x

New Square Loan in 2024

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!

316,650 Views
Message 1 of 2,703
Report
2 Best Answers
Square Champion

Best Answer

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.

View Best Answer >

293,777 Views
Message 472 of 2,703
Report
Square Champion

Best Answer

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.

Chip

If my answer resolves your issue, please take a minute to mark it as Best Answer. That helps people who find this thread in the future.

Piper’s Ice Cream Bar, Covington KY USA
Website
Facebook
Click here to see a list of third-party apps I use to add functionality to my Square account!

जो है सो है

View Best Answer >

230,340 Views
Message 1543 of 2,703
Report
2,702 REPLIES 2,702
Square Champion

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!

Square Champion, Square Champion Innoventor, Square Champion Expert, Square Champion
Advisor.
1,121 Views
Message 1954 of 2,703
Report

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.

1,957 Views
Message 1955 of 2,703
Report
Square Champion

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!

Square Champion, Square Champion Innoventor, Square Champion Expert, Square Champion
Advisor.
937 Views
Message 1956 of 2,703
Report

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 ❤️.

1,330 Views
Message 1957 of 2,703
Report

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. 

1,320 Views
Message 1958 of 2,703
Report

How do you connect to pipe?

1,404 Views
Message 1959 of 2,703
Report

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

1,662 Views
Message 1960 of 2,703
Report

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?

1,868 Views
Message 1961 of 2,703
Report

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

1,836 Views
Message 1962 of 2,703
Report

Did anyone  receive a loan and get funded yet

1,719 Views
Message 1963 of 2,703
Report
Square Champion

When were you approved? Yesterday another was asking and they were on day 1. Their offer came in a little after 10 pm though.

Square Champion, Square Champion Innoventor, Square Champion Expert, Square Champion
Advisor.
1,355 Views
Message 1964 of 2,703
Report

I was approved yesterday.  I would have already received it if I didn’t have my card sales go into my square account cause my other bank would have linked faster. 

1,327 Views
Message 1965 of 2,703
Report

Well apparently they don’t take square bank statements and that’s all I use so looks like it’s a no for me! It was worth the try though back to waiting for a square offer 😪

1,323 Views
Message 1966 of 2,703
Report

at what point did they ask you for bank statements ? 

1,322 Views
Message 1967 of 2,703
Report

I received an email yesterday about submitting proof of address and bank statement so I submitted my square one and they just emailed saying they do not accept square statements at this time 

1,318 Views
Message 1968 of 2,703
Report

Maybe it's just me, but I get a strange feeling about this pipe thing.  I'm never comfortable with giving out my personal bank information. 

1,266 Views
Message 1969 of 2,703
Report

I’ve done my research they are a reputable company, these are standard procedures when doing business loans . Mostly ALL loan companies require 3 months of business bank statements and they probably requested them from @Healthyketo  because they weren’t able to connect their bank account through square using plaid . So they probably manually requested the statements because square isn’t an option on plaid for connectivity . I’m awaiting square to connect PIPE to my bank accounts and do the $1 verification. I will keep everyone posted. 

1,246 Views
Message 1970 of 2,703
Report

On my activity page it shows that my checking and savings from square is connected and shows the last 4 digits of my accounts so it was accepted by plaid. 🤔 this is interesting 

 

hopefully someone gets funded and approved to see if it’s legit 

1,215 Views
Message 1971 of 2,703
Report

Same with me. I was able to connect mine easily.  But with square could only manually connect to their end so that’s taking square a while to do this. Have you done this step yet?

1,208 Views
Message 1972 of 2,703
Report
Square Champion

I get 100%!!! About 16 mths ago my bank account got hacked bad! Not my debit card they got the account about 6 pm Saturday of course and my credit karma started blowing up with congratulations on your new card. And then 10 minutes later they were just blowing up! It ends and here comes them online or mail offer type loans 4 of those 26k, 24k 10k, and finally 4kin loans and 13 credit cards!!!! Done about 7 pm on Sunday! I was at my bank at 9:00 on the dot! They drained that too. I got all my money back and had to call the state police and reports upon reports to send off to the credit bureau. New account and now password and pin protected. I can't connect my bank here in the loan part unless I do a 3-way call. Plaid or anything like them couldn't get in it without me. I never even did it after that nightmare! Just my personal experience and my own opinion on it. Others have awesome experiences! Hopefully, you do what's best for you and your business! Good luck either way you go or just wanted to wait for a square loan. 

Square Champion, Square Champion Innoventor, Square Champion Expert, Square Champion
Advisor.
867 Views
Message 1973 of 2,703
Report

Hmm. I never got anything asking for this. 

1,242 Views
Message 1974 of 2,703
Report