Both companies charge 1.75% per chip payment, contactless tap and swipe (where relevant). There are no additional fees for foreign cards and no monthly fees, although premium subscription services for both Square and iZettle are available.
Keyed-in transactions are not possible with iZettle, but you can send payment links through the app so customers can pay remotely (costs 2.5% per transaction). Square, on the other hand, facilitates key-in payments directly in the app for a 2.5% transaction fee. You can email invoices to customers with both Square and iZettle, again costing 2.5% each.
They both offer next-day settlement in your bank account, although iZettle sometimes takes two or three working days depending on the type of card used.
If fast settlement is important to you, Square has an Instant Deposits service for receiving payments within 20 minutes of the transaction for an extra 1% on top of the usual transaction fee.
This is a setting you switch on in the Square Dashboard, and it’s only available after you’ve accumulated enough transactions and Square makes it available to you. Also, there has to be at least £50 in the Square balance for it to work, and only a maximum of £1000 a day can be deposited instantly, so it’s less straightforward if your sales are irregular or larger in volume.
iZettle offers generous chargeback protection of up to £250 per month as long as you follow what they consider to be best practice. A chargeback is when a customer contacts their issuing bank and disputes the purchase – either because they are dissatisfied with the product or service or has forgotten all about making the purchase (it does happen!).
Square goes a step further by eliminating all chargeback fees (i.e. there’s no maximum monthly chargeback protection) while offering free dispute support services.