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.

[Twpchair · Accepted solution]

Congratulations! I am sorry it's lower than expected but you are correct about daily swiping vs not. That's one of the metrics. I'm retail furniture and I process daily. If 90.00 or 900.00 a swipe is a swipe and they each add up at the end of the day. Hopefully, the next offer will go up! I don't know if the algorithm picks up how your business processes I hope it will or maybe that's something that should be addressed to square. You are not alone and a big market for venues and events. The same goes for contractors who send out invoices and how fast the customer pays. Congratulations on at least getting one and thanks for the update and details about it.

[Twpchair · Accepted solution]

Hello, I apologize I've tried 3-4 to reply, and the boom screen locks up, then under maintenance. Not a good few days on here! When I get to your percentage especially, if I run a sale Thurs-Sun and do 10% off storewide, I use Facebook and Google for this. They are powered tools and are free. I take loads of pictures and post a few times a day with sneak peeks of new arrivals, older furniture, floor models, etc, with further markdown. Our business neighbors have a doughnut and bakery store. I usually get 20-25.00 worth of baked goods and now I would do hot cider and coffee. They or we give each other deals. I post the events that going on. Coloring contest for the kids, pumpkin coloring contest. A gift certificate live drawing on Saturday. All week prior I posted daily on both and boosted some of the posts for 9.95 for 5 days usually in a 100-mile radius and these women came. Last Saturday we tripled to very close to 4x our busiest day. I spent roughly 60-75.00 dollars. It jumps you up and in sales and this is just imo that boost kicks in something in the algorithm again imo. I went back and looked and 85% of my offers were Saturday night usually 7-10 pm after I updated. Thurs is another day again I have done Monday -Wed early bird specials and it kicks it in. I'm retail furniture and it is a little easier to do sales and deals than other industries. Just don't forget the power of free advertising for myself 95% of my first customers are women and then they bring in their spouses. Good luck, I hope you have received a loan offer by now! Hopefully, all the bugs will be worked out.

[Twpchair · Accepted solution]

Oh, yes! You do not need to meet your 60 days or whatever your minimum payment is. I have many times after I my minimum payment was meet and only paid a couple more days received an offer. After 12 years you kinda pick up the big do’s and don’t. I meet my minimum amount way ahead of time but definitely meet that! If not that means their last offer was too big for you to handle. 2. Try not to do too many, especially in a 4 mth-6 mths span of multiple refunds, and disputes. We have a zero return policy and our furniture already has a warranty and the rest we take care of in house. Those disputes and refunds trigger a person to physically do it and investigate why, who, and what type of thing and then back and forth with card company. The rest are important to stay green but I have been offered loans when one of metrics said needs works. So have many others. But definitely, if you have a slower period or a week or 2 of cash and checks. Just watch one or two big transitions will eat that up. I'm retail furniture so I see a week of cash or checks and then boom all cards. Keep swiping away what line of business are you in? Whenever I run a good 3-day sale on Thurs -Sat. And if I am around 70%ish. Usually, Saturday night it triggers an offer. Just lucky, coincidence? I don't know 100% not with an algorithm but I can pay down over 20% of a loan in 3 days it's triggering something to look at. I have done it before at 13% of my loan paid off and nope not happening. But in the 70s I have had it more often than not. But, like I said it is not a guarantee and honestly nothing is without a human connection. All POS systems use an algorithm type system that picks off or triggers something to look at it. 

[Lynix123 · Accepted solution]

Thank you for being here and answering everybody’s question. 
We got an offer at 95% yesterday but it’s only 20%of my current loan. Do you know anybody did not accepted loan and got another loan offer. How long it takes to update to another offer. 
It’s our busiest season. I generate $5-10k everyday till Christmas. I hoping that will trigger bigger loan if I wait. Thank you again 

[Tailoredgent]

Thanks for the information, still going through the pipe process with statements. Hopeful that that things pan out, and hopeful Square will send a ding with an offer, currently at 86% paid so trusting and believing. The hard thing is when you are conditioned to expect something and it doesn't come disappointment sets in. Working on breaking my conditioned mindset, best of luck to all other waiting, prayers up for success in all of your business!

[Twpchair]

That is the hardest part for 99% of the people. 4/5 years ago I could guarantee almost like clockwork 70-75% I was going to offer in that range. And now it's different and we all as customers notice it. It is hard to plan on inventory. I'm seeing people who lost one of their pizza ovens go out, another lost their less when the building sold. All green and % paid back in the 80-90’s to completely paid off and hurting bad. Trying to figure out that the algorithm is like Wheel of Fortune or Lotto! Best of luck on both! So far Pipe has been coming through big for people here. 

[photoguy2019]

Hello Twpchair how are you i didn’t know how to reply to anyone but i know you will do great for me! I have been offered at 82% just now, here’s some key notes ive noticed this week and leading up to this loan offer… i noticed my last one was offered at $1693 being owed back and 3 days ago i made it down to $1780 left owed and that’s when they added in saying about minimum payment due by date and i noticed that it lined up exactly in the range of it being paid down to 1693 again and as soon as i took a payment just now i received that offered instantly for $7200, my sales were up 50.83% from last year and this is the same amount as the last without the roll over balance. Sorry for the unorganized message i am just scrabbling and happy! Square still lending guys!! Keep going!

[Twpchair]

Congratulations first and to obtain the same amount and not half of the previous offer is excellent as well! It has been so up and down with offers so to see the same even though your sales are up by 50% is awesome and great job on a 50% increase. From what I've watched is usually not everyone of course but the next offer if things stay the same with your business their offer went up to align closer to their sales. Mine did pretty quickly at 69% though. I didn't take it because the new offer and the amount of rollover took all of the increase. I understand if people need it and no guarantee when the next one is coming you do what you have to for your business. If not 80-90% paid off (I like 90%) but that's been 1 time 91% paid off a lower percentage to pay daily. Yeah, I jumped on it! So minus 19% and the same amount of previous offer is pretty darn good lately. Great job!!!!! I'm glad it came through and at the right time!!! Yes, square is still doing loans daily. Millions of users and a small percentage use the platforms. When we are the best info to share! Go get it and keep those sales rolling in! Thank you for sharing and breaking down your information it does help others. 

[PerroneTech]

I'm at 81%, $1632 owed. I'm usually offered a new one by this point. Checking every day all day. All metrics in green. If there are prerequisites we need to achieve, I wish we knew more, or I wish there was at least a way to trigger a manual review.

[Twpchair]

I know you and everyone else! And lately, it's been bouncing around with the % paid off. Just for myself once I am about your % paid off and I do a sale (I'm a retail furniture store) from Thursday - to Saturday and really kick in the sales my metrics usually update from 1-3 pm. I have noticed that about 70% of my offers are on a Saturday night from 7-10 pm. It could be just a coincidence or im reading too much into it. But the numbers when I looked up every loan that I accepted. I'm a Saturday and Thursday the most. Very few other days. Trying to figure out how and what triggers that algorithm is like playing the lottery! I just punched in the numbers and that's what I noticed is. I do process every day were open 7 days a week until winter. I see others up 300% in sales all green for months and completely paid off for 3 months and nothing yet. 2 people posted 69% and offered this week. If you see a thread loans in 2024 that is where 99% of the comments and community are keeping everyone posted every day. Good luck to you and hopefully it will be soon!

[Twpchair]

I apologize it didn't show up at first you are on the right thread. These are great regular-users and you can scroll down and see who and what % each other are at. They are all extremely helpful and all industries. Good luck!

[Tailoredgent]

Finally done with the pipe application just waiting for funds to hit.

My last loan with square was 28k December 2023 of which I’m now paid 86%. I am just wondering what changes have occurred as my last loan was offered at 75% paid.

I have also had multiple, multiple loans with square. I wish they would give insight other than the offers are system generated. This way one would know what they can work on, all green metric lights and high portion of payback don’t seem to be the answer. 

[Twpchair]

Congrats on the Pipe application and getting some relief for a while. Ugh, if anyone on here understood how to figure out that good old algorithm the board would clear out fast! For months the % was trending high to paid off. Now, for the most part, it still is. A couple here and there every couple of weeks popped in the 70s range and received an offer. Hopefully, it will pick up soon!

[Sj1976]

Thank you! Because I saw your reply and you mentioned pipe, I filled out an application myself and got approved! I’m so sick of squares generic answers. Thank you!!! 

[Press_Studio]

Hi Taylor, For 28k loan do you mind me asking what your processing volume is for the year? Ive gotten 5 loans so far with square,  each time its been higher than the old loan or maybe a few thousand below. Im currently at $18,800 land 49 percent paid. 

[taraj2004]

Weird on my end went to check on my loan I'm currently at 93% paid. My minimum payment was due today (it's been paid for over a month) by list that shows all the things needed to get another loan is now missing. Anyone else have this happen 

[Twpchair]

Check right underneath the loan circle and see if your current loan is there with the other paid-off loans first. I've had my metrics disappear if I happened to check it between 1-3 pm when I normally update but it's back shortly. Only 1 time when it disappeared that night I received an offer on Saturday night. Hopefully, that's why. If not and nothing changes I would try contacting Square today. Make sure you tell them that you are not asking about a loan fast but I would hate to see them take out a payment when you are paid off! A few things could be going on. 1. You're not updating correctly 2. You could be in the process of getting an offer 3. All of the above are just from my experiences and others on here with the same issues. Your last payment or final payment was it taken out from your daily sales or did you pay it off manually? If manually it does take 7-10 days to post or show up on your account. Good luck and I would try to stay on top of it. Please keep up posted ok. 

[Twpchair]

Any updates or changes? 

[BeeBraids]

Not for me, up to 76% no offer

[Twpchair]

Mine since last June was 84% and then 91% and the last one in March at 69% paid back! Nothing changed really. Sales are up, more credit cards in the winter though (our warmest winter in Michigan), and our snowbirds mostly stayed here. But to go from 91% to 69% really with not much changing baffles me. I didn't or don't usually take offers at 69% and a 1k increase over the previous offer because I roll over more of my offer and get less. I did accept the 91% with a 6k increase which is still lower than normal but better than 50% less! And I got all my offers and about 5k more. Believe me, I understand that if need it and it comes in you and only you know what is best for your business! I'm hoping it breaks soon but I've been saying this all summer! Good luck to you and everyone waiting!

[CTC18]

Currently sitting at 62%. My last few loans have come in between 62%-83% with most in the 70s. This loan is from April and I’ve paid it back 4x faster than the minimum. Sales YOY are up 63%. All metrics have been green every single day since I accepted this loan.

[Twpchair]

Last month and all summer I could have said for almost everyone the % was high in the 90s paid back to completely paid off before a new offer. This month if you scroll down a handful from 69% to paid off. It's bouncing around and unfortunately, most are 100% like you! Sales up paid off the loan in 1/2 the tiime and nothing yet. With an algorithm imo is like watching a bingo ball go around and land on you or the other in front or behind you. It's frustrating and confusing. I was hoping that the Feds cutting rates would ease lenders and we could get back to close to semi-normal offers. That hasn't happened yet. I think imo they are watching the bigger picture around the world and the overall health of everything! Good luck and hopefully it breaks soon!

[Twpchair]

There have been some glitches with metrics and they are working on it. Oct 26th was a big crash in certain areas here in the USA and more oversees to all crashed and they couldn't even take a payment. They had to invoice customers the businesses that could and then catch up with all their metrics. That's why people are posting my updates are coming in a few hours later or ghosting and gone? They will come back and hopefully updated everything along the way! Others no science on this theory but they said when it ghosted it came back with an offer? Coincidence or luck or true?

[Toripori]

Little update from the UK, still no offers from Square and Pipe isn’t over here so I’ve managed to find a company called Youlend which is similar and have been approved and awaiting funds to be in my account. Was very simple to do. If anyone is UK based and waiting check them out. Wasn’t as large as my previous Square but hopefully once a relationship is built it will improve. 

[Twpchair]

Thank you for sharing and we do get a few every month looking to see how loans are going here. I would love it if you could keep us posted on how the company Youlend works out for you. Others asked about Pipe and reported back the same thing as you. I would love to be able to give them a good bridge reference if that's ok. Hopefully, they start picking up over there. I  know the economy on the whole isn't good but how is business going? Are you seeing and feeling the increase in just about everything? I still have a few friends in England after 8 years stationed at RAF Upper Heyford. One is still in the military and the other finished his time and now working 2 jobs nonstop to keep afloat. Good luck to you and I hope that the company helps till you get an offer from Square.