Square deposit limits
September 25, 2012 9:09 PM Subscribe
Experiences with getting Square to raise card-not-present transaction limits?
posted by Salvatorparadise to work & money (1 answer total)
Hey folks, I just started using Square. I own an auction house and we got Square to take credit card payments. Had our first auction with square over the weekend. All went well with cards present and swiped. Then, I had a bunch of online auction purchases to process. I called the buyers, ran their cards through square without the card present.
Now I see that Square limits card-not-present transactions to $2,002 during a trailing seven-day period and holds the rest for 30 days. What this means is that of the $8,000 or so of payments I've taken over the phone this weekend, about $6k will be held for 30 days.
This is unacceptable to me as the law requires we pay consignors within 30 days. This usually isn't a problem because we deposit cash and checks at the bank, wait for checks to clear then pay consignors.
Anyway, I applied for a limit increase with Square and explained the situation to them basically as I did above. Even if they want to hold for 2 weeks that's ok. Just not a month since I have to pay within a month.
Has anyone gotten some flexibility from Square on this front? In the future I'll just use them for swipes and someone else for card-not-present phone transactions. It seems nuts to me that they will hold payment for 30 days. But I understand why.