Why Is Square Not Depositing My Money?
Experiencing Square deposit delays? Discover the reasons behind holds and effective steps to ensure your funds arrive.
Square serves as a widely used payment processor for businesses of varying sizes, facilitating transactions and managing the flow of funds. When funds from sales do not appear in a linked bank account as expected, it can cause significant operational challenges for businesses. Understanding the typical deposit timelines and potential reasons for delays can help mitigate concerns and provide clarity on the payment processing journey.
Understanding Square’s Deposit Process
Square processes payments and initiates transfers to your linked bank account on a standard next-business-day schedule. Funds from transactions processed before a daily cut-off time, usually 5 PM Pacific Time or 8 PM Eastern Time, are sent to your bank the following business day. Transactions occurring after this cut-off will be deposited within two business days. Weekends and bank holidays are not business days, extending the deposit timeline for transactions made on Fridays or before holidays.
For businesses requiring faster access to funds, Square offers an instant deposit option. This feature allows transfers to a linked debit card within minutes, even on weekends and holidays. Instant deposits incur a fee, around 1% of the transfer amount, in addition to standard processing fees. Minimum and maximum amounts apply for instant transfers.
Common Reasons for Deposit Delays
Deposit delays can stem from several factors, including banking schedules or account verification. Bank holidays and weekends are common causes, as financial institutions do not process transfers on these days, pushing deposit times to the next business day. Individual bank processing schedules can also influence when funds become available.
New accounts or those processing their first transactions may experience initial holds as part of security protocols. These measures verify the business and ensure compliance. This initial verification period can extend deposit timelines. Incorrect or unverified bank account details can also prevent deposits. Expired debit cards or unconfirmed identity information may also trigger holds until updated.
High-value or unusual transactions can be flagged for review. Square’s risk assessment systems monitor transactions to detect potential fraud or unusual activity, resulting in temporary holds during review. Chargebacks or disputes can lead to funds being held. Technical issues within Square’s system or a bank’s network can also cause delays in deposit processing. Compliance reviews, such as those for anti-money laundering (AML) regulations, may also necessitate a temporary hold on funds.
Checking Your Deposit Status
Checking the status of your deposits provides clarity and helps identify issues. Within your Square Dashboard, navigate to the “Sales” or “Transfers” section to view detailed information about your transactions and their deposit statuses. This area provides a record of initiated transfers, their expected arrival dates, and notifications regarding holds or delays.
The dashboard shows which payments are included in each transfer and provides a history of your deposits. Check for alerts or messages from Square within the dashboard, which often explain delays. Cross-reference the deposit information in your Square account with your linked bank account statement to confirm receipt by your financial institution. This helps determine if the delay is with Square’s processing or your bank’s posting.
Resolving Deposit Issues
Once a deposit delay is identified, several steps can resolve the issue. First, review notifications from Square in your dashboard or email. These messages provide reasons for the delay and outline steps to address them.
Next, verify your linked bank account details within your Square settings. Incorrect routing or account numbers are common causes for failed deposits, requiring an update and re-verification. Ensuring bank information is current and correctly entered facilitates smooth transfers.
If the issue persists, contact Square Support. Prepare relevant information like transaction IDs, dates, and amounts before reaching out to customer support via phone, email, or chat. Providing these details expedites the investigation. Square may provide a trace number to help your bank locate funds. Follow up periodically with Square’s support team to monitor progress until the funds are deposited.