Is anyone else frustrated with how the Square loan system works?

TechTruths

As a small business owner, these loans have helped me get through slow seasons and invest back into my business. But the algorithm-based approval process creates so much uncertainty.

It almost feels like the system encourages businesses to become dependent on these loans, yet when you need another one, there’s no transparency about why you aren’t receiving an offer or what you need to do to qualify again.

I wish there was an actual application process where we could explain our business situation instead of waiting for an algorithm to decide if and when we receive an offer. Small businesses aren’t all the same, and there are so many factors that an algorithm can’t see. It feels unfair & like small businesses owners are being punished for being self employed.

Has anyone else experienced this? Have you figured out what actually triggers new loan offers?

Papaya

Hi @TechTruths !

Thank you for taking the time to share your concerns.

I will share your concerns about loan eligibility with the rest of the Square Financial Services team. Please know that we’re constantly working to improve our products and services based on the feedback we receive from customers.

I see you recently called our team, but feel free to reach back out with any other questions!

Please contact us directly, our Square Loans line is open between 8am-5pm PT Monday-Friday if you want to give us a call.

Sky
Square Loans Team
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Square, the Square logo, Square Financial Services, Square Capital, and others are trademarks of Square, Inc. and/or its subsidiaries. Square Financial Services, Inc. is a wholly owned subsidiary of Square, Inc. All loans are issued by Square Financial Services, Inc. a Utah-Chartered Industrial Bank. Member FDIC. Actual fee depends upon payment card processing history, loan amount and other eligibility factors. A minimum payment of 1/18th of the initial loan balance is required every 60 days and full loan repayment is required within 18 months. Loan eligibility is not guaranteed. All loans are subject to credit approval.

Studio519

It’s so frustrating. I completely agree with you for having a option to apply. This has been the biggest complaint since I started using them in 2017 you would think that square would update the process as patrons constantly voice the same complaint.