Block Inc. has Extended $200 Billion in Credit
Block Passes $200B in Credit Using Real-Time Underwriting
Block, Inc. has provided access to more than $200 billion in global lending across its portfolio of credit products, spanning Cash App Borrow, Afterpay, and Square Loans. The credit activity reflects the scaling of underwriting models that use near real-time behavioral data (rather than delayed credit bureau inputs), while the company reports stable loss rates since 2013 despite growth and shifts in macroeconomic conditions.
Square Loans: Small business lending with loss rates below 3%, with 58% of lending going to women-owned businesses and 34% to minority-owned businesses.
Cash App Borrow: Short-term loans averaging 21 days, with 97% repayment rates, including a borrower base where 70% have FICO scores below 580.
Afterpay: Buy-now-pay-later product where 96% of installments are paid on time and 98% of purchases incur no late fees.
Key Highlights of the News
Near real-time underwriting at scale: Credit decisions draw on behavioral patterns such as earning, saving, spending, and repayment activity across 58 million monthly active Cash App users, supporting underwriting that is presented as more dynamic than bureau-based models.
Approval uplift without higher loss rates: The company reports 38% more Cash App Borrow loan approvals at the same loss rates versus traditional credit underwriting approaches.
Evidence beyond short-term credit: Internal testing indicates stronger predictive accuracy versus traditional scoring across multiple credit categories, including an estimate of 30% more auto loan approvals at identical loss rates.
In-house bank origination is increasing: Square Financial Services has originated $20B+ in loans across Square Loans and Cash App Borrow since inception, and began originating all Cash App Borrow loans in 2025, increasing its share of overall lending origination.
Recap of Last Year - Block has Extended $100 Billion in Credit
Last year, Block reported its businesses had collectively extended over $100 billion in credit to consumers and small businesses, while indicating low loss rates. The reported split included:
Square Loans: Over $22 billion in financing for small businesses.
Cash App Borrow: Nearly $15 billion in short-term loans to more than 9 million users.
Afterpay: Enabled over 20 million consumers to access buy-now-pay-later options for everyday purchases.
What’s Next?
Block is indicating continued expansion of its lending suite, alongside broader use of its underwriting framework. It recently completed a pilot that allowed select customers to view Cash App Score, a near real-time internal score used for eligibility and to take actions to improve it.
The company is also exploring whether this scoring framework could support access to external credit products - such as auto loans, credit cards, and rental applications - through strategic partnerships, while increasing the role of its in-house banking entity in origination.
