Complaint

0
Tom
Country: United States
Hello,
I am a small business owner in AZ. Recently I purchased at the Walmart store a product that markets the public to easily start accepting credit cards purchases using their service. I am a new business owner and was looking for a credit card merchant. The Square products all state on the box for their Credit Card reader that "Now everyone can accept credit cards". I joined their service which only took a few minutes for them to start accepting credit card charges from my business which I thought was a great thing, however I did not know that after running several charges through them they put a hold on my legitimate business account and held over $5,000 dollars of my business operating capital. An email was sent to me from them stating they were putting my account on hold due to suspicious activity on my account and they wanted several documents from my business. Since I am legitimate and all of my charges were correct I had questions regarding the documents I emailed them and they promised to respond within 24 hours which did not happen. After multiple emails from me they finally responded 2 weeks later and with each email they promised to respond within 24 hours. After claification and a week response by them I sent in the documents they required only to hear back by email last night that they consider my business high risk and they deactivated my account and will hold my funds for 180 days. I have been to online blogs regarding Squareup.com and found they make this a regular business practice due to the large volume of complaints from business owners across the state and country where they have done the same practice too for many different reasons even putting some small business owners out of business by holding their funds. The false misleading marketing material they publish should be condemned where they lure the public in letting you use their service then keep your money with no warning "Now everyone can accept credit cards". I know they have legal coverage way back in their website to allow them to do this however it does not make it right to sucker you in and give them thousands of dollars to keep and use to prosper while consumers suffer. Please investigate this matter and this company (Square, Inc) I only ask that I recieve my funds immediately to operate my business so I am not another tragedy in their criminal game. I have also sent this complaint to the Arizona Attorney General and Walmart Stores corporate offices by email. This product should be taken off their shelves.
Thank you please let me know if you can help me and others.
Tom

Comments

  • 0
    Daniel
    | 4 replies
    I have been using Square for about 3 weeks and have not had any problems.  

    Did you link your Square account to your checking account?
    Are you doing card-not present transactions?

    https://squareup.com/legal/ua

    16b. Payout Schedule - Card-Not-Present Sales.
    If you accrue more than $1,000 in card-not-present sales during any trailing seven day period, Square will defer depositing the amount in excess of $1,000 for 30 days. For accounts likely to exceed $1,000 in card-not-present sales per week, contact Square support to inquire about accelerating your payout schedule. Upon receiving this request, or once you exceed $1,000 in weekly card-not-present sales, Square will conduct a review of your Square Account to determine if you qualify for acceleration. Square will consider a variety of factors in making its decision, including but not limited to a proprietary set of rules, chargeback rates, transaction behavior, and other supplemental data about your business.
    • 0
      Jackie F replies to Daniel
      | 2 replies
      That's fine if they have this policy, but even that doesn't really explain what exactly can make an account "high risk". Shouldn't they have the courtesy to provide their loyal customers with a thorough explanation and clear guidelines to prevent or resolve such "high risk" situation?

      Why shut them down completely with no way of getting answers to the many questions that follow?  Square basically "drags you out of your own business, no time to prepare, pack, or find an alternative solution, just throws you out on the streets after slamming their door on you!" Oh and holding your money hostage.

      Is this how a "reputable" business should treat its customers?  This causes many small business owners to simply go out of business,  Square essentially kills any business by shutting down their cash flow, many times even after the merchant has already shipped good or provided services, thus leaving merchants with no way of covering bills and expenses, etc.

      Furthermore, why doesn't Square investigate merchants prior to opening their account?  Why not ask for all such documentation and a conduct an analysis of the type of business and transactions the business owner will be conducting so as to avoid or warn merchants ahead of time?

      The answer is very simple: they want to get as many customers as possible, make money off them, and shut them down while holding their funds hostage without any regard to its merchants.
      • 0
        Kim C replies to Jackie F
        | 1 reply
        i agree!
        Square is the WORST thing ever!  They sent me an email stating there was an inquiry about my account and something about fraud.  NO WARNING, took $1,400 out of my account and now my account is NEGATIVE!  I didn't even have time to dispute this!  I cannot find a correct phone number either!  This is causing me INCREDIBLE FRUSTRATION.  This company needs to be 1) SHUT DOWN, and 2) SUED and have any profits TAKEN AWAY FROM THEM.
        • 0
          Denise replies to Kim C
          Here is their telephone number 855-700-6000
    • 0
      PPL CEO replies to Daniel
      I've been using square almost a year with no problems until now.  I had some checks stolen and closed my bank account.  I opened a new checking account and after linking it to Square I swiped a $7,500 transaction.  It went through after several issues about them verifying the account, but then today they deactivated my account and gave the same explanation that everyone else seems to be getting.  I tried calling, but since my account is deactivated, no one answers.  They say the decision is final so w/e!?!?!  I run a commercial lighting biz and handle large transactions.  I think they want lil mom n pop type biz, so the $ amounts aren't large.  They don't want 2.75% on tens of thousands of $s a month, then I'll take my biz elsewhere.
  • 0
    Jim
    | 8 replies
    I am a vendor and do sales at trade shows over the eastern half of the US. I have been using The Square on an EVO phone for all of my credit card transactions since The OshKosh air show in the summer of last year. I have not had a failure of it since first starting to use it. The funds are in my account within 48 hours all of the time. These are for totals from a few hundred a day to over a thousand a day.  I can't tell you how much time, effort and money I have saved compared to using a Nurit wireless machine and I had really "good" rates before. I know a number of other vendors who use the Square successfully everyday and turned my son onto it for use in his business. From all of the reviews I have seen over 90% of the users are happy and most of the unhappy have had a problem with their particular device, not the service.
    • 0
      Monica replies to Jim
      | 4 replies
      I have been using square for almost a year now. I had a purchase for 500$.  I've had many purchases for 900.00$ 450.00$. But yesterday I recieved an email asking for more documents. I am linked to my bank account wich I find is odd to ask for more proof of who I am, I even linked my facebook. I sent in a copy of my id. They asked me what specifically am I selling?  I did not know I had to sell something specific. Needless to say I received an email saying "Our Account Services team has concluded a review of your account and has determined it to be high risk. For security purposes, we have elected to deactivate your Square account. From the date of this letter forward, you will not be able to process transactions using Square".  So just like that they closed my account and are holding my money from my transactions for 90 days.  So I decided to call I was told repeatedly "I cannot tell you why you are high risk". "No manager will tell you why".  So I have no answers and they have a hold in my money. this seems very wrong to me.  How can they do this?
      • 0
        Stef replies to Monica
        | 3 replies
        Same thing happen to me
        • 0
          Jeremiah H replies to Stef
          Same thing happened to me. I called them and only to be told "for security reason" they couldn't tell me why my account was deactivated. I refunded the payment to my buyer and she agreed to pay via check. Lucky me I had an honest buyer from craigslist. It was my first and last transaction using Square.
        • 0
          jackie replies to Stef
          It happen to me also
        • 0
          Stephanie replies to Stef
          I feel for all of you that have had your funds frozen I had the same thing happen toe and I called the police and made a report. Nothing came of it. I refunded two customers and lost my merchandise I thought maybe the customers were using. A bad card or something but no I'd live to know why I got deactivated bc I sent them way too much documentation that it makes me nervous to know that they have my tax ID number for my business and all this other information anybody knows how to get your money back and not wait 90 or hundred 80 days and I have to refund people the product that they've already bought it's not like you can go chasing them down after they've left your store please let me know
    • 0
      Nick replies to Jim
      | 1 reply
      I had square for over a year and today out of nowhere being a succesful business owner doing all my business legit they deactivated my account. I truly hate this company.
      • 0
        Carl replies to Nick
        Same thing happened to me today. I had money in my Square account and they decided to deactivate it because it represents high risk.
    • 0
      Anne replies to Jim
      I agree.  I have run over $50k in show sales without a problem.  All are swiped transactions that are under $200.  I wonder if the issue is new merchants running large charges without the card present
  • 0
    Joy
    | 2 replies
    I have the same problem because I complained they said I was high risk and holding my money for 180 days....have you got your money back? I've complained to better business burea and attorney general in ca
    • 0
      Earline Jaggers replies to Joy
      Please let me know if you have had a response.  I have the same problem.  Please tell me how to contact the people you hae contacted.
    • 0
      Monica replies to Joy
      Im going to contact an attorney also

Post a new comment