Mobile payment processor Square has taken an important step to help speed up the growth of local business: It has removed hold and deposit limits for its Canadian users who accept credit card payments over the phone, reports the Financial Post.
The move comes after Square successfully removed such a barrier in the United States last November. Now, instead of waiting a month for the funds to appear in a business’ bank account, they will be transferred in a day or two.
Previously, manually entered credit card transactions — no physical card involved, as Square allows merchants to type credit card numbers into its Register app — had been limited in cases of large payments. Merchants received the first $2,000 from such transactions within seven days, but the remaining amount was released only after 30 days.
The new policy, now present in Canada as well, is “an important step to further remove barriers to growth for local businesses,” Square stated in a press release.