New Bill Pay capabilities pair with an expanded, refreshed Square Credit Card to give more sellers a simpler way to manage every outflow from one platform
Square announced a significant expansion of its Square Credit Card program and a new Square Bill Pay capability that enables sellers to fund vendor payments with their Square Credit Card, regardless of whether the vendor accepts cards. Together, the updates give sellers a more powerful way to manage cash flow, business expenses, and vendor payments from a single platform.
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Operating on the American Express network, the refreshed Square Credit Card now features unlimited 3% cash back on Square Bill Pay transactions and 1.5% cash back on all other purchases. Rewards are redeemable as cash deposits into a seller’s Square Savings account, statement credit, or free processing. And now, Square Credit Card sellers can also use their card to pay more types of vendors, including those that don’t accept card payments, giving sellers more control over their cash flow.
The new features build on the card’s existing benefits: a dynamic credit line that can increase as a seller’s business grows, along with no personal guarantee, no annual fees, no late fees, and no foreign transaction fees. Additionally, the company meaningfully broadened its Bill Pay functionality, expanding it from a feature previously limited to Square Checking sellers into a more powerful accounts payable solution that all sellers can use to pay expenses.
Easing the Cash Flow Burden
For small businesses, managing outflows is just as critical as generating revenue. Across the country, half of small businesses cite uneven cash flow as a top financial challenge – a problem that can be exacerbated by timing mismatches between when bills are due and when sellers collect on receivables. By enabling sellers to pay vendors with their Square Credit Card regardless of the vendor’s payment method preference, Square is giving businesses more flexibility in managing cash flow while helping them earn rewards and reduce the manual overhead of managing multiple payment methods across various vendors and platforms.
“When it comes to running a trading card shop, inventory is everything. We manage over 10,000 items, and when the right cards come up, I have to move quickly. That can mean spending thousands on the spot before the window to act closes,” said Melvin Bontrager, owner of Lafayette, Indiana-based Rainer’s TCG Shop. “Square Credit Card makes that possible: I can put inventory on the card, earn cash back with every purchase, and automatically pay down my balance from my daily sales without disrupting my cash flow. And having my sales, banking, and credit card all in Square means I always know where I stand financially. When you’re moving this much inventory, that clarity is worth a lot.”
Built for Small Businesses
Most business credit cards are built to rack up airline miles and hotel points, rewards designed for frequent travelers – not for the local restaurants, salons, and shops that shape neighborhoods. Square Credit Card puts money back where it’s actually useful: unlimited 3% cash back on Square Bill Pay transactions and 1.5% cash back on every other purchase, redeemable as a cash deposit into a Square Savings account that now earns up to 3.50% APY, a statement credit, or free payment processing that directly reduces the cost of doing business. Since expanding eligibility at the end of last year, the number of sellers actively using Square Credit Card has doubled¹.
That seller-centric design extends to how Square has enhanced Bill Pay. Now, sellers can use their Square Credit Card to pay an even broader variety of vendors through Bill Pay, including rent, insurance, marketing expenses, and more – even when those vendors don’t accept cards. Square routes the money the way the vendor prefers to receive it, either as a direct deposit into their bank account (ACH) or a check in the mail. With 3% cash back on every Bill Pay transaction, a seller’s Square Credit Card rewards always cover the fee. Additional Bill Pay improvements include faster bill capture via OCR scanning, simplified vendor setup, and new access points across the Dashboard – supporting sellers beyond those with a Square Checking account, with external bank account funding coming soon.
“Small business owners are too often forced to choose between paying vendors on time and holding onto their cash,” said Andrea Raj, Head of Product for Square Banking. “Standalone solutions typically come with additional costs to bridge that gap, and even then, don’t solve the entire problem: you’re still spending your cash on hand, or putting it on a card not designed for small businesses. We built the opposite. Pay vendors on time, keep cash longer, and earn the right rewards for it, all in one place and while saving on fees. That’s only possible because it’s built into the platform sellers already run their business on.”
Expanding access at every level
These updates continue a year of significant investment in broadening access to Square’s financial products. Earlier this year, Square expanded eligibility for Square Loans through improved underwriting models that can now more accurately evaluate the creditworthiness of sellers new to the platform and seasonal operators. Square also recently partnered with Homegrown to offer expansion capital of up to $1 million for eligible multi-location sellers ready to open their next location. Today’s Credit Card and Bill Pay expansions extend that same commitment: more sellers can now access the credit and payment tools they need to manage cash flow on their own terms.
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