If you have chosen to prepay your existing loan by accepting a Square Loans mid-plan offer, your existing loan balance will be paid off with a portion of the proceeds of your new Square loan. Any remaining proceeds from the new loan will be deposited into your linked bank account.
£10,000 new loan
£11,300 total owed (£10,000 new loan + £1,300 loan fee)
£1,250 remaining balance on current plan
The total amount deposited in your bank account will be £8,750 (£10,000 new loan – £1,250 remaining balance). The total amount owed will be £11,300 (£10,000 new loan + £1,300 loan fee).
Mid-plan offers are subject to approval and may be available to sellers based on Square processing history and loan repayment history. Accepting a mid-plan offer is completely optional and voluntary, and sellers are under no obligation to accept it. However, if you change your mind, you can cancel your new loan within 2 working days of your origination date.
If you prefer to repay your current loan first, you can choose not to accept the mid-plan offer. You can check your eligibility at any time by visiting the Loans tab of your Square Dashboard and keeping an eye on your email inbox.