CBD for Shopify

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Shopify Expert
71 0 18

For those of you who are Shopify merchants in the USA and need a CBD merchant account, I have a contact with a merchant account company (I've known them for over 20 years) who are able offer merchant accounts for processing CBD.products.

Here is their website Shopify CBD

They are able to set up CBD merchant accounts usually within days of receiving the paperwork from you. You will be able to accept all major credit cards: MasterCard, Visa, Discovery and American Express. They have great, competitive rates.  Again, only for Merchants in the USA.

Rowby Goren
Shopify Expert and Partner
rowby@rowby.com

https://www.Rowby.com
https://www.PlusRowby.com

www.Rowby.com
Specializing in Shopify Solutions including CBD
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New Member
1 0 0

Do you know of any direct merchant processors

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Shopify Expert
71 0 18

Hi Connie --

Not sure what you mean by direct merchant processors....

My merchant account paratner works with a major US Bank that will accept hemp and CBD products for Shopify and ShopifyPlus merchants who are located in the USA.  The approval process, even for new merchants, is very quick.  Once the app is filled out it's usually a week or less for approval.

But if you can explain what you mean by direct processors I will explain here.

Best,

Rowby Goren
http://www.Rowby.com
rowby@rowby.com

 

 

www.Rowby.com
Specializing in Shopify Solutions including CBD
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New Member
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Thanks for sharing, very much appreciated. Where can I find these merchants and how do I submit an application?

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Shopify Expert
71 0 18

Hi  Christian

For now contact me at rowby@rowby.com or rowbyrowby@gmail.com -- and if you include your phone number I'll give you a call -- and give you their info.  They are USA Based and work with a major US Bank.  I've known them for about 20 years.

Rowby
Shopify Expert and Partner

www.Rowby.com
Specializing in Shopify Solutions including CBD
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Shopify Expert
71 0 18

Hi Christian -- Here's their website Shopify CBD

Rowby

www.Rowby.com
Specializing in Shopify Solutions including CBD
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New Member
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Hi there, I am wondering if you can help.

I run an online CBD business already in the UK and now Hong Kong, do you know of any merchants to support CBD products in Hong Kong? The main payment gateways they use are MasterCard, Visa & Paypal.

 

Thanks

Joey.

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Excursionist
25 0 6

Hi Joey - do you have a company incorporated in Hong Kong? If you have a Hong Kong company I can probably help you out.

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Shopify Partner
74 5 15


Update on Domestic CBD Merchant Accounts

As of March 24. 2019

 

Background on Elavon (US Bank)'s Domestic CBD Program:

Elavon® began offering credit card processing services to US-based hemp-based CBD oil sellers back in November of 2018.

 

As of March 14, 2019, Elavon will no longer accept new merchant applications. Thousands of their CBD merchants are receiving letters indicating that they have 45 days to find a new processor.

 

Main Reason for US Bank's Recent Decision: 

At the annual 2019 MAC conference (Merchant Acquirers Committee), the Federal Trade Commission (FTC) declared that the commercial sale of CBD is "illegal". An issue that the Federal Trade Commission has not properly addressed is a previous ruling by the Food and Drug Administration (FDA) which determined that CBD containing less than 0.30% THC by volume is legal in all 50 US states.

 

Immediately after the FTC announcement, Mastercard leadership stood up, and in front of about 500 risk managers declared the sale of CBD to be a BRAM (Business Risk Assessment and Mitigation) violation and ineligible for Mastercard processing. 

 

A Legal Strategy Moving Forward:

Our company has a direct relationship with the largest and most trusted CBD merchant processing provider in the United Kingdom. For over three years this processor has successfully built up the largest networks of ISO/Acquiring Banks in the CBD/Hemp Oil industry. 

 

We have an amazing portfolio of credit card processing solutions for those of you selling CBD-hemp produces. These services can integrate seamlessly into e-shopping cart platforms such as; WordPress-WooCommerce, Shopify, BigCommerce, Wix, PrestaShop, Magento, and many others.

 

Overview:

 

  • Processing rates and fees: 4.95% up to 7.95% + $0.45 cents per transaction (depending on previous monthly processing volume. New start-ups are gladly accepted)
  • Underwriting approval and setup time is 5 to 7 business days (typical)
  • No monthly recurring fee
  • Internet Payment Gateway included
  • One-set up and service integration fee of $495.00
  • Initial 3 business day hold on funds, immediately thereafter next day deposit of funds.
  • No rolling reserve hold on funds. No hold on funds ever.
  • The sale of vape or vapable products is permitted
  • Auto-ship/Recurring billing permitted
  • Open API code to fit your customized website design needs
  • No limits on weekly or monthly dollar volume

Send me an email or give me a direct telephone call if you have a need in this area.

 

Happy Selling,

Kevin James

An approved Shopify Developer | Certified Front-end Developer

(303) 257-4484



Kevin James
Expert Web Developer & Shopify Partner
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Shopify Partner
74 5 15

Merchant Processing for CBD In the USA

Update: Effective March 28, 2019

 

I'm going to shed light on a topic flooded with confusion and misinformation. Online sellers of hemp-derived CBD need to better understand the challenge that all USA-based payment processors and banks face relevant to credit card payment processing and CBD. 

 

FDA vs FTC

  • On one hand, the Food & Drug Administration (FDA) has already determined that the sale of CBD products containing less than 0.30% THC by volume is legal in all 50 states. In other words, we have a green light from the FDA.
  • However, the Federal Trade Commission (FTC) still maintains the CBD is on their "prohibited category" list of products.

The official Merchant Acquirers Committee (MAC) website goes into detail on this subject. Google it. 

 

So, what we're dealing with are two US government agencies who can't come into agreement. They're not on the same page. For this reason, on March 14, 2019, MasterCard USA determined that the sale of CBD is a BRAM (Business Risk Assessment and Mitigation) violation and ineligible for Mastercard processing. Let that sink in good. MasterCard transactions involving the sale of CBD products are prohibited as it pertains to federal law.

 

THE LEGAL SOLUTION

If you expect to sell CBD oil via the Internet and comply with US law, register as UK business entity. This is what our payment processor helps you do and it's very affordable. The process is completed inside of two business days.

I personally work with three UK-based payment processors each of whom are approved by Shopify to offer full scope credit card processing.

 

Via a telephone conversation I had with a company director just yesterday, their credit card processing rates to USA businesses of any size are 3.95% + $.30 cents per transaction. No monthly fees, no rolling reserves, no hold on funds, and no volume requirements. Next day availability of funds after making a sale.

 

Out of respect for other Shopify developers who may offer a similar product, I'll kindly keep this post brief. Simply call me or send an email if you need more information.

 

Happy Selling,

Kevin James

Shopify Web Developer | An Approved Google Engage Digital Marketing Agency

(303) 257-4484

kevin@kjproweb.com

 

Kevin James
Expert Web Developer & Shopify Partner
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