The CBD industry is booming, but for business owners trying to stay compliant and keep sales flowing, the real challenge isn’t customer demand — it’s the constant risk of CBD payment processor shutdowns.
Whether you’re running a brick-and-mortar CBD shop, a booming online brand, or both, chances are you’ve had your account frozen, shut down without warning, or been rejected outright by payment providers that just don’t understand the space.
That’s where Bankcard International Group (BIG) comes in. Since 2006, we’ve been helping CBD businesses overcome the regulatory and financial hurdles that have shut down so many promising brands. And we do it with transparent, compliant, and reliable merchant services built for long-term success.
Let’s break down what causes so many processors to pull the plug on CBD merchants — and how BIG’s industry-tested CBD payment processing solutions are changing the game.
Why CBD Merchants Struggle with Traditional Payment Processors
Despite being federally legal under the 2018 Farm Bill, CBD remains one of the most misunderstood verticals in payment processing. Here’s why:
1.Labeling and Compliance Issues
Payment processors — and the banks behind them — are deeply risk-averse. If your product labels are unclear, make unapproved health claims, or don’t match what’s listed on your website, you’re at risk of getting flagged.
Even minor issues like “relief,” “cures,” or “anti-inflammatory” on packaging or site content can trigger red flags with payment gateways or underwriting banks. And since many CBD brands use white-label or third-party products, even unintentional non-compliance can be a dealbreaker.
2. Banking Hesitancy
Even today, many acquiring banks treat CBD the same as marijuana. They either won’t touch it or will only underwrite accounts through specialty channels — which aren’t always accessible through mainstream processors.
CBD merchants often get “approved” by an aggregator-style platform, only to have their accounts quietly closed later when the bank does a more thorough review or changes its internal risk policy.
3. Chargebacks and Risk Monitoring
The health and wellness category already sees higher-than-average chargeback rates. Combine that with:
- recurring billing models,
- product shipping delays,
- and unclear refund policies, and you’ve got a recipe for high risk in the eyes of most processors
Once your chargeback ratio creeps above certain thresholds (typically 1% for Visa and Mastercard), your MID is at risk — and if you’re using a shared account or aggregator-style service, you may not even get a warning before you’re shut down.
4. Adding Non Compliant or Unsupported Products
Just because your account was approved does not give you the ability to add any “CBD” product on the market. With the popularity of Delta, Kratom, CBD Flower, and other related products many CBD merchants think they can add any product to their offerings. The truth is – not all funding banks will support the sale of ALL CBD products. Some may support CBD and Delta derivatives but not something like Kratom. Or they may support CBD products directly extracted from the Hemp plant but no isolated derivatives.
CBD Merchant accounts are under persistent monitoring for website and product changes. Once a new product is added the site is automatically reviewed for compliance with the funding bank and federal standards.
Work with your CBD payment processor actively when your business scales and wants to add new products.
5. Discrepancies in Federal, State, and Municipal Regulations.
While CBD is Federally legal many states and even municipalities have created their own regulations around CBD and what is acceptable or even legal. This creates a truly robust compliance program for banks funding these transactions. This compliance headache is not something most banks want to deal with.
BIG’s CBD Merchant Services: Built for Long-Term Stability
At BIG we’ve been in the high-risk space for nearly two decades. We understand the unique challenges CBD merchants face — and we’ve built a clear, reliable path forward for both retail and e-commerce CBD businesses.
Here’s what sets our CBD processing solutions apart:
✅ Transparent, Dedicated Merchant Accounts
No more guesswork. No more shared aggregator accounts that can be shut down overnight.
BIG provides dedicated merchant accounts underwritten by acquiring banks that understand the CBD industry and are prepared to support your business long-term — not just until their risk appetite changes.
✅ Retail & E-Commerce Capabilities
Whether you’re running a physical storefront, an online store, or both, we’ve got the tools and integrations you need:
- Retail POS terminals and in-store solutions
- E-commerce gateways that integrate with major platforms (Shopify, WooCommerce, BigCommerce, etc.)
- Virtual terminals for mail/phone orders
- ACH and alternative payment options for added flexibility
✅ Compliance Support & Label Review
We don’t just process your application — we help you avoid pitfalls that can lead to shutdowns.
Our team reviews your:
- Website content
- Product labels
- Terms & conditions
- Shipping/refund policies
to ensure everything aligns with what the banks require. If there’s something that could get you shut down — we’ll help you fix it before it becomes a problem.
✅ Chargeback Mitigation Tools
Our platform includes:
- Real-time reporting tools
- Chargeback alerts and notifications
- Easy refund workflows
- Risk monitoring dashboards so you can stay ahead of issues before they jeopardize your account.
We also help you set expectations with customers clearly — a key part of reducing disputes and maintaining a clean chargeback ratio.
What Types of CBD Businesses Does BIG Work With?
We serve a wide range of CBD and hemp-based merchants, including:
- CBD tincture and supplement brands
- CBD topicals and skincare
- Pet CBD product companies
- CBD wellness and spa services
- Ecommerce CBD Merchants
- Retail dispensaries and franchises
- White-label CBD sellers
- Delta CBD Products
- CBD Seed Sellers
And whether you’re just launching your store or processing over $1M annually, we can tailor a merchant account solution that fits your business model.
Real Talk: You Don’t Want to Play the Payments Roulette
If you’ve ever had to scramble for a backup processor, rebuild your checkout page, or explain to customers why cards suddenly don’t work — you know the damage it can do.
Beyond lost revenue, you risk:
- Customer churn
- Brand reputation loss
- Legal and compliance headaches
With BIG, you don’t have to cross your fingers and hope your processor doesn’t change its mind next month. We’ve helped countless CBD merchants get set up the right way, from the start, and avoid the pitfalls that have sunk so many others.
Why CBD Merchants Go To BIG as The Trusted CBD Payment Processor
We’re not just a processor. We’re your partner in growth.
CBD business owners choose BIG because:
- We specialize in high-risk industries like CBD, cannabis, nutraceuticals, and hemp.
- We’ve been doing this since before the Farm Bill passed — we know how to build stable payment systems that stand the test of time.
- We offer dedicated account managers who actually understand the space — no generic support queues.
- We keep you updated on regulatory changes and banking trends so you can stay ahead.
Let’s Build a Stable Foundation for Your CBD Business
Whether you’re just starting out or have already been burned by a shutdown, you don’t have to go it alone — and you don’t have to keep gambling with unstable processors.
BIG is your go to CBD Payment Processor for legal, secure, and sustainable payment processing.
We’ll walk you through the application, make sure your documentation is ready, and work closely with our banking partners to get you approved — and keep you processing.
Want to Discover Your Options?
Let’s talk about how BIG can help your CBD business stay open, stay compliant, and keep growing.
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CBD payment processing doesn’t have to be complicated. With BIG, it’s just business — the way it should be.
