Square loan needs work with disputes

[RREXTREMEWINGS]

My account currently says "needs work" in the section regarding disputes. Every other section is in Green (good) we have had 15 disputes in the last year that are affecting our eligibility for square loan. What percentage of disputes does it need to be under for this section to go back to green? Obviously you can't control when customers dispute payments 

[TheRealChipA]

Hi @RREXTREMEWINGS.  Unfortunately, there is no exact answer to your question.  More than likely, it is less about a percentage of disputes (or a percentage of card sales disputed) and more about dispute frequency over a period of time.  I’d imagine (though I’ll never be able to get a confirmation of this) that what the algorithm is looking for is a decently long current period with no or very, very few disputes.  You can always try contacting the Loan Department directly, but I wouldn’t be surprised if anyone there can be more precise.  Like many merchant cash advances (which is what Square Loans are, really) the secrets of the algorithm are not revealed usually.  I’m sorry that we can’t be of more help on this subject here in the Community. 

[Twpchair]

I think your right! I've seen people post "I had 3 all year" got a loan. Then I had 3/4 in a couple of months span and nothing for 6/8 mths and a couple months later offer came in. We have no returns so I never have that problem. That one is green always for me. Are you keeping notes on this? 😆 🤣 😂 just kidding. Ps thank you for the savings information and a Mod got me into the feed for it and more information. I'll be doing here either today or Monday Saturday and Sunday is too busy

[bcbylyb]

honestly I think you are only allowed one in each 12 month cycle. I received 1 dispute from a client in 2022 by mistake and it resolved in my favor...I had no issues receiving loans offers. Recently I had another client attempt fraud with the disputes and she disputed 2 payments at one time. it resolved in her favor, which was crazy from the start. I have been ineligible since. the client has since given me my money back because I pressed charges in real life through the local police for theft of services and even with this knowledge square wont remove the disputes. this has led me to assume that if you have more than ONE dispute in a 12 month cycle, that red flag will occur and may not change until the 12 month cycle resets with no disputes in between. Of course this is just my theory.

[atomicautosalom]

Has anything changed or are you still ineligible?

[bcbylyb]

Surprisingly, my status changed maybe a week after this response...I became eligible 4.25.24. So my theory of it taking the whole 12 month cycle was wrong...not having any more disputes seems to make a difference...my account went ineligible 1.27.24...maybe each quarter matters....it took 3 months for me to regain eligibility. 

[Twpchair]

Charge back do seem to be a problem unfortunately, and most times it has nothing to do with the business. It's funny I don't think I've honestly ever returned something I bought and just decided "oh I don't need this now" but I see now it's very common. I don't like the hassle of returning something is my issue! I usually pass it along to someone else that likes it or it fits them better type thing. It does effect businesses. Good luck to you and I guess we all need to pay more attention to this little green factor better. Thank you for sharing! 

[atomicautosalom]

If you don't mind me asking, when did the all those disputes take place?

[Twpchair]

Have you tried to get in touch with an actual person in the loans department to upload your court papers? I can't say 100% it would help but it wouldn't hurt. That way they can attach it to your account and see if it kicks you back into the algorithm. We have a no return policy so this doesn't affect me so much. I will go back and read that section again but I thought it was quarterly? But I need to read through it again. Good luck and I'm sorry you had to take them to court but glad you won. I've been seeing more and more of this on the news with people calling in their card companies and stating it didn't come. Damaged, totally wrong item etc. Just so they don't have to pay for it. Card companies will start to Crack down soon if this trend keeps going. 

[Santan]

I have 12 disputes and a reserve but I keep processing on daily basis with square most of these transactions services were rendered . And customers were happy . How much time or what do I have to do to get my second loan I'm currently at 75 percent on my first loan  second loan will really help right about now . If square is being paid and we are processing on daily basis there should be no reason why a second loan would not be offered.  Any suggestions on how to remove disputes or reserve and get them green on my dashboard 

[Twpchair]

Do you have anything that these were all settled and both parties happy type thing? If so, you might want to try to reach out to the loan department and get a person, not the scripted reading. It can't hurt to try and see if they can fix it? It's worth a shot. I've seen people with 2-3 disputes or refunds and no issues. 12 I'm guessing is going to keep that from going to green for a bit. Good luck to you!