“What the square is all about”

Square is an electronic payment service, provided by Square Inc. Square allows users in the United States and Canada to accept credit cards through their mobile phones, either by swiping the card on the Square device or by manually entering the details on the phone.

Square consists of a card reader and two apps, Square Register and Square Wallet. The card reader is a plastic device which plugs into the audio jack of an iPhone, iPod Touch, iPad or Android based mobile phone. The Square Register app accepts credit cards using the card reader device. It is available free for iOS and Android. On the iPad version of the app, the interface resembles a traditional cash register. The Square Wallet app allows customers to set up tabs and pay with their names. It also enables them to receive electronic receipts.

There are complaints about the Square that have created a concern for some businesses.

  • Square places holds on card-not-present purchases for 30 days if more then $2,002 is charged within any rolling 7 day period. If the merchant keys-in $2,100 in purchases within 7 days, either in one sale or multiple sales, then Square will hold the extra $98 for 30 days. If you are doing large volume sales this would obviously not be a good option.
  • There are also a large number of complaints from companies saying Square is putting long holds (exceeding 30 days) on their funds if transactions seem suspicious. It seems that a high number of legitimate transactions are being flagged without notification or a reason that it has been placed on hold.
  • There is no phone support for merchant questions. It appears that they rely on email, Twitter support and blog supports to answer questions. They do have an 800 number that goes to a voicemail system.


According to the Better Business Bureau these are the major problems:

  • Delays in deposit times
  • Long fund holds ranging from 30-90 days, and difficulty reaching any sort of customer support.

 Square Rates

2.75% Swiped

3.5% + $0.15 Key Entered



Ditch the Dongle – Get the real solution for real businesses: Harbortouch! from Harbortouch POS on Vimeo.

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