By default once you have a checking account connected to your Square credit card processing account, your balance will be transferred to your checking account on a daily basis. However, if you activate the Square Card feature then your balance will stay in Square and you can use your Square debit card to make purchases with the balance.
The Square checking account is very limited:
- Cannot deposit checks into it.
- Cannot receive ACH transfers or bank wires into it.
- Cannot send ACH or wire transfers out of it.
- Does not receive any interest on balance.
- You receive a physical debit card in the mail that you can use.
- There are no added benefits to using the square card like receive cash back or points.
- Automatic deposits are no longer an option.
- You can still manually initiate transfers to your external checking account.
How to re-enable automatic transfers to your bank account:
- You will need to cancel your Square Debit Card and revert back to Automatic deposits.
- Go to https://squareup.com/dashboard/transfer/square-card and click on Get help with checking option.
- Under Problem select: I’d like to close my account
- Then click the button Deactivate debit card
- You will then get a popup option to keep Square Checking or revert to automatic deposits – select revert to automatic deposits.
- Thats it! If you want to reactivate Square Checking go to https://squareup.com/dashboard/transfer/square-card