As local, state and federal governments weigh the pros and cons of legalizing cannabis for both medical and recreational purposes, the benefits of other products derived from cannabis have taken shape — like cannabidiol, known as CBD.
CBD merchant accounts are a relatively new product, but Instabill can help merchants selling health or dietary products that contain the compound to find the credit card processing solutions they need.
Looking for Something Else?
Instabill offers several merchant account solutions similar to CBD, including:
- Nutraceutical merchant accounts
- Medical marijuana merchant accounts
- Online pharmacy merchant accounts
- E-cigarette merchant accounts
Click on the link to each link to find out more about our payment processing solutions.
What is CBD Oil?
CBD is a compound taken from hemp plants that does not include large amounts of THC, which is the psychoactive/pain killing element in marijuana. CBD, however, contains a natural analgesic as well as anti-inflammatory and anti-anxiety properties.
Why CBD Oil is classified as a high risk industry
Acquiring banks categorize CBD oil as a high risk industry since it is derived from the hemp plant, even though it contains barely traceable amounts of THC, the psychoactive, pain-killing component of marijuana. Because the possession, sale and use of marijuana remains illegal by U.S. federal law, some acquiring banks are leery of offering payment processing solutions for such, despite the many health benefits of CBD.
What are the benefits of CBD?
While studies of the health benefits are ongoing, there is clear evidence that CBD oil is an effective salve with several ailments:
- Natural anti-inflammatory and pain killing element
- Effective in treating epileptic seizures
- Helps in the healing of acne scars and wrinkles
- Helps treating anxiety, depression and nausea
How do I get a CBD merchant account?
Instabill offers CBD merchant accounts for e-commerce merchants with competitive rates through an acquiring banking partner specializing in solutions for high risk industries. Speak with a CBD merchant account manager directly at 1-800-318-2713, or simply click the button to get started.
- Instabill’s solution is available for e-commerce businesses only.
- Business bank statements from the last 4-6 months required showing company name, total sales, chargebacks/refunds and returns.
- Merchants must generate a minimum $1,500 per week in processing.
- Startup businesses will be vetted on a case-by-case business.
CBD Merchant Account Approval Timetable
The time it takes for CBD merchant account approvals varies with each merchant and their processing history. With all the supporting documentation and materials, Instabill can provide a credit card processing solution between 5-15 business days.
What are the fees associated with CBD merchant accounts?
The fees Instabill charges depend on several factors, such as the merchant’s processing history, type of industry (high risk or low risk) and/or projected sales volume. Each merchant account is unique, but typical fees include:
- Merchant discount rate
- Per transaction fee
- Monthly statement fee
- Monthly gateway fee
- Six-month rolling reserve
- Chargeback fee
- Refund fee
Payment gateway integration for CBD merchant accounts
Every merchant account approved by Instabill and its acquiring banking partner includes access to the approving bank’s payment gateway. Instabill’s trusted banking partners offer a secure payment gateway for all transactions, with which you will connect the bank’s API to your website.