Second Square Loan

[thesaltypaw]

I was offered a second square loan (YAY!)

I'm partially through repaying my first. Is the repayment percentage of the second loan added onto the existing payments I'm making? Or are they showing me a new percentage that includes repaying both loans? Thanks!

[VanKalkerFarms]

I believe the new loan pays off the balance of your old loan.  

[isabelle]

Tagging @Cameron_ ! Our Square Loans moderator! 

[Kristinbesaw]

Hello I have been trying to reach someone in regards to possibly getting a second loan? Or is it all automatic? My area took a huge hit of covid positive cases in both nov and dec and I’m not able to get a PPP loan since I opened in May of 2020 not February!

[Cameron_ · Accepted solution]

Hi @thesaltypaw, 

Thank you for your question. 

We will use a portion of the new loan to repay the remaining balance of your current plan. The total amount deposited reflects your new loan amount minus the remaining balance of your current plan.

The repayment rate is directly tied to the loan offer sizes you received and is based on a number of factors, including your business’s history with Square and its payment processing volume. 

If you have any additional questions, please feel free to contact us.

[Beardgal2006]

How far paid off were you when you received the new offer? 

[Cameron_]

Hi @Beardgal2006, 

Thank you for bringing your question in the Community.

New offers are not automatically extended when a certain percentage of an existing loan is repaid, but the business may become eligible for a new offer when an existing plan is closer to being repaid. This timing helps to ensure a significant portion of a new loan can be used to reinvest in your business directly rather than repaying your existing loan balance.

Keep in mind that we can’t guarantee that another offer will be extended before or after the current plan is complete. Repaying your existing plan does not guarantee that your business will be eligible for another offer.

Your account is automatically reviewed daily to determine eligibility. Offers are based on many factors, including, but not limited to, your current payment processing volume, your customer mix, and your Square account history.

Please be aware that aspects of your processing history, such as failed debits, chargeback history, and changes to your processing behavior may impact potential future offers. If you become eligible again, we’ll notify you directly through email and your Square Dashboard.

If you have any questions, please feel free to contact us.

[Kristinbesaw]

Hey there! Just wondering if you could help me in regards to increasing my previous loan! My area was hit very bad with positive cases and my numbers did drop in nov/dec! I’m not able to get a PPP LOAN or GRANTS for my business due to the fact that I opened in may of 2020 rather than feb 2020! Please let me know! I really don’t know what to do right now…

[Maleryani]

I haven't been offered a new loan in over 5 years. How can I improve this? Thanks!

[Cameron_]

Hi @Maleryani, 

Thanks for your question and thank you for being part of the Community.

At this time, processing at least $10,000 in card transactions is only one of the requirements to become eligible for a Square loan. Once you meet that threshold, there isn’t a specific number of transactions or amount of sales your business needs to process to be eligible as long as your business is active. Please be aware that aspects of your processing history, such as failed debits, chargeback history, and changes to your processing behavior may impact potential future offers.

If a business meets one or more eligibility factors, it doesn’t guarantee that it will be eligible for a loan offer. To learn more about Square loan eligibility, visit our Support Center.

If your business becomes eligible for a new loan, we will notify you directly on your Square Dashboard and via email.

If you have any questions, please feel free to contact us.