Square Now Processing $1 Million a Day in Mobile Payments

Square is now processing $1 million a day in credit card transactions over mobile phones.

Back in February, the San Francisco company, which was started by Twitter founder Jack Dorsey, said it was signing up 50,000 to 60,000 new users a a month and processing millions of dollars a week.

Earlier last week, Square dropped the rates it charges plumbers, artists and housecleaners to use its services, in order to ramp usage on its network.

It seems to have worked.

Late last night, Dorsey tweeted that “As of today @Square is processing more than $1,000,000 a day. Think of all the individuals & businesses behind that number. Congrats to all!”

Square’s rates are now a flat fee of 2.75 percent per transaction, instead of the previous fees, which charged 2.75 percent plus an additional 15 cents. (The rate for when a credit card number is keyed in, rather than swiped, will remain the same at 3.5 percent plus 15 cents.)

The company’s biggest competitor is Intuit’s GoPayment, which has yet to match the drop. UPDATE: Intuit said that its GoPayment customers are processing $9 million a week using GoPayment and its online and QuickBooks payment services.

Separately, Dorsey was featured today in the April issue of Vanity Fair, which labeled the media-shy man as one of the visionaries of the Digital Age.

The profile traces Dorsey’s time at Twitter as the former CEO and the circumstances of his departure, along with his new ambitions for changing the way we pay for things and the way merchants charge for them.