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Square Loans FAQs

How Square Loans Work

What is a Square Loan?

Square Loans provides access to funds to grow your business, with no hidden fees or lengthy applications to fill out. Upon approval, funds are deposited as soon as the next working day – so you can invest in your business immediately to increase inventory, purchase equipment, hire employees and more.

What is the repayment length of my loan?

Your loan must be fully repaid within 18 months.

Learn how to download your loan agreement in Navigating your Loan Dashboard.

Is there a minimum payment?

Yes, you’re required to pay at least 1/18 of your initial loan balance every 60 days to make consistent repayment progress. For most Square Loans sellers, regular processing volume will cover the minimum payment.

Note: If you just make the minimum payment, you will only pay down half your total owed balance of your loan. You will owe the remaining balance upon the maturity date of your loan, and may be debited for that amount.

What interest rate and fees apply?

There are no ongoing interest charges. Instead, you will pay one loan fee to borrow the loan. The loan fee is the difference between the total owed amount and the initial loan amount. The loan fee will never change, regardless of how quickly or slowly the loan is repaid.

When will I receive the funds?

Upon approval, funds will be deposited as soon as the next working day.
However, please know that the time that it takes for those funds to be available to you will depend on your bank’s processing speed. It can take them up to three working days to process this deposit.

For more information about your bank’s processing speed, please contact your bank.

Can I cancel my loan?

You can cancel your loan application while it is still processing, or within two working days of loan origination. For more information, view Cancelling Your Loan Application or Loan.

Can I change my loan amount after funds have been deposited?

Once you have applied for an offer, we’re unable to change the loan amount. If you’d like to cancel your loan after it has been funded, you can do so before a decision is made on your application or within two working days of the loan acceptance date listed in your contract. If you cancel your loan, a subsequent offer is not guaranteed.

Can I change my repayment rate after I accept my offer?

You are not able to adjust your repayment rate after you apply for your offer. The repayment rate is tied directly to your loan offer size and is based on a number of factors, including your business’ history with Square, as well as payment processing volume.

Does applying for a Square loan affect my credit score?

Applying for a Square loan doesn’t affect your credit score.

For any other questions or additional help, please contact us.

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