Is this the end of the entire credit card business model as we know it??

• A new company called Square is blowing the minds of credit card company executives everywhere. Square produces a little gadget that plugs into the headphone jacks of a variety of iThings and the Android phone. That’s where things get crazy.
• The free device allows anybody with a bank account to accept credit card payments in person or over the phone.
• Usually, only businesses accept credit cards. They have to purchase expensive equipment and then pay fee after fee just for the ability to process credit payments. Square Up changes that, eliminating equipment, setup, and maintenance fees.

Facts & Figures

• Square’s chief executive is the co-founder of Twitter.
• Each time you process a payment using Square Up, the company keeps 2.75% of the transaction amount, plus $0.15.
• At first, transactions are capped at $1,000, but that cap can be raised over time or for established businesses.

Tags: credit, credit cards, entrepreneur, Jack Dorsey, mobile phones, Square, Square Up