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!

[Jjpainting]

They are one of the ones I’ve seen at 100% for a month or so I think 

[itisnotjustpiza]

100 percent since June 18th and still no offer.  I have given up on hopes of it happening for us as well.  I see too many other people paid off and nothing.  I also notice our number of transactions for July are way off.  I had mentioned it but got a generic response.  It is nice to not have that payment coming out right now.    

[B-dot]

So "buddy" and I both got offers yesterday.

My offer came in at 90% and the amount was half of my last offer.  The balance owing on the last loan eats up 30% of the new loan offer, so in the end only 70% of it would be deposited.  Keep in mind my sales since the last loan came into effect are 21% higher.  To offer a $23,000 loan with $1mil + in sales is rather insulting (note:  I absolutely do not need the loan .. but paying 8% to make 45-50% is a no brainer investment, so I take them!).  My fear is if I reject this offer and wait for another, that one either won't come at all, or will be even lower.  Do I take the offer, or just give up??

Now "buddy" on the other end, just ended his relationship with Square this morning because of his latest offer:  $400,000 in sales so far in 2024....his loan offer is for EXACTLY what he owes on his current loan!  Yes, his offer is only 9% of his previous loan!!  So if he takes the loan, the deposit into his account would be $0.00, but they charge him an 8% fee!!!

Two insulting offers for him.  He's done

I think I'm done, too

[itisnotjustpiza]

I am so sorry.  It is very insulting.  I do believe it is computer generated and possibly maybe some things are being worked out.  I have wondered if not only the economy is coming into play but squares credit card product being offered to some.  I am not eligible for this but thought maybe just maybe it was going to be an option at some point. 

[Twpchair]

If you read up at the top where the Mod pin the post about loans. The section on the market and economy or close to those words do. Even if you, myself, and thousands of others are doing great and sales up overall lending, and banks are getting a little leary right now. In September, the Feds decide to raise rates again or not. Also, the budget wasn't passed in February. I believe it was, and that is due in September, too. If they don't do something, I don't believe they can push it back again with the government's fiscal year starting in October. They are not even close on numbers. Lenders and banks watch this, so you are right. A lot comes into play, and we have no clue about it. 

[ls725]

By any chance, have you called Square Loans? I think they have a hidden “soft ban” on loans depending on how the customer interacted with Square Loans department on the phone. I truly believe if you call and somehow trigger their “high-risk” alarm they cut you off from loans.

[Lynix123]

Do you mind me asking how much was your last loan? How many average daily transactions you do? The reason I’m asking is we do process same amount (900k) yearly. My current loan is $120k and 60% paid off currently. I’m trying to picture the next loan amount will be. Thanks in advance! 

[locksmithnick]

Good evening, everyone!

I’m posting here mainly to inform and compare loans with other merchants. Some info about my relationship with Square that I believe matters quite a bit when getting a loan offer will be included. 

I have used Square exclusively since 2013. I was in the pilot program for Square Capital in 2014 with a small $900 loan. Since then, I have received 20 (!) Square Loans. I have received them as early as 55% paid, but that’s been YEARS ago. I have also gone completely paid, but I believe this one occasion was due to me making pre payments on the loan. Typically, my loans are offered at 75%, like clockwork. 

My most recent loan was in November. A $30,800 offer and my yearly sales were $176,000 for 2023. I am now sitting at 67% paid, and yearly sales sitting at just under $120,000 from 1/1 to today. A 40% increase over last year.

I will update when I receive the next offer. If my calculations are correct, I’m guessing 1st week of August.

[Jjpainting]

I wish I would get an offer at around 17% of my annual sales. My current one is around 11% of what my yearly sales at that time. I just hit 88% paid today. If these two sales proposals go through today or tomorrow that I quoted today, I’ll be at 96% paid off which would be a huge couple of days in sales for me and I would think would be enough to trigger a loan offer 🤞

[locksmithnick]

I want to believe that I get better treatment than a lot of other sellers simply based off loan history and just business history in general with Square. While my total dollar amount is only $175-200k, which is peanuts to a lot of other sellers, I have a literal perfect transaction history with no charge backs or disputes or anything like that going back a decade. And while I don’t do as many transactions per day as something like a restaurant would, I still average 5-10 transactions per day, every day, since 2013. 

[Jjpainting]

Yeah your history alone should be enough for instant loans at 75%. I started my business two years ago and joined square in October of 2022.  I only do about 175 transactions per year which accounts for 75% of all sales. But I’m a painter, and my average sale is almost $2000 (ranges betweeen $100 and $10,000) with an average card sale of almost $1000. That’s cause I request a 50% deposit. But Im now on my 4th loan in just over a year. First one offered was late April last year which was $2500. So that took 3 weeks to pay off. Then they went up to $7500 (offered when first was 100% paid off) then  $8500 offered at 80% paid off then $14,700 at 66%. So based on that I figured my next offer would be between 66-80%. Nope. 

Anyhoo wish you the best of luck with an offer. What’s your current percentage of sales that goes to your loan.  Each time my loan went up, so did the percentage, I’m currently at 17.25%, which I don’t mind at all but I’ve been seeing more people post about loan offers being much lower with lower payback percentages.  

[Twpchair]

Good luck, and thank you for posting an update and definitely share when you get an offer!

[taraj2004]

Fingers crossed for everyone! 

I got the email the other day about higher loan amounts and thought I d9nt want 250k I want like 5k haha I'd be happy with 5 right now. I'm at 74% paid! Hanging on by a thread. My land lords are great and keep telling me just pay $100 a week if that's all you can afford. Small town with my self (drink) bar pizza place and one retail space. Holding out hope 

[Healthyketo]

Right 5k-7k would be ok. Especially for me and my small business that would literally go a long way. Lol I don’t care about no 250k. 

[itisnotjustpiza]

I would take just an answer to if we are no longer going to be eligible.  A reason why, so we could improve.  Maybe why some are not even paid off and getting offers while we have done business with Square for ten years, paying off several loans and now nothing.  Something.  😏

[Twpchair]

Have you tried to reach out to them? Email them and as so as you do it usually pops up a survey and fill that out! Most people said they respond back faster to that little survey on how are we doing. Tell them your not happy and baffled why you have been paid off and all green never missed a loan so why am I not eligible anymore? 

[Twpchair]

Good luck! I've seen a few with great landlords giving them a break or just skip a month. That's awesome 

[GoodBoyDogTrain]

I just got a new offer about 20 minutes ago! It was earlier than is trending at 68% but I recieved my last loan at the end of March and I am about 33% up in sales from then. Just waiting to see if I am approved now!

[Healthyketo]

Awesome! That’s great to hear that there’s some movement. Prayers to the rest of us waiting.

[taraj2004]

Que everyone frantically checking for an offer haha 

[Twpchair]

Congratulations! Thank you for the update! Definitely 68% I haven't seen too many of those percentages in a while! Hopefully this starts to pick up for others!