dispensary merchant account
CBD comes from the hemp plant
Choosing a Credit Card Processing Company for CBD Merchants
CBD, also known as cannabidiol, is an active substance found in the cannabis plant. While this product is similar to that found in marijuana, it differs in that it does not make the user high or provide the same effects seen with marijuana. In fact, health experts are now finding that this substance has numerous medical benefits and may be of help to those suffering from depression, cancer, and epilepsy, among other conditions. However, a person or business wishing to offer products containing this substance may find they must find a CBD credit card processing center, as a regular bank will not work with them. How should a person go about selecting a provider of this type?
Why Is a Special Processor Needed?
CBD comes from the hemp plant, thus most banks and credit card processors consider the industry to be a high risk one. As a result, may find they can't obtain a regular merchant account or make use of most payment processing options. They must find a reputable credit card processing company that offers a CBD merchant account. This company is willing to take on the higher risk, as the industry is considered to be at high risk of chargebacks or fees that a business must pay to cover any loss the processor incurs when a transaction is disputed or found to be fraudulent.
What Factors Are Considered When Determining if a Business is High-Risk?
First and foremost, credit card processing companies consider the industry and the history of chargebacks within that industry. The higher the chargeback rate, the more a company can expect to pay for credit card processing. Furthermore, the processing company looks at the size and location of the business and whether it has brick-and-mortar locations or operates solely online. Does the company have a credit card processing history? This will apply to those companies that have been in operation for some time now and are expanding to offer CBD products. Finally, the processing provider considers the credit history of the company. As each company has different criteria with respect to these factors, a company must shop around to find the best overall terms and conditions.
When choosing a CBD merchant account shopify or CBD merchant account woocommerce, take into account their BBB rating, the rates charged, customer service, and more. The platform should be user-friendly and hassle-free. Furthermore, every CBD provider should have a positive experience with each transaction and have assistance available when needed. This ensures customers can be served in a timely manner and be satisfied with each transaction they complete with the CBD provider.