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This seems like a weird turn for Square to take. I would think that the regulatory crap that comes with becoming a bank would be a nightmare for someone like S
by JonFish85 12y ago
This seems like a weird turn for Square to take. I would think that the regulatory crap that comes with becoming a bank would be a nightmare for someone like Square trying to move from being a payments processor to an actual lending institution.
- thinkcomp 12y agoLike most financial startups, Square doesn't bother with laws. Shoot first, ask questions later. https://www.idfpr.com/DFI/CCD/Discipline/SquarePersonifiedCDOrder13CC208.pdf https://www.idfpr.com/DFI/CCD/Discipline/SquarePersonifiedCD... http://techcrunch.com/2013/08/16/square-fined-507k-in-florida-for-operating-a-mobile-payment-service-without-a-money-transmitter-license/ http://techcrunch.com/2013/08/16/square-fined-507k-in-florid...
- secretasiandan 12y agoYou don't need to be a bank to make a loan http://www.sba.gov/community/blogs/community-blogs/small-business-cents/financing-alternative-non-bank-lenders http://www.sba.gov/community/blogs/community-blogs/small-bus...
- jusben1369 12y agoIt's kind of funny. In some ways the good news for Square is people think this is innovative. The downside are comments like this "Seems super risky/weird" The good news for Square is it's really fairly common stuff (see other examples like PayPal and Kabbage) but therefore it's less likely to move the needle all that much.