Square loans with 1 dispute

[Dhgaming]

I own a Fleamarket and Video games store.

So since being with square for about two years. I had only one dispute, which I later found out was maliciously made by one of the former vendors, that was withdrawn by the vendor who made it. So I ended up winning the dispute.  I still haven’t decided if I will sue the vendor yet. 

so now even though I have paid off all my square loans early, within 3 months,  it seems I’m at not eligible for one because of the one dispute. Anybody else have experience with this? 

All square does when I reach out is give me a scripted ambiguous answer and no real insight. They don’t even seem to even hear the questions I ask or attempt to answer them.  This is really frustrating as I want to do some Renovations in the upcoming slow months. 

Am I better off selling the square register and going with Shopify so I can start making progress towards actually beginning to get capital loans again? 

[Minion]

Hi @Dhgaming  

First off welcome to eh Square Community.  For anything that comes to loans, we (other sellers) are really just using educated guesses based off the thousands of posts here from other sellers about their experiences with the process.   Its a good thing that you won your decision on the dispute from the vendor.  Disputes do have an effect on eligibility I think internally on your account, negative ones do more so than positive ones so its possible that even though you won that one, there could be something in the algorithm on your account that is triggered automatically.  ( again just an educated guess here). 

How do your "metrics" look?  These should be used as a guide only, but if they are all green then that is a step in the positive direction. 

What is your end goal for your business?  Have you considered reaching out to your local bank that you have your account with for a loan or a business line of credit?  Only a bank is going to give you that one on one personal connection, not Square, Shopify, QB, Stripe etc.  

[Dhgaming]

My metrics are amazing and we still are making good profits. And I already have a relationship with a bank and credit union but I rather go through the channels I have been going through. Any other option would have me personal guarantee a loan and I don’t want to do that just yet until in the later stages of my business. 

my question is with how vague square loves to be would it be in my interest to build a relationship with another payment processor so I can continue to use capital loan options or wait square out using the rules we can’t see 

[Minion]

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@Dhgaming wrote:

My metrics are amazing and we still are making good profits. And I already have a relationship with a bank and credit union but I rather go through the channels I have been going through. Any other option would have me personal guarantee a loan and I don’t want to do that just yet until in the later stages of my business. 

my question is with how vague square loves to be would it be in my interest to build a relationship with another payment processor so I can continue to use capital loan options or wait square out using the rules we can’t see 

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I completely get that.  I'm not one for personal guarantors as well when it comes to business either, more so for credit cards than anything else as I don't want business expenses hurting personal.  Just unfortunately the way the marketis today there are only a dozen or so options for business only credit. 

When it comes to another processor, even with banks 'm truly a fan of the more the merrier to an extent as well.  I've opened up a handful of personal bank accounts when they offer a good promo for opening an account.

As for waiting it out or moving on, It's hard for me to say.  I don't know what type of position you are in or exactly what type of funds (amount) you are looking to acquire.. Switching processors may seem hunky dory at first, but it may not be as green on the other side, or it could be greener.  Everyone's situation and business is different, but I do feel like most of these are similar.  When switching though, just remember there will be that "new user" time period where that company is going to use the data from your sales to process if your business will qualify for capital.

If I were in your shoes, I think I would try to weigh out the pros and cons.  How much funding do I need? Can I get this funding another way? Do I need funds in 30 days, 3 months, 6 months?  Being this late in the year, I would at minimum give Square the 31 days, it would seem like more of a headache in December to switch processing companies and have to deal with that much more on the accounting end.

[Dhgaming]

Yes but the waiting period means nothing if I still have to wait for square on an unknown timeline. 

I've already started to establish a relationship with shopify,

I'm looking to get advice from people who have been at the crossroads I'm at currently and what did they do.

[Minion]

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@Dhgaming wrote:

Yes but the waiting period means nothing if I still have to wait for square on an unknown timeline. 

I've already started to establish a relationship with shopify,

I'm looking to get advice from people who have been at the crossroads I'm at currently and what did they do.

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No worries, was just tossing in my .02 as well.  You can see the best answer here from Abby about another seller with a dispute and eligibility.  Best of luck!

[Abby_M]

Hi @Dhgaming 

Thanks for taking the time to reach out to us.

Recent disputes on your Square account may impact your eligibility regardless of the outcome of the dispute. Keep in mind, loan offers are also based on a variety of other factors including, but not limited to, your current payment processing volume, your customer mix, and your Square account history. We can’t guarantee a loan offer even if the key factors displayed on the eligibility page show all “Good.”

We will continue to review your account daily for loan eligibility. If you become eligible, you’ll be notified directly on your Square Dashboard and through email.

If you have any other questions, please feel free to contact us directly!

[Dhgaming]

See what I mean, prescripted, vague and it’s the same answer they give everybody. I need to know more than the rehearsed answer. I’ve already processed 50k+ on square and I believe at some point I would be able to get a less vague answer than what’s readily available online. 

[MPAV]

yeah I'd like that as well but I can't even get any of the community mods here to help me with just being able to view the eligibility factors little own get an actual loan I've processed 170k so far this year and paid my last loan off in less then 90 days have had last loan paid off for a month and no offers for me even though I could really use it right now too. Sorry your stuck going through this as well and best of luck!