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 

[Twpchair]

That's the million-dollar question honestly. I usually update around 1-3 pm Eastern time. All of my offers are usually 7-10 pm. Never have I received an offer right after an update or at least since the metrics came into play. Yes, there have been glitches, there was a big technical issue on October 26th I believe where some businesses lost all ability to process, update, and transfer any cash sales, etc. It stopped QuickBooks from transferring online sales, and inventory just about everything. That took some time to straighten out and even my updates went to 4-5 pm for a good 4/5 days. All fixed but caused a trickle-down effect. Once I received an offer and accepted it and waited for the approval I watched my loan circle if it went to 100% and right under it where it has previous loan and has your percentage of the money I still owe paid off. I know that I am approved and just waiting for your deposit will be blah blah blah. Trying to see if you are ghosting and if an offer is happening in the background or if a glitch. Many believe that when it does that for them at least they stated an offer came in. Myself, I have not noticed that on my account. Just the latter part. I tend to receive offers on Thursdays and Saturdays for the majority that I have gone back and looked at the dates which align with the 3 busiest days before. Hopefully, that helps, and good luck! Keep us posted if that ghosting works!

[Pecard81]

I am at 67% all green as well 😳

[Twpchair]

For myself no never. I update 1-3 pm and offers come in around 7-10 pm for myself usually.

[Paulynne]

92% and all green, nothing yet. I called and of course got the same message. They escalated it to a supervisor and the supervisor essentially typed what we all read on the loans page 😔.  I pray my offer is coming soon. I will keep you all updated. Thank you @Twpchair for all the positive and inspirational messages. 

[Twpchair]

You are so welcome! I am not sure if I told you this or not but some users swear by this method. I have not done it myself but you know in your loan section where it gives you the circle and percentage and it states, unfortunately, your account isn't eligible for a loan now scroll and scroll down to the very bottom, and you will see a smiling face and frown face it allows you to leave a message. Hit the frown face and let them know what is going on with your account and whatever your situation is tell them you don't understand why or what is going on. I'm processing like crazy, no disputes ever, and yet nothing! I have been a loyal customer for 8 years and never missed a payment etc and then tell them please 🙏 don't give me a generic response im extremely disappointed and gutted. Here is my number if you need anything from me or if there is something wrong with my account im not aware of. Thank you. All of that I have never tried but others swear by it and they say a rep does call them back. Some said that they did it 2-3 days in a row and received a call. All of the above-mentioned I don't know your numbers or processing volume of metrics I was just repeating general statements as an example. A good percentage said it did help and within a few days received an offer. I will say most importantly they were all very close to you around 90% paid off to completely paid off. Was it a coincidence or did it help? That I don't know honestly. They did say that didn't get a scripted response and a few had issues with communication errors with Square asking a few weeks ago for an EIN or something simple they needed and boom square worked with them and waited on the phone for the Drivers license or EIN and boom generated an offer. Others that are reading if you are not 90% to completely paid off don't waste your time you WILL get the script! This seems to help those stuck with no offers in months or very high % paid back and metrics are booming. I hate giving this out but you are amazing and help so many people and you stick around with great advice and YOU are extremely positive and pick people up as well who are about ready to give up. As I said that has been the best way I have seen others' posts to get a person to call them back was a negative review. I told them afterward you better leave a 5-star! 😆 but honestly at 91% was one of the last few offers. I was 84, 91, 78, and just the last one 69%!!!! I took the 91% I hate to roll over 30% of a loan but that's just me. I think I would like to know about all the glitches honestly you didn't have an issue with just the required information and you never got it and wouldn't know. Sorry for the long rant but hopefully it does help if it is not worth a message or two! Good luck!

[Paulynne]

Thank you so much! I will try that and see if someone will actually look at my account. Thank you for being so detailed. lol, I didn’t mind the long message. 

[Twpchair]

You are so welcome! Hopefully, it helps! 

[Kristencutshair]

I'm so annoyed, square is so fickle. I'm off 4 days in a row every other week and square changed my metrics to increase processing. I've increased my my process by quite a bit the last couple months. 

[Twpchair]

I know I wish there was a way that it took into consideration days closed. But what it does is it takes in the whole picture of the overall health of your business and many like me close 2 days in the winter and it dips to needs works and I still get offers and many others on here can say the same. Last winter we didn't close but 1 day because we had the warmest winter I can remember ever in Michigan and started to take orders or sales over the phone or online. That couple of sales or sometimes 10-12 kept my metrics up compared to the previous winter. The big important ones are disputes, chargebacks, and returns. The disputes take a human and they have to notify you and then their card company and it is a lot of back and forth to settle it. Most of the time even in your favor it affects your account. I understand it happens and 1 time isn't that bad. Multiple times in a quarter I believe? We have a zero no-return policy even as a retail furniture store. Our furniture comes with a warranty and the rest we as the business handle the rest in store. Even with the dip in the metrics there your picking up with the other days it's kinda a wash because your overall sales are roughly the same. I  think you will be fine. We all have days closed or slower months but it's the overall health and growth of your business. Good luck!

[CTC18]

Just wanted to post that I received an offer today at 73% paid off. The offer is for 8k more than my last offer. The last time my approval process was brutal for whatever reason, maybe because of a larger size loan. Please send up all the good vibes that the process this time is seamless because we need this loan for holiday inventory. 🙏🏻

[ThePlantDealer]

Congrats!!! 🎉 Hope it approves no problem. Holiday is def a stressful time. I'm currently at 87% and still waiting 

[CTC18]

Thank you so much. Typically it was always in my account within a few hours but last time it stretched out over a week of sending paperwork back and forth. My anxiety can’t take that this time. 😮‍💨 Sending good vibes your way as well! The holidays are most businesses busiest season but we need the capital to get the inventory to make the sales. 🙏🏻

[Twpchair]

You got this!!!! Hopefully, all they needed you sent in the last time, and good to go!!!  Good 🌟 luck and keep us posted please 🙏 

[lvl10]

Im at 93% all green 9 loan no offer anybody got one lately very frustrating as everyone. 

[Twpchair]

Today a few but here at least it has been pretty slow this week. I hope 3 in one day is a great thing!

[Jjbeautyco]

Hey all. I’m about at that point where I get another offer..73% but it says my bank account was disconnected and to reconnect.   I tried but kept saying error … has anyone received an offer without their bank connected??  I called the squareloan phone number and they hung up 2x.   Any help would be great.  Thank you 

[CTC18]

I do not have my bank account connected and I got an offer at 73% today.

[Ann14]

Congratulations 👏 yay I don’t think I have to connect it then .

[Twpchair]

I don't either. The majority I see here only don't as well 

[Paulynne]

I called and asked about the bank. They said it does not affect your eligibility, it helps them improve the amount of the offer. I have had 15 loans with Square and did try connecting this time to see if it would help, but it didn’t. I disconnected it, but although they said disconnecting was fine, I think it could be holding me back. I’m 93% paid off and haven’t gotten an offer. Most people on this forum have gotten loans without connecting. 

[Twpchair]

I thought 91% was going to be our lucky number???? I've been watching every day for you! Good luck today!