Square loan

bythecofjax0215 · ‎12-04-2023

Good morning,

I am in the understanding that the loan has a one time fee (which is fine) and the % is taken out depending on how much you take BUT, for example: if the loan amount is $40,000 and you have the fee you pay for which is about 7k then the 10.5% out of card sales. Do we still get charged the card sales % of 3.5 + 15 cents or is that taken away and we it goes to the 10.5%

?

TheRealChipA · ‎12-04-2023

Hi @bythecofjax0215. The daily repayment rate is in addition to your normal card processing fees. So if you are paying the standard 2.6% + 10 cents, and your daily repayment rate for your loan is 10.5%, then the amount deducted from each transaction would be (2.6% + 10.5%) + 10 cents, or 13.1% + 10 cents.

So, on a card transaction that totals $100 (including sales tax and any tips), the fee would be $13.20

Let me know if you have any other questions.

Chip A.
Square Expert & Innovator and member of the Square Champions group. (But NOT a Square employee, just a seller like you)

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