Cash App Pre-Purchase Pay Over Time Loan Agreement

[FOR TESTING PURPOSES ONLY]
Effective November [20], 2024 - present

This Cash App Pre-purchase Pay Over Time Loan Agreement (“Agreement”) is between you and Square Capital, LLC, a wholly owned subsidiary of Block, Inc., d/b/a Square Capital of California, LLC in Florida, Georgia, Montana, and New York (“SQC”), as the originator and issuer of your loan. Please read this Agreement and keep a copy.
Please note that you should review this Agreement carefully, including those provisions which limit SQC’s liability and those regarding individual arbitration for potential legal disputes (see Section 22).
You acknowledge that you have read, agree with, and accept all terms and conditions contained in this Agreement. In consideration of the promises and the respective representations, warranties, covenants, agreements and conditions contained below and on the following pages, you and SQC enter into this Agreement and agree with, and accept, the terms and conditions set forth herein.

1. Definitions
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“Amount Financed” is the amount of credit provided to you or on your behalf, equal to 75% of the amount of the eligible purchase transaction made using your Cash App Visa® Prepaid Card issued by Sutton Bank (“Card”) (the “Financed Transaction”), as reflected in your Truth in Lending Act Disclosure.
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“Cash App Balance” means the funds you have in your Cash App account that are available for new transactions and are not subject to pending transactions.
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“Final Due Date” is the date by which you must pay the Total of Payments, as shown in your Truth in Lending Disclosure.
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“Finance Charge” is the dollar amount the credit will cost you, calculated as a percentage of the Amount Financed, as reflected in your Truth in Lending Act Disclosure.
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“Outstanding Balance” means the Total of Payments less the amount(s) of any payments that have been made over the term of the loan.
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“Pay Over Time Summary” means the summary of your order and payment due dates.
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“Total of Payments” is the amount you will have paid after you have made all payments as scheduled, equal to the Amount Financed plus the Finance Charge.
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“Truth in Lending Act Disclosure” means the disclosure provided to you prior to your executing this Agreement, pursuant to the federal Truth in Lending Act (Regulation Z), which includes certain details related to this loan, and includes any amended or modified disclosure provided to you following consummation of the Financed Transaction.
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“You” means the person identified as “Borrower” in your Truth in Lending Act Disclosure.
2. Disbursement of Funds

Upon your execution of this Agreement, your agreement to the other Loan Documents and your initiation of the Financed Transaction with your Card, and conditioned upon successful disbursement to the applicable merchant of the Down Payment described in Section 7.a below, SQC will disburse the Amount Financed to the applicable merchant in order to consummate the Financed Transaction. You acknowledge and agree that you will use this loan and the loan proceeds solely for personal, family, or household purposes.
The Amount Financed and Finance Charge, as reflected in the Truth in Lending Act Disclosure provided to you prior to your initiation of a Financed Transaction, are estimates only based upon the total amount of Pre-purchase Pay Over Time credit available to you upon your execution of this Agreement, and the Final Due Date is an estimate based on the date of such execution. Your actual Amount Financed and Finance Charge may be lower than such estimated amounts depending on the amount of the Financed Transaction at the time of authorization of such transaction, as well as any adjustments made thereafter. In addition, the Final Due Date may be later than such estimated date if the authorization of such transaction occurs after the date hereof. If (a) the Amount Financed and Finance Charge at the time of authorization of the Financed Transaction are less than the amounts reflected in your Truth in Lending Disclosure or (b) the Final Due Date is later than the date reflected in your Truth in Lending Disclosure, in each case upon your execution of this Agreement, then following such authorization we will deliver an amended Truth in Lending Act Disclosure to you reflecting the actual Amount Financed and Finance Charge and/or Final Due Date, as applicable. There may be a delay between authorization of the Financed Transaction, charging of the down payment to your Card and delivery of the amended Truth in Lending Act Disclosure.
If, following authorization of the Financed Transaction and disbursement of the Amount Financed as provided above, any adjustments are made to the amount of such transaction, then the amount(s) of such adjustments will be applied proportionally to the Outstanding Balance, with any excess applied to your Cash App Balance.
3. Promise to Pay
You agree to pay SQC (a) the Total of Payments by or on the Final Due Date, and (b) if applicable, the Outstanding Balance, promptly after the Final Due Date.
You authorize SQC to initiate payments on the Final Due Date from your Cash App Balance and, if necessary, the debit card linked to your Cash App account as a funding source, in an amount not to exceed the Outstanding Balance. In the event you fail to pay the Total of Payments by or on the Final Due Date, you authorize us to initiate payments from your Cash App Balance and, if necessary, the debit card linked to your Cash App account as a funding source, in an amount not to exceed the Outstanding Balance. In each case, SQC will first attempt to initiate a payment from your Cash App Balance. If your Cash App Balance has insufficient available funds, then we will initiate a second transaction for the remainder of the Outstanding Balance from such debit card. This authorization will remain in effect until your Outstanding Balance is paid in full, and SQC may make multiple repayment attempts from your Cash App Balance and debit card if earlier repayment attempts do not fully satisfy the Outstanding Balance. If such repayment attempts do not fully satisfy the Outstanding Balance, then SQC will thereafter attempt to initiate payments from your Cash App Balance upon receipt of funds equal to or in excess of 20% of the Outstanding Balance, until the full satisfaction of the Outstanding Balance.
4. Automatic Payment Authorization; Optional Automatic Payment; Manual Electronic Payments; Making Your Payments
a. Automatic Payment of Outstanding Balance. For purposes of the payment authorization provided in Section 3 above, you authorize Block, Inc. (which shall be a third party beneficiary of this provision), in its capacity as the holder of your Cash App Balance, to monitor activity on your Cash App Balance and to notify SQC, or to initiate a payment in the amount of the Outstanding Balance, or in the amount of available funds in your Cash App Balance, whichever is less, on our behalf pursuant to standing instructions from SQC, any time funds are available in your Cash App Balance. This subsection is not intended to create or to give SQC a security interest in your Cash App Balance or any funds added to your Cash App Balance. We expressly disclaim any priority over other creditors or a bankruptcy trustee in a bankruptcy proceeding or similar proceeding as a result of the payment authorization in this subsection.
b. Automatic Payment Authorization. In taking this loan, you agree to the Autopay Terms (the “Autopay Terms”), which contain additional disclosures. You can opt out of automatic payments at any time by contacting Cash App Support, which may be accessed by clicking on your profile in Cash App, clicking “Support” and following the in-app prompts. Opting out will, by no later than three business days after the date of such opt-out, disable all subsequent automatic payments, including those to be made during the loan term, on the Final Due Date and (if applicable) after the Final Due Date.
c. Optional Automatic Payment. You may enroll in automatic payments for any voluntary prepayments to be made during the loan term, at your discretion. Additional disclosures regarding such automatic payments for such optional prepayments are contained in the Autopay Terms.
d. Manual Electronic Payments. You also may choose to manually make electronic payments. If you choose to unenroll from the automatic payments authorized herein and in the Autopay Terms, you will be required to manually authorize payments from your Cash App Balance or a linked debit card(s).
e. Payment by Mail. You may also pay by sending checks payable to “Square Capital, LLC” to the following address:
Square Capital, LLC
Attn: Cash App Lending Program Operations
Lockbox Services 208731
Dallas, TX 75320-8731
Your check must specify your $Cashtag, your Loan ID, the Amount Financed, and the date you entered into this Agreement. Your payment must be made in U.S. dollars from a valid U.S. source in a form acceptable to SQC.
A check must be physically received at the above address by 4:00 PM CT on a business day in order to be credited to your loan on the same day.
f. Making Your Payments. You agree to take all necessary steps to ensure notifications are not being filtered out of the mode by which you have selected to receive notifications in your Cash App. Your payment will still be due on your regularly scheduled due date even if you do not receive a notification from SQC.
5. Payment Processing
a. You agree that SQC may accept and process payments without losing any rights.
b. You agree to make payments electronically or through check payments that you send to SQC. You agree that any other form of payment, including cash payments, will not be accepted. You agree that neither SQC nor any of SQC’s service providers are responsible if your financial institution rejects a payment you make. You will be responsible for any fees charged by your financial institution.
c. You agree and authorize SQC to resubmit and/or collect returned payments electronically if you have opted to pay electronically.
d. You agree and authorize SQC to make electronic reversals or credits to any debit card you have provided in the event of an erroneous debit or as otherwise appropriate.
e. You agree and authorize SQC to correct errors, to process returned and reversed payments, and to handle other issues pertaining to your loan.
f. You acknowledge that funds may be withdrawn from your Cash App Balance or a linked debit card(s) as early as the same day your payment is received.

6. How Your Payments Are Applied
Repayments will be applied proportionally to the principal and Finance Charge.
7. Repayments
a. You may elect to repay the Total of Payments on either of the following schedules: (i) “Pay-in-Four”, consisting of payments due at regular intervals during the loan term and on the Final Due Date; or (ii) “Pay-in-Two”, consisting of a single payment due on the Final Due Date. In both cases, 25% of the amount of the Financed Transaction at the time of authorization of such transaction will be applied as a down payment using Cash App Balance funds accessed by your Card (the “Down Payment”), serving as the first of the four or two payments referenced in your selected repayment schedule. In addition, in both cases, the Finance Charge will be added to the payment(s) to be made after the date hereof.
b. If you choose Pay-in-Four, two payments will be due after the date hereof and one payment will be due on the Final Due Date, and all of those payments will be due at regular intervals over the loan term. The amount of each of those payments will equal the sum of (i) one-third of the Amount Financed (which is also equal to 25% of the amount of the Financed Transaction) and (ii) one-third of the Finance Charge. The two payments to be made before the Final Due Date are voluntary prepayments. You are not required to make the optional prepayments and will not be subject to any late fees or penalties for missing those payments. If you do not make the voluntary prepayments, the amount of the missed payment will be added to the subsequent payment. If you choose to skip all voluntary prepayments, the Total of Payments will be due on the Final Due Date. If you do not pay the Total of Payments by the Final Due Date, you may be assessed late charges as detailed above.
c. In addition to the voluntary prepayments described above, you may prepay your loan in full or in part at any time. There is no fee or charge for early payment of all or any part of your loan. Upon the early prepayment of your loan, SQC will refund any unearned amount of the Finance Charge in accordancerly prepayment of your loan, Bank will refund any unearned amount of the Finance Charge in accordance with the law of your state of residence when you entered into this Agreement.
8. Default
a. Unless expressly prohibited by law, you will be in default on your loan if:
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You do not pay the Total of Payments by the Final Due Date;
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Any payment you make is rejected or not paid by your bank or cannot be processed by your bank;
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You file or become the subject of a bankruptcy or insolvency proceeding;
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You are unable to repay your obligations, including upon death or legally declared incapacity;
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You provided inaccurate, untrue, or incomplete information, or you otherwise tried to defraud or provide material misrepresentations to SQC or its service providers;
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Your Cash App account is restricted, suspended, or terminated;
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You do not comply with any term of this Agreement; and/or
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You permanently reside outside the United States.
b. If you are in default, SQC may take certain actions with respect to your loan without notifying you unless notification is required by law. For example, depending on the default, the following actions may be taken:
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If you are enrolled in automatic payments, your Cash App Balance or linked debit card may be debited the amount of the Outstanding Balance not paid by the Final Due Date;
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Your ability to use any or all features on Cash App may be suspended until you satisfy your outstanding loan obligation;
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You may be charged a late fee after any applicable grace period has passed;
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You may be unable to obtain further credit from SQC; and/or
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Any other action to the extent not prohibited by law.
9. Your Billing Rights
a. What to Do if You Find a Mistake on Your Statement Regarding Your Loan.
If you think there is an error on your statement, or if you have questions about your loan, you can:
i. Contact us through your Cash App account in the app:
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Open your profile and tap “Support”;
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Tap “Something Else”;
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If it’s a Card dispute:

Tap “Cash Card”

Tap “Dispute a Purchase” and then tap “Start a Dispute”. Depending on the version of your app, either tap “Contact Support” to receive an email with a form to complete in order to initiate a review, or complete a form within the app in order to initiate a review.
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If it’s any other type of dispute, press “Start Chat”.
ii. Call us at 1-800-969-1940; or
iii. Write us at Cash Disputes, 1955 Broadway, Suite 600, PSC 211, Oakland, CA 94612.
Contact us as soon as you can, if you think your statement is wrong or if you need more information about a transfer on the statement or receipt. You can report an error up to 60 days after the date we sent you the first statement on which you believe the error occurred.
In order for us to investigate your claim, you will need to provide:
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Your name and account information (including $Cashtag, email, and/or phone number);
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Why you believe there is an error;
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The dollar amount involved; and
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Approximately when the error took place.
If you tell us orally, we may require that you send us your complaint or question in writing within 10 business days.
We will determine whether an error occurred within 10 business days after we hear from you and will correct any error promptly. If we need more time, however, we may take up to 45 days to investigate your complaint or question.
For errors involving new accounts, point-of-sale, or foreign-initiated transactions, we may take up to 90 days to investigate your complaint or question. For new accounts, we may take up to 20 business days to credit your account for the amount you think is in error.
We will tell you the results within three business days after completing our investigation. If we decide that there was no error, we will send you a written explanation. You may ask for copies of the documents that we used in our investigation.
While we investigate whether or not there has been an error, the following are true:
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We cannot try to collect the amount in question.
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The charge in question may remain on your statement, and we may continue to charge you applicable interest or fees on that amount. But, if we determine that we made a mistake, you will not have to pay the amount in question or any interest or other fees related to that amount.
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While you do not have to pay the amount in question, you are responsible for the remainder of your balance.
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We can apply any unpaid amount against your Cash App pay over time limit.
If we determine that we made a mistake, you will not have to pay the amount in question or any interest or other fees related to that amount.
If we do not believe there was a mistake, you will have to pay the amount in question, along with applicable interest and fees. We will send you a statement of the amount you owe and the date payment is due.

If you receive our explanation but still believe your bill is wrong, you must write to us within 10 days telling us that you still refuse to pay.
If we do not follow all of the rules above, you do not have to pay the first $50 of the amount you question even if your bill is correct.
b. Your Rights if You Are Dissatisfied with Your Purchase.
If you are not satisfied with the goods or services that you have purchased with the Financed Transaction, you must first try to resolve any issues directly with the merchant. The merchant has the sole discretion to issue a refund for such goods or services, and Cash App may not be able to resolve any dispute between you and the merchant related to a refund. For any amounts that a merchant returns directly to us in connection with the Financed Transaction, we will retain such amounts and reflect an equivalent credit to reduce your outstanding obligation to us under this Agreement or, where applicable, refund to you any amounts already paid.
If you are dissatisfied with the goods or services that you have purchased with the Financed Transaction, and you have tried in good faith to correct the problem with the merchant, you may have the right not to pay the remaining amount due on the purchase.
To use this right, all of the following must be true:
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The purchase must have been made in your home state or within 100 miles of your current mailing address, and the purchase price must have been more than $50. (Note: Neither of these is necessary if your purchase was based on an advertisement we mailed to you, or if we own the company that sold you the goods or services.)
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You must have used a Financed Transaction for the purchase. Purchases made with cash advances from an ATM or with a check that accesses your account do not qualify.
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You must not yet have fully paid for the purchase.
If all of the criteria above are met and you are still dissatisfied with the purchase, contact us in writing or electronically as described above in the section called “What To Do If You Find a Mistake On Your Statement Regarding Your Loan.”
While we investigate, the same rules apply to the disputed amount as discussed above. After we finish our investigation, we will tell you our decision.
If you are not satisfied with the goods or services purchased in the Financed Transaction, you must resolve any issues directly with the merchant. The merchant has the sole discretion to issue a refund for such goods or services, and Cash App may not be able to resolve any dispute between you and the merchant related to a refund.
10. Loan Documents
The following documents (“Loan Documents”) govern your loan:
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This Agreement;
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The E-Sign Consent provided to you when you applied for the loan;
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The Pay Over Time Summary and Truth in Lending Act Disclosure, and any updates to either document;
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The Autopay Terms;
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The Cash App Acceptable Use Policy; and
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Any privacy notices applicable to your Cash App account or provided to you when you applied for the loan.
Please read these carefully and keep them for future reference.
11. Entire Agreement
The Loan Documents constitute the entire agreement between you and SQC with respect to this loan. You acknowledge and agree that no oral representations shall vary, modify or amend the terms and conditions of the Loan Documents. Any failure by SQC to exercise, or delay by SQC in exercising, any right or remedy shall not operate as a waiver thereof. SQC may make changes to the Loan Documents at any time in accordance with and to the extent permitted by applicable law.
12. Applicable Law
This Agreement and any dispute arising hereunder will be governed by the laws of the state listed in the address that you provided to us and/or applicable federal law (including the Federal Arbitration Act) as applied to agreements entered into and to be performed entirely within such state, without regard to its choice of law or conflicts of law principles that would require application of law of a different jurisdiction.
13. Service Providers and Third Party Beneficiaries.
a. SQC may retain service providers to perform on its behalf any actions authorized or contemplated by this Agreement. Any authorization or permission that you grant to SQC in this Agreement (or otherwise in connection with your loan) shall extend to and cover any service provider acting on SQC’s behalf or at SQC’s direction. Without limiting the generality of the foregoing, you expressly authorize Block, Inc. and/or its affiliates, when acting as SQC’s service provider, to take any actions authorized or contemplated by this Agreement regardless of whether such actions are authorized or contemplated by the Cash App Terms of Service.
Other provisions in this Agreement that expressly extend rights or protections under this Agreement to SQC’s service providers (either generally or to specific service providers) are included for the avoidance of doubt, and should not be interpreted to limit the operation or effect of the general provisions in this Section.
b. The parties agree that Block, Inc., along with Block Inc.’s and SQC’s subsidiaries, affiliates, agents, employees, predecessors, successors, or assigns and any authorized users or beneficiaries of the Cash App pay over time loan program, are intended to be, and shall have the rights of, a third party beneficiary of this Section 13.
14. Personal Financial Information
You agree to provide personal financial information about you that may be requested from time to time for underwriting, security, and/or other purposes related to the management of your account. This includes, but is not limited to:
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Your full legal name;
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A valid U.S. mailing address and residential address (if different);
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Your date of birth;
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Your Social Security Number or Individual Taxpayer Identification Number;
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Your telephone number(s); and
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Your employment and income information.
You agree to promptly update your personal information in your Cash App profile, including but not limited to your name, street address, email address or telephone number. In doing so, you agree that you will not provide false information or signatures, electronic or otherwise, at any time. You may be asked for additional documents to verify any changes. You understand that if you move to a state where this product is not offered, you will be unable to borrow subsequent loans.
15. Important Information About Procedures for Opening a New Account
To help the government fight the funding of terrorism and money laundering activities, federal law requires all financial institutions to obtain, verify, and record information that identifies each person who opens an account.
What this means for you: when you open an account, SQC will ask for your name, address, date of birth, and other information that will allow SQC to identify you. SQC may also ask to see your driver’s license or other identifying documents.
16. Age and Residency

By entering into this Agreement, you agree that you are at least 18 years of age and of sufficient legal age to enter into a contract in the state where you reside and you are a resident of the United States when you execute this Agreement.
17. Communications and Contact Information

a. You consent to accept and receive communications from SQC including e-mail, text messages, calls, and push notifications to the cellular telephone number you provide when you inquire about a loan or update your contact information. Such communications may include, but are not limited to, communications regarding applications for credit, credit decisions, disclosures, servicing, collections, requests for secondary authentication, receipts, reminders, and notifications regarding updates to your account or account support. Call and text message communications may be generated by automatic telephone dialing systems. Standard message and data rates applied by your cell phone carrier may apply to the text messages sent to you.
b. You may opt out of receiving promotional email communications from SQC by following the unsubscribe options contained in such emails. You may opt out of any promotional phone calls from SQC by informing the caller that you would not like to receive future promotional calls. You may also opt out of text messages from SQC at any time by texting END to the number from which you received a text. You acknowledge that opting out of receiving communications may impact your use of SQC’s and/or Block, Inc.’s services.
18. Submission of Ideas

You may submit comments or ideas about the loans and/or services you receive (“Ideas”). By submitting any Idea, you agree that your disclosure is gratuitous, unsolicited, and without restriction, that it will not place SQC under any fiduciary, confidentiality or other obligation, and that SQC is free to use the Idea without any additional compensation to you, and/or to disclose the Idea on a non-confidential basis or otherwise to anyone. You hereby grant SQC a perpetual, irrevocable, worldwide, fully paid up, non-exclusive, sub-licensable, right and license to use the user content and all elements thereof, in any and all media formats and forms, known now or hereafter devised for any purpose that SQC chooses.
19. Severability

Except as otherwise provided herein and to the extent not prohibited by law, if any provision of this Agreement is held to be invalid or unenforceable, such determination shall not affect the validity or enforceability of the remaining provisions of this Agreement.

20. Assignment and Delegation
This Agreement will be binding on, and benefit, any of your and SQC’s successors and assigns, which such assigns shall include, for the avoidance of doubt, any subsequent holders of your loan. Except as provided by applicable law, SQC may sell, assign or transfer your loan and this Agreement in whole or in part without your permission and without prior notice to you. If this Agreement is sold, assigned or otherwise transferred, your rights under the law or under this Agreement will in no way be altered or impaired. Any assignee or assignees, including, for the avoidance of doubt, any subsequent holders of this Agreement, will take SQC’s place under this Agreement. You must pay them and perform all of your obligations to them and not SQC. If you pay SQC after you are notified that your loan or this Agreement has been transferred, SQC may return the payment to you, forward the payment to the assignee, or handle it in another way that is reasonable. You may not sell, assign, delegate or transfer your loan, this Agreement, or your obligations under this Agreement to someone else without SQC’s written permission or the written permission of any subsequent holder of your loan. Any sale, assignment or transfer of your loan by you in violation of this Section shall be null and void.
21. Survival of Obligations
Notwithstanding any other provision in this Agreement, the obligations in Sections 11 (Entire Agreement), 12 (Applicable Law), 19 (Severability), 20 (Assignment and Delegation), 21 (Survival of Obligations), and 22 (Binding Individual Arbitration) will survive any expiration or termination of this Agreement.
22. Binding Individual Arbitration
a. General. This arbitration provision does not apply to “Military Borrowers,” which means a “covered borrower”, as that term is defined in 32 CFR Section 232.3(g).

The parties agree that SQC, along with SQC’s parent company, subsidiaries, affiliates, agents, employees, predecessors, successors, or assigns and any authorized users or beneficiaries of the Borrow program, are intended to be, and shall have the rights of, a third party beneficiary of this section of this Agreement.
b. The parties agree that any and all Disputes, except those that are resolved informally or brought in a small claims court, will be arbitrated by a neutral arbitrator who has the power to award the same individual damages and individual relief that a court can.

“Disputes” are defined as any claim, controversy, or dispute between the parties, their processors, suppliers or licensors (or their respective affiliates, agents, directors or employees), whether arising before or during the effective period of this Agreement, and including any claim, controversy, or dispute based on any conduct of either party that occurred before the effective date of this Agreement, including any claims relating in any other aspect of your relationship with SQC.
c. Class Action Waiver. ANY ARBITRATION UNDER THESE GENERAL TERMS WILL ONLY BE ON AN INDIVIDUAL BASIS; CLASS ARBITRATIONS, CLASS ACTIONS, REPRESENTATIVE ACTIONS, AND CONSOLIDATION WITH OTHER ARBITRATIONS ARE NOT PERMITTED. YOU WAIVE ANY RIGHT TO HAVE YOUR CASE DECIDED BY A JURY AND YOU WAIVE ANY RIGHT TO PARTICIPATE IN A CLASS ACTION AGAINST SQC.

d. Pre-Filing Requirement. Before an arbitration is commenced, the parties agree to attempt to avoid the costs of formal dispute resolution by giving each other a full and fair opportunity to address and resolve a Dispute informally. Both parties recognize that this is an important requirement, and that breach of this requirement would be a material breach of this Agreement. To provide this opportunity, before commencing any arbitration or suit, each party agrees to send to the other party a written Notice (“Notice”). Any Notice to SQC should be sent by certified mail to: Square Capital, LLC
Attn: Block, Inc., Attn: Arbitration Provision, PO Box 427069, San Francisco, CA 94142. Any Notice sent to you will be sent to the contact information on file for your account. The Notice must: (i) include your name and $Cashtag; (ii) provide detailed information sufficient to evaluate the merits of the claiming party’s individualized claim and for the other party to determine if an amicable resolution is possible; and (iii) set forth the specific relief sought, including whatever amount of money is demanded and the means by which the demanding party calculated the claimed damages. The parties agree that they will attempt to resolve a dispute through an informal negotiation within sixty (60) days from the date the Notice is sent. After that sixty (60) day period and not before, either party may commence arbitration. The party receiving the notice shall then have seven (7) days to respond, including to elect for the case to be heard by a small claims court with jurisdiction. If either party elects small claims court, the dispute will be resolved in that forum and not through arbitration. Each party agrees that state courts in the City and County of San Francisco, California, or federal court for the Northern District of California, referenced below, may enter injunctive relief to enforce the pre-filing requirements of this paragraph, including an injunction to stay an arbitration that has been commenced in violation of this paragraph.
e. Scope of Arbitration. If the parties are not able to resolve the Dispute by informal negotiation or, as provided below, in a small claims court, all Disputes will be resolved finally and exclusively by binding individual arbitration with a single arbitrator (the “Arbitrator”) administered by the American Arbitration Association (https://www.adr.org) according to this Section and the Consumer Arbitration Rules through the Procedures for the Resolution of Disputes through Document Submission (the “AAA Rules”), including Rule D-3(b), except each party will have the right to file early or summary dispositive motions and so long as the claim is arbitrable under the AAA Rules. Except as set forth above, the Arbitrator shall be responsible for determining all threshold arbitrability issues, including issues relating to whether certain terms are enforceable, unconscionable or illusory and any defense to arbitration, including waiver, delay, laches, or estoppel. If any provision of this arbitration agreement is found unenforceable, the unenforceable provision will be severed, and the remaining arbitration terms will be enforced (but in no case will there be a class or representative arbitration).
f. Small Claims Court.
Subject to applicable jurisdictional requirements, either party may elect to pursue a Dispute in a local small claims court rather than through arbitration. If a party has already submitted an arbitration demand to the AAA, the other party may, in its sole discretion, inform the AAA that it chooses to have the Dispute heard in small claims court. At that time, the AAA will close the arbitration and the Dispute will be heard in the appropriate small claims court, with no fees due from the arbitration respondent.
g. Arbitration Procedures. The Federal Arbitration Act, 9 U.S.C. §§ 1-16, including its procedural provisions, fully applies. So long as it is consistent with the AAA Rules, including Rule D-3(b), the arbitration shall occur through the submission of documents to one arbitrator. To the extent any in-person arbitration hearing is required, the arbitration hearing will occur in San Francisco, California; provided, however, that if circumstances prevent you from traveling to San Francisco, the Arbitrator may hold an in-person hearing in your hometown. The Arbitrator’s award will be binding on the parties and may be entered as a judgment in any court of competent jurisdiction. SQC values your privacy, particularly with respect to your financial transactions and data. Each of the parties shall maintain the confidential nature of the arbitration and shall not (without the prior written consent of the other party) disclose to any third party the fact, existence, content, award, or other result of the arbitration, except as may be necessary to enforce, enter, or challenge such award in a court of competent jurisdiction or as otherwise required by applicable law. While an arbitrator may award declaratory or injunctive relief, the Arbitrator may do so only with respect to the individual party seeking relief and only to the extent necessary to provide relief warranted by the individual party’s claim. The Arbitrator’s decision and judgment thereon will not have a precedential or collateral estoppel effect.
h. Arbitration Fees. In accordance with the AAA Rules, the party initiating the arbitration is responsible for paying the applicable filing fee. For purposes of this arbitration provision, references to each party also include respective subsidiaries, affiliates, agents, employees, predecessors, successors and assigns as well as authorized users or beneficiaries of the Cash App services.
i. Opt-Out. You may reject this provision, in which case only a court may be used to resolve any Dispute. To reject this provision, you must send SQC an opt-out notice (the “Opt-Out”) within thirty (30) days after you take out a loan or SQC first provides you with the right to reject this provision. The Opt-Out must be mailed to Block, Inc., Attn: Arbitration Provision, PO Box 427069, San Francisco, CA 94142. The Opt-Out must include your name, $Cashtag, address, phone number and the email address(es) you used to sign up for the loan as well as the loan number for the loan for which you choose to Opt Out. Opting out will not affect any other aspect of the Agreement or your loan, and you will be opted out of arbitration for any subsequent (but not prior) Cash App pay over time loans you may borrow.
j. Court Proceedings. Subject to and without waiver of the arbitration provisions above, you agree that any judicial proceedings (other than small claims actions as discussed above) will be brought in, and you hereby consent to the exclusive jurisdiction of and venue in, the state courts in the City and County of San Francisco, California, or federal court for the Northern District of California.
24. Military Annual Percentage Rate Statement:
Federal law provides important protections to members of the United States Armed Forces and their dependents relating to extensions of consumer credit. In general, the cost of consumer credit to a member of the Armed Forces and his or her dependents may not exceed an annual percentage rate of 36 percent. This rate must include, as applicable to the credit transaction or account: (1) the costs associated with credit insurance premiums; (2) fees for ancillary products sold in connection with the credit transaction; (3) any application fee charged (other than certain application fees for specified credit transactions or accounts); and (4) any participation fee charged (other than certain participation fees for a credit card account). To hear these disclosures and information about your payment obligation over the telephone, please call the following toll-free number: (855) 949-7782
25. State Notices
For TEXAS residents:
For questions or complaints about this loan, contact SQC at 1 (800) 969-1940, 9am - 7pm EST, Monday to Friday, or Square Capital LLC, PO BOX 427069, San Francisco, CA 94142. The lender is licensed and examined under Texas law by the Office of Consumer Credit Commissioner (OCCC), a state agency. If a complaint or question cannot be resolved by contacting the lender, consumers can contact the OCCC to file a complaint or ask a general credit-related question. OCCC address: 2601 N. Lamar Blvd., Austin, Texas 78705. Phone: (800) 538-1579. Fax: (512) 936-7610. Website: occc.texas.gov. E-mail: [email protected].
Executed via electronic signature on the date of your loan as shown in your Cash App activity tab.