Square Loans and COVID-19

[Laura123]

We thank you for your patience during these difficult times. We understand the challenges you have faced and are proud to partner with a business as resilient and flexible as yours.

As you may have heard, eligibility for loans through Square Loans was paused temporarily so we could address how COVID-19 has impacted our sellers’ businesses, as well as our own. As of now, some business markets have stabilized so we can responsibly provide access to loans to some businesses once again.

COVID-19 definitely forced us to take a step back and recognize how this virus changed how our sellers do business. New signals and criteria are consistently incorporated into our lending models to ensure we can best serve you. Eligibility and offer sizing for loans through Square Loans is based on a variety of factors related to your Square account, including payment processing volume, account history, and payment frequency. More details on eligibility and offer sizing for Square Loans loans can be found here.

If you do not currently have an offer available for a loan through Square Loans, please know that we will continue to check your eligibility on an ongoing basis. If you’re eligible for a new loan through Square Loans, you’ll be notified directly on your Square Dashboard and via email.

[Regina_B · Accepted solution]

We understand that this time of uncertainty is challenging, especially for business owners affected by COVID-19. We hope you all are continuing to stay safe and healthy. 

Please refer to our COVID-19 FAQ as well as our Support Center article Square Loans COVID-19 Business Financing Resources for details on some relief available to you. We have heard from many of you and hope that these can help in addressing some of the questions you might have.

Many of you have reached out regarding accessing capital or previously available, but expired, offers. Please know that your business will continue to be reviewed for eligibility for loans through Square Loans. If your business becomes eligible again, you will see loan offers in your Dashboard. We are actively working on ways to continue to support you and will update you when we have other options. 

If you currently have an active loan through Square Loans, and are concerned about loan repayment, please reach out to us so we can better assist you. Again, we will continue to look for potential solutions to best assist Square businesses moving forward.

Thank you for your patience and understanding and for being a Square Customer.

[Thefermentedpig]

Can square capital adjust qualification requirements given the fact that c-19 is already dramatically affecting business? This seems like it is a short term problem that square capital could really help their ients overcome. If clients weather this storm and stay in business square wins in the long run

[BrownButterNOLA]

It looks like Square Capital is doing exactly the contrary.  We had a loan offer that was present for the past 12 weeks or so.  We were waiting to pull the trigger on the offer until we absolutely needed it.  As recently as Tuesday, I was getting almost daily communications from Square reminding me that we had a Capital offer waiting.  Today, that offer has disappeared.  I now have no loan offers available.  My best guess is that Square Capital is looking towards the future with all of the uncertainty surrounding the hospitality industry, and has pulled mine, and I assume other offers off of the table.

So to answer your question, it would appear that Square Capital will not be here to help their loyal sellers during a crisis situation such as this one.

Maybe this isn’t the case, but from my standpoint, that’s certainly what it looks like.  Anyone else having similar issues?

[PacoPDX]

I was looking to pull the trigger today, went into my account and no loan. No email, no banner on the home page, nothing.

I'm pretty sure they pulled back with the ever-changing COVID-19 pendulum swing. 

Gotta hope when things calm down Square will be there for SB.

😌

@BrownButterNOLA

[tintboyz]

That seems to be correct what you are saying, they pulled my offer off also, after paying all those high transaction fees, this shows the true colors , I had offers for over a month and they went up then yesterday offer was gone. There are other processors to go with when this crisis is over. What a joke. Yet where still open doing business . But now I will have the customers go back to using my atm in office , where I get paid on those transactions, wow.

[newsandinfo]

Are you still extending loans during the COVID 19 outbreak?

[ashc]

Hey @newsandinfo,

We are looking for potential solutions to best assist Square businesses moving forward.

We’ll share any updates soon as they’re available. We’ll share news in the Square Resource Hub and here in the Seller Community. Thank you for your patience and understanding in the meantime.

[planttherapy]

Yep! it has happened to myself and 3 other small business friends of mine. We all had offers and they all disappeared within the last couple days. Reasoning was because they said we were taking in fewer payments...well of course we were, we had to close down because of this virus...before we had to close, we all had consistent payments daily.

[fmock]

Same happened to me. I was waiting to pull the trigger as well and I was really counting on my loan offer to be there to use. They sent it to me on Thursday and Saturday it was gone😔. I really hope another shows up soon! 

[headlines]

I am having the same issue. I've used square since 2016 and it brings in 95% of my sales/services. In 2017 I used a capital loan for $1300 and paid off almost immediately. I could have borrowed upto $11,500. That number/offer has doubled and has/was always been available to me since since 2017. I %100 believe that square took away all offers. This will definitely be a game changer for Square on how they step up and handle this. Stay safe everyone

[bombshell2020]

The same for me.  They were reaching out darn near daily with an offer they even increased the offer a couple of weeks ago.  I went in today and the offer is been revoked.  I'm like oh well it appears everyone is freaking out and looking to protect their capital.  Trying to stay positive throughout all of this.

[Ndjeti]

I took square and I am 90% paid off.  Now I would to know what to do? My store is closed since the 15 am h the f March.  I called square Sorry the tell what to do.  I was afraid inside aid. $200 toward my loan.  I cannot find the capital offer a had!!

[Runnerstrong2]

The conclusion I have come to is that Square is not a bank.  Loan offers from Square are dependent on business sales.

I mean no disrespect to Square; they are doing the best they can with what they do. I’ve loved using their services.

However, I am in conversation with my local bank where business account is held to utilize their credit and debit card processing services.

This pandemic has “rocked the world” of small businesses and self-employed.    We will all be re-thinking how to stay solvent during times like this.

[ecantiques5]

@BrownButterNOLA 

Have you received anything by way of an offer from Square Capital?? Just looking for an update to this thread. 

Thanks in advance😊

[jaechandler68]

Same issue here. Almost 82% paid off. It normally triggers at 75%. Good luck!

[Costa]

I didn't see this post before I posted mine. I had multiple $20k + loan offers from Square capital that i've had for months. I have used Square Capital to essentially fund the expansion of my business, borrowing and repaying $100k++++ from Square.  

Today ALL the offers are gone. 

[PacoPDX]

I would have appreciated a warning or email considering many of us were on the edge of accepting a new offer. 

I looked all over the Apple site today but they only addressed the safety of employees (understandable) and how to contact for technical service needs. 

@Costa 

[Regina_B]

Hello @PacoPDX @Costa @BrownButterNOLA! 

Thank you all so much for posting and sharing your experiences. We are continuing to monitor the situation to ensure we are acting in a safe and sound manner. Please know that offers are only available for a limited time. If you have any questions about expired offers, please reach out to us. If you do have an offer, you will see it on your Square Dashboard. We wish you all health and safety during this time! 

[planttherapy]

How do you explain all these customers of yours on this forum telling you we all had our loans taken away at the same time??? And not only these customers on this forum but tons of others on your social media outlets also having the same issue happen to them? I really wish you were just honest with us. This is not a coincidence!

[Hotplatecafe]

We have used square to expand our business 3 times. Paid off an 8 grand loan in the middle of the PANDEMIC And no new offer. Square you should take better care of your customers. @Costa I think we are up the creek with no help from the people that we've helped.