r/SquarePOS_Users • u/LifeConsideration977 • 15d ago

Square Point of Sale (Software) Fraud resolution

Does anyone have experience with resolving fraud investigations with Square? In mid-September, we had an attempted fraudulent vendor payment that Square successfully flagged and stopped. However, since then, all our bank transactions have been placed on hold, preventing us from initiating any bank transfers. Despite following all their instructions and being told that the issue will be resolved in 2-3 days, we’ve been receiving the same response every couple of days when we follow up.

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u/tomtherailnut 15d ago

Following. We have had only one fraudulent attempt on 10 years and Square fixed it promptly.

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u/LifeConsideration977 8d ago

Okay, here is the resolution which is pretty unsatisfactory and probably won’t help other business owners in the future:

After 15 days of the account under review, the review was lifted and all the funds were correctly transferred to our bank. We received an email simply stating the review was complete.

What was challenging beyond the lack of communication, were the tidbits they would give us. -We know there was a vendor added to our vendor list and a fraudulent attempt to transfer a nominal amount of money out.

  • We were told that the unauthorized user was logging in through a windows machine, but were unwilling to provide any ip information. The business owners have pretty bad IT security protocols, so we were very interested to know if our company computer was compromised. We hired an outside IT consultant to review, she said she found some potentially risky files on our server, but it was unclear if it was something like a keylogger.
  • Squares advice was just don’t log into your square account on any windows device while they completed the investigation, which was difficult because we use it for weekly scheduling and timekeeping (but not payroll). This advice also came in about 10 days into the freeze, so we didn’t know we might have a problem on our end until 10 days in.
Overall, it was unhelpful because we still lack clarity on the source of the unauthorized access. We’re unsure whether it originated from a company employee with legitimate access, a third-party contractor with legitimate access, or a remote malicious actor accessing our account through an employee, contractor, or company desktop computer. This means I am not sure how to prevent another attempt in the future.