Apple Starts Selling Square Credit Card Reader For iPhone, iPad & iPod Touch – The Future Of Payments


Apple has started selling Square’s credit card reader for iPhone, iPad and iPod Touch on it’s online store and according to TechCrunch will be soon be available in Apple retail stores.

Square is a revolutionary product, which allows individuals and businesses to accept credit card payments. The credit card reader is developed by the startup with the same name, which is co-founded by Jack Dorsey (also the co-founder of Twitter).

How does it work?

Square is a magnetic credit card reader, which needs to be plugged into the headphone jack of iPhone 4, iPod Touch 4G, iPad 2 or iPad 1.

When you swipe the credit card through the reader, it reads the data and converts it into an audio signal. This audio signal is then picked up by the microphone, processed and routed to the Square iOS app. The data in encrypted form is then sent to the back-end servers where it communicates with the payment networks. The app then prompts you with a screen to sign on the iOS device’s multitouch screen and asked whether you prefer a receipt via email or SMS. If the transaction is successful, you promptly get the receipt of the transaction by SMS or email.

If the payment is successful then it credits the funds to the bank account that is linked to your Square account.

Square is currently available only in the US and allows users to accept U.S.-issued Visa, MasterCard, American Express, and Discover cards.

How much does it cost?

Square credit card reader costs $9.95 on the Apple’s online store and you get $10 after activating your Square account, so essentially you don’t pay for anything for the device except the shipping cost (shipping is free if you buy it on their website). You can download the iPhone app from the App Store for free (iTunes link). Square makes money by charging individuals and businesses a fee of 2.75% per transaction, which is cheaper than fees charged by most other credit card payment systems.

Square has reduced the entry barrier for small businesses that currently don’t accept credit cards because of the high costs of a scanning device, which can cost as much as $900 for a system that’s wireless (compared to $229 for the cheapest iPod Touch) and fees associated with processing charges. It’s also a cool way person to person payment system, which can be useful at various occasions. This is the future of payments.

Are you already using or planning to buy the Square’s credit card reader? Please let us know your what you think about it in the comments section below.

[Square via TechCrunch]

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  • ZedSefi

    I Cannot tell, I live in the UK, but it’s a good thing indeed.

  • Lavender

    This reads like a press release. Or in fact, a marketing brochure. So, is it?

    • It wasn’t meant to be a press release or a marketing brochure. If it does read like one then all we can say is accessories like these that try to simply things, deserve it.

      • Your Momma

        From the article: “It’s also a cool way person to person payment system, which can be useful at various occasions. This is the future of payments.”

        The first sentence is unintelligible and the second is a shameless plug.

        • jdb

          Shut the fuck up. This is a badass app, and they’re showing it, because this is a website that shows cool apps. So punch yourself in the fucking vagina.

      • It reads like a great article, I run a small business in the UK (London) and would give someone else’s right arm for this to come to the UK.

        • tv

          Who’s right arm?jk. Id ship one to u If i could jest got one for my remodeling business its the best all u do is add the 2.75% onto the charge and it cost u nothing ( of corse letting them know)but its great

      • Foo

        Do u know if this app works for jailbroken iPhones ?

  • jdb

    I am absolutely getting this. Stupid paypal costs thirty bucks a month, plus 3% of the sale. I own a small business, and I have been WAITING for something like this. I LOVE IT!!!

    • Hmm

      Why on earth is PayPal costing you $30 a month? That’s crazy. No way you should be paying that.

  • I like the idea, but don’t have much need for it. My wife might, though.

  • I saw the guys that made this on Piers Morgan’s show on CNN. I went to the site and i didn’t have to pay a thing for mine. I’ve had it for almost a month now. Love it.

  • ordering one as i write this…

  • Chris

    OMG this is awesome! Can’t wait for mine to arrive in the mail. This is amazing for small businesses or even for personal use really. So affordable too, very impressive.

  • What? I use version and payal.. but Square didn’t approve??? What gives… Will have to contact them tomorrow…..

    • working now.. seems there was a server error. Now waiting on the delivery.. 🙂

  • Lee

    hello all will this device work secured on jailbroken idevices?

  • Alex

    lol, I can see the future now, Drug dealers now take credit cars (+2.75% credit fee LMFAO)

  • Alex


    • josemir da silva

      Well, I am sure they would gladly take your car too 🙂

      • Bradley Kelly


  • Devol

    I have been using square now for over 6 months they are cheaper than pay pal and the only down fall is the deposit restrictions I’m run a small business and at forest all I could deposit in a 30 day period was 1000.00. Anything over that was held for 30 days. I was able to raise that by contacting square and letting them know that i was expecting to process more than 1000$ a month. Awesome product!

  • fas

    It indeed is going to catch up big time with all the people in the States.

  • mikes

    Wouldn’t it be a whole lot more useful if it read the chip instead of the strip? Just sayin’, if this really is “the future of payments” (/plug) then why base it around an outdated, insecure means of authenticating a card!

    • Assface

      Not all of them have the chip ass hole so I’m pretty sure people wouldn’t want it that way

      • LT

        well, you really owned him! suppose you must be a hero!

  • Uluahunter

    I just came across a record store that was using this. Very cool device! It was fast and simple…simple as the cashier swiping my card, and within a few seconds, I was signing the iphone with my finger…sweet! They then asked if I wanted a hard copy, sms, or emailed receipt. Simple as that!

  • Kasei

    Wonder how long it will take for someone to turn this to crime, and write a jailbreak app that uses the device to skim off card data, to be sold to crooks later.

  • Marco

    Fantastic but can you use it abroad?

  • josemir da silva

    Really $15.33 for coffee? (screen shot) , just joking, yeah this sounds like an Ad, but wait before you tell me to punch myself in my vagina, I think it is still worth it to report on this.
    This is a cool device/sofware, that spits in the face of the other credit card companies with their INSANE fees.

  • wolvie

    this is a cool idea. Especially if I needed someone to pay me in person by credit card.

  • I have been using square now for over 6 months they are cheaper than pay pal and the only down fall is the deposit restrictions I’m run a small business and at forest all I could deposit in a 30 day period was 1000.00. Anything over that was held for 30 days. I was able to raise that by contacting square and letting them know that i was expecting to process more than 1000$ a month. Awesome product!

  • Glen

    The major drawback on this device is that it doesn’t support EMV! A great idea, but way behind the times! I haven’t swiped my credit card in YEARS.

    I am also not too happy with it sending an audio signal over the air to the iPhone’s microphone. Sounds more like a hack than anything else. If they did it right, they’d plug this device into the iPhone’s dock connector rather.

    • iVan G7

      huh? sending an audio signal over the air to the mic? no sir. it goes from the square through the microphone THEN the data gets encrypted and sent out to the servers for payment. its secure as can be.

  • I have Square’s credit card in my business for a 45 days and I can say it works very well. I recommend.

  • Bradley Kelly

    When will come to the UK?

  • Mimic

    Me and a few of my friends have square and we all love it, it works great and fast, I recommend it to anyone not just small business but anyone that sells on CL or having a yard sale.

  • LastBorn7198

    That’s funny – I got mine from Square for free (I only have to wait for 3 days via USPS delivery – even shipping is free).

  • MacDaddy

    For the sake of accuracy the deposit limit is $1000 per week. Amounts over $1000 per week are held for 30 days. You can request that the deposit limit is raised if this does not fit your business model. See

  • Kryn

    we have a spotless D&B credit rating and as the owner I have a spotless credit rating ( 725 )
    when filling out square’s application, it came back denied, but we can use square to accept cash. I assume it means “debit” cards

    looking into help and support a little more, I discover they have no live support, no phone numbers to call with merchant related questions not even an email address to e-mail, you have to use the website help blog then “contact us” form.

    the rate of 2.75% is a pretty high number but given the $0.00 startup fee for the casual user it may not be a bad way to go, but I find the lack of a number to call for help disturbing. returning mine and closing account

  • Warez chewy

    Just downloaded this app from my iPhone app store for free
    Setup an account fir free
    Didn’t ask for billing info just my address
    After setting up the account it said that I will receive my scanner in the mail shortly
    I’m wondering if everything is free now or am I getting a bill in the mail with my scanner?
    Hopefully everything free now

    I will update after I get the unit in the mail

  • Party People

    I’ve been using Square since October for our business and without it I wouldn’t be in business now. Its been a life saver to accept credit cards in person and over phone. The fees are cheaper than Bank of America wanted and the start up cost was nothing. Already had iphone and android phone. Best thing for us! Thank You Square.

  • TP

    Understand American sent Credit cards only but will it accept Canadian Debit Cards, AKA “Cash”?

  • pmsaye

    Why is it that you have to give all your personal information just to try the product? I would like to try the software on my iPad to see if the software is something I want before giving all of my personal information over the Internet. Is there a demo of this product? If so where do I get it? All I want to do is see if it is really for me. It looks great from all the marketing out there, but how can I test drive this product?

  • We use the Square app for business, and I have to say (Register) is a great application. It really takes the mess out of not only invoicing customers (as I can faux-bill without a card and figure all my register activities) but also to accept cards that most businesses cannot take. (Did you hear it takes gift-cards?) Makes you wonder if you can change those christmas giftcards out with your square app for cash! 😛

    I will post if I ever have a problem with mine, but for now, it seems the free shipping and ordering is a great hook.