and here you are writing a book for everyone else to read. Pretty pathetic you take time out of your day to totally blast someone on here who’s just trying to make everyone else’s day a little less stressful! 

Your know it all self has plenty of complaints but eh who cares it doesn’t phase you. Why even comment? Maybe you should look into those “Indian call centers”! I’m sure your customers would be please with those results. Toodles! Have a wickedly miserable normal to you day. 

[Jjpainting]

Well said!

[Twpchair]

Thank you 😂❤️ if anyone knows waiting it's you! Glad you stuck with it and got a good rep to work with now. 

[brown17]

SMH Get a grip.   Grass isn't always greener on other side.   Good luck.  By the way, the name of the forum is seller community.   We have sellers helping other sellers and actually Square employees do respond once in awhile and identify themselves as that.   TWPchair is on here giving others a person to talk/vent too.  She obviously been with square many years (as myself) and have had several experiences and just sharing them.   Even if she does "work for square" What harm is she doing?      Life is to short spread LOVE not HATE !

[Twpchair]

Thank you! And no I don't work for Square just been with them since day 1 when I opened my business. I understand people are frustrated it's not been the norm since last summer and so many people are just barely hanging on. Believe me, if I worked for Square it wouldn't be long! I would be like Oprah up in here with you get a loan, you get a loan, everybody gets a loan! And you know exactly who does if it says Mod they do. You nailed it with the forums and I get faster and more detailed information when I need help with technical issues I think im allergic to computers! Good luck to all those who are waiting! I see a couple who have been paid off completely finally get an offer! Have a great day! Off to the paint booth! Fun!

[Toripori]

Update from the UK paid off since April 18th still no offer. Had an excellent week after a dicey summer (still up on last year mind you!) still can’t see my metrics, still waiting………Square has zero answers and is nothing but vague but yet has made a nice sum from my transactions and add ons. It’s a love hate relationship at this point.

[Twpchair]

Since last summer here it's been hit and miss. It does get frustrating when you have been with Square for so long and I have as well. We got used to a guaranteed loan offer at 70-75% paid off. Now 91, 84, 81, and then 69%??? Nothing different but up in sales. I have reported multiple times about metrics not working for months for some people. With you, I can't tag in the Mod from the UK. I look at mine daily and like clockwork 1-3 pm updates. Do you know who the Mod is on your loan page? If not you should be able to scroll up top and on a pin note you will see it highlighted. Screenshot no metrics and make a post and @ who it is and tell them you need tech support, please.  Good luck with everything going on. I'm sorry you are having issues going on over there. Hopefully, this helps!

[Paulynne]

I hate to draw attention from Square loans, but I know people are suffering and we are all looking for help since Square isn’t coming through as quick as we need. There is a company called Pipe that will loan based off your Square sales btw. If they ask, let them know Ennyluap sent you ❤️.

[Jjpainting]

Thanks for this information. I just applied and connected my square account. My offer was only $4k but it would be so helpful. I hope it gets approved. It says it takes between a few minutes and 48 hours. 

[PFS36]

How do you connect to pipe?

[Healthyketo]

You are an angel! I got approved for $4600! Definitely can put that to use for the business. 

[Jjpainting]

It says I need to attach my account with them through square so they can transfer money from my square to them. Which I did. But for square to verify, it says it takes out $1 or less and then refunds the money. Not sure how square will verify this. How did you do it?

[brown17]

Careful, make sure this isn't a scam.   Do not give any account info out 

[Tyconcrete]

Did anyone  receive a loan and get funded yet