Square Could Be Gearing Up To Launch A Debit Card

Square, the payment company founded by Jack Dorsey, is expanding its Square Cash service into more bank-like services.

According to a report in Recode, Square Cash, which started out by sending money to friends and family online, has been recently including ways for people to spend the money they receive and store it in Square Cash. The next step for Square Cash, according to the report, may just be a physical debit card, judging on a photo Dorsey tweeted late last week.

In the tweet, Dorsey showed an image of a prototype of an all-black card. Square had a similar prototype in 2014 but nothing came of it, noted the report. Square already rolled out a Square Cash virtual debit card that can be used to make purchases online, and in December, Dorsey told Recode he uses it as his default payment method.

Shortly after that, Square integrated with Apple Pay, which prompted some industry watchers to say a physical debit card seemed like a logical next move for Square. A Square spokesperson declined to comment, noted Recode.

Aiming to boost usage among small businesses, earlier this year Square announced that small businesses in the U.S. will be able to process more than $12,000 worth of Apple Pay payments without having to pay a fee. In a press release at the time, Square said small businesses will see $350 worth of savings in Square processing costs by encouraging customers to pay with Apple Pay. Sellers can get a free Apple Pay marketing kit with collateral to encourage customers to use their iPhone or Apple Watch, as well as staff training material so that they can educate employees about using and accepting Apple Pay. The credit on processing Apple Pay transactions goes into effect once the seller has set up its countertop display, for verification.