The CBD industry is thriving, but one roadblock keeps tripping up CBD companies: payment processing. Many CBD merchants discover too late that traditional banks and payment processors will not approve their accounts. Others experience account closures and fund holds that leave them unable to accept credit or debit cards. The good news? With the right CBD merchant account services, you can accept CBD payments reliably, keep cash flow moving, and grow your business without fear of interruption.
This guide explains how CBD payment processing works, why it’s considered high-risk, and which providers deliver the best CBD payment processing companies for merchants selling CBD products online and in-store.
Key Highlights for CBD Merchants
- CBD businesses require both a CBD merchant account and a CBD payment gateway to process CBD payments securely.
- VERIFIED Credit Card Processing partners with trusted providers like PaymentCloud and Maverick Payments to help merchants get approved quickly.
- Gateways such as Authorize.Net and NMI must be paired with a CBD merchant account to handle CBD transactions.
- CBD payment processing fees typically run 4%–10% due to high-risk merchant account classification.
- Choosing a CBD payment processor with chargeback protection and compliance expertise is key to avoiding disruptions.
Why CBD Payment Processing Is Different
CBD merchants face unique challenges. Even though hemp-derived CBD is federally legal, many providers still treat CBD and cannabis businesses the same way they treat marijuana sales. That puts CBD merchants into the category of high-risk industries. Here’s what that means for your business:
- Regulatory complexity: Different states set different rules for CBD products, which complicates underwriting.
- High-risk CBD designation: Elevated chargeback ratios and reputational risks push CBD into the high-risk business category.
- Account closures and fund holds: Merchants who try mainstream processors (like Stripe, PayPal, Square) often wake up to frozen payouts and sudden shutdowns.
- Strict compliance requirements: Providers require clear labeling, lab reports, and age verification before approving CBD merchant accounts.
For CBD companies, the only safe route is partnering with a payment processor experienced in high-risk merchant services. The best CBD payment processing solutions understand compliance, fraud risk, and the specific needs of the CBD industry.
CBD Merchant Accounts and Payment Gateways Explained
CBD Merchant Account
A CBD merchant account is a high-risk merchant account designed for CBD processing. It allows CBD merchants to accept credit and debit cards while meeting compliance standards. Without an approved CBD merchant account, most processors will eventually terminate CBD payments once discovered.
CBD Payment Gateway
A CBD payment gateway connects your website or point-of-sale system to the banking network. Gateways like Authorize.Net and NMI act as the secure bridge that handles each credit card payment, enabling recurring billing, fraud detection, and multi-channel sales. To process CBD payments, these gateways must be connected to a CBD merchant account and payment provider that supports the industry.
Why You Need Both
Some new CBD businesses assume signing up for a gateway is enough, but this is a common mistake. Gateways are technology providers, not underwriters. You need both the CBD merchant account and the payment gateway working together. VERIFIED makes the process seamless by setting up your CBD merchant account and payment gateway as a complete payment solution.
Best CBD Payment Processors and Merchant Services
PaymentCloud (VERIFIED Partner)
PaymentCloud is one of the best CBD payment processors in the United States. Known for quick approvals and strong support for CBD merchant processing, PaymentCloud offers:
- CBD merchant accounts with competitive rates
- Integration with Authorize.Net, NMI, and other gateways
- Fraud prevention and chargeback management tools
- Support for online CBD sales and retail CBD businesses
Maverick Payments (VERIFIED Partner)
Maverick Payments provides direct U.S. acquiring and robust technology for high-risk merchants. Maverick’s CBD merchant account services are ideal for businesses that want transparency and stability. Merchants benefit from:
- Direct integration with Maverick’s own gateway plus Authorize.Net and NMI
- Clear pricing with no hidden fees
- Advanced reporting and scalable payment processing solutions
- Trusted support for high-risk CBD businesses
PayKings
PayKings has built a reputation as a merchant services provider that supports CBD and cannabis businesses. Many merchants use PayKings for flexible CBD merchant processing and custom payment solutions, especially startups or companies that were denied by traditional payment processors.
eMerchant Broker (EMB)
EMB is a processing company known for its work with high-risk merchants, including CBD businesses. EMB provides tailored underwriting, flexible terms, and a range of payment options, making it a fit for larger eCommerce operations selling CBD products.
Authorize.Net
Authorize.Net is one of the most widely used gateways in the credit card processing industry. While it does not underwrite CBD accounts directly, many CBD businesses use Authorize.Net when paired with an approved CBD merchant account. It supports recurring billing, fraud screening, and virtual terminals for phone or mail orders.
NMI
NMI is another gateway frequently used in CBD payment processing solutions. Known for its API flexibility, NMI helps merchants manage multiple accounts (MIDs), connect to multiple processing platforms, and scale payment options as their CBD business grows.
| Processor / Gateway | Approval Type | Typical Fees | Gateway Options | Best For |
|---|---|---|---|---|
| PaymentCloud | CBD-focused underwriting | 4%–7% | Authorize.Net, NMI | CBD merchants seeking fast approval |
| Maverick Payments | Direct U.S. acquiring | 4%–8% | Maverick, Authorize.Net, NMI | Long-term stability and compliance |
| PayKings | Flexible CBD programs | 4%–10% | Multiple gateways | Startups and scaling CBD companies |
| EMB | Custom underwriting | Varies | Multiple gateways | High-volume CBD eCommerce |
| Authorize.Net | Gateway only | Varies | Authorize.Net | Recurring billing and subscriptions |
| NMI | Gateway only | Varies | NMI | Advanced integrations and APIs |
Choosing a CBD Payment Processor
At VERIFIED Credit Card Processing we make it easy to choose a CBD payment processor, by finding the best one that fits your needs. It is one of the most important decisions a merchant can make. The best CBD merchant account providers are those that combine compliance expertise with reliable technology. When partnering with a payment processor, merchants should evaluate:
- Compliance knowledge and experience working with CBD
- Transparent pricing and clear high-risk terms
- Fraud tools and chargeback alerts to protect the account
- Compatibility with credit card payment gateways and eCommerce platforms
- Scalability to support higher volumes and redundancy across multiple accounts
Key Considerations for High-Risk Merchants
- High-risk merchant account approval requires extra documentation like COAs and product details.
- Payment processing companies may differ in what CBD products they approve—always confirm your catalog.
- Working with CBD specialists helps merchants avoid hidden risks and secure payment stability.
- A reliable payment processor should offer processing services that scale as your CBD business grows.
Protecting Your CBD Merchant Account with Chargeback Management
One of the biggest threats to CBD payment processing stability is chargebacks. Whether it’s friendly fraud or a customer dispute, too many chargebacks can put any high-risk merchant account at risk of termination. That’s why chargeback protection isn’t just optional for CBD merchants—it’s essential.
At VERIFIED Credit Card Processing, we go beyond securing CBD merchant accounts. We also help you protect them with Disputifier chargeback alerts. Disputifier uses smart chargeback management tools that notify you of disputes before they hit your account, giving you the chance to resolve the issue proactively. This early warning system can dramatically reduce chargeback ratios and protect your CBD merchant account from closures.
Understanding Reserves in CBD Merchant Accounts
When applying for a CBD merchant account, some merchants are surprised to learn the bank may place a reserve on their account. A reserve is when the processor withholds a small percentage of your transactions for a period of time (for example, 5–10% for 90 days) as extra protection against chargebacks, refunds, or unexpected losses.
While a reserve might sound like a drawback at first, it’s actually a positive. Without it, many banks and payment processors simply would not approve high-risk CBD businesses at all. By allowing a reserve, you’re showing a willingness to share risk, which opens the door to accepting credit and debit cards for CBD products.
The good news is that reserves are not permanent. Once your CBD business establishes a strong processing history with low chargebacks and consistent volume, processors often shrink or even remove the reserve completely. In many cases, merchants can also request earlier access to reserve funds if they demonstrate solid performance.
In short: a reserve helps you get approved today, and with VERIFIED guiding your account setup, it often becomes less restrictive over time. Think of it as the bank’s way of saying, “We believe in your business—we just want to see a little history first.”
As a VERIFIED client, you can access Disputifier at a discounted rate, adding another layer of protection to your CBD payment processing solution. By combining a reliable CBD payment processor with chargeback alerts, you not only start processing CBD payments—you keep processing them for the long term.
Conclusion: Find the Best CBD Payment Processing Solution
The best CBD payment processing companies combine merchant account services with secure gateways, fraud protection, and compliance expertise. VERIFIED Credit Card Processing works with PaymentCloud and Maverick Payments, along with other providers, to help CBD merchants accept credit card payment securely. By applying with VERIFIED, you can access CBD merchant account services tailored to your CBD business, start processing CBD payments quickly, and scale without fear of account closures or lost revenue.
FAQs About CBD Merchant Account Services
Can I use Square, Stripe, or PayPal for CBD?
No. These traditional payment processors do not support CBD payment processing. Merchants attempting to sell CBD products through them often face account closures and frozen funds. Square does have a CBD specific program but still freezes accounts often without notice.
What documents do I need for a CBD merchant account?
Most providers require a business license, banking details, COAs for your CBD products, website details, and age verification policies. Submitting these upfront improves your approval chances.
What are typical CBD payment processing fees?
CBD merchant processing fees generally range from 4% to 10% depending on your business model, history, and the provider. These reflect the high-risk payment category.
What payment options are available to CBD businesses?
With the right CBD merchant account and credit card setup, you can accept credit and debit cards, mobile payment processing options like Apple Pay, and recurring billing for subscriptions.
What if my CBD business has been denied before?
Many high-risk merchants are denied initially. Choosing a CBD payment processor experienced in high-risk CBD accounts helps you get approved for a merchant account and start processing sooner. Being denied at one processor does not guarantee you will be at the next one.
Let us discover your best options.
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