For Online Sellers of Hemp-derived CBD 

Your website must comply with major credit card brand requirements and bank underwriting guidelines as a prerequisite for establishing a merchant account.

Required Documents

• • Certificate of Incorporation / Business License – if the applicant is a sole proprietorship submit a copy of DBA paperwork. Also include a copy of a Seller’s Permit.
  • Proof of IRS Issued Employer Identification Number (EIN). If there is a parent company bank underwriters would also need documents for that entity.
  • Color copy of a valid drivers license or government issued identification card (front and backside). The principal owner(s) must submit proof of ID.
    
  • Utility Bill with the name of applicant or business must match the name on the utility bill. Must be a recent document not more than 3 months old.
  • Proof of URL website domain ownership – Must feature the URL and the name of the person that purchased it.
  • Three (3) months at a minimum and up to six months of business merchant processing statements. Forward the documents as a .PDF file. If the merchant statement do not show actual transaction history or processing volume the bank will require personal statements dating back at least three months.
    • The merchant processing/bank statements should disclosure any refunds or charge-backs (if any). A sister companies processing history may be considered. If you do not have current processing history, very strong financials will be required. In some cases  “Pre-Funding” or rolling reserve account for at least 90 days may be required. This option will require 2-3x your requested monthly processing volume. *To be determined on a case-by-case basis.
      
  • Business Plan or Executive Summary (provide details of marketing plans, cash projections, etc.)

Website Compliance Guidelines

• • Remove any marketing verbiage on the website that potentially implies CBD; “relieves pain”, “heals”, “cures”, “improves” or performs in a manner similar to a drug. Do not submit an application for a merchant account if false, misleading or illegal marketing verbiage exists on your website.
    
  • The website must be published at the time of submitting an application for a merchant account.
  • Age Verification Gate – must be activate. Install and activate an age verification plugin to ensure that persons under 21 years old do not access website content.
  • Valid SSL Certificate – only SSL secure shopping cart and checkout pages will be approved.
  • All product ingredients must be published by featuring the backside of the product label on the same page of the product description OR post the ingredients within the COA Batch database.
  • Published COAs – laboratory issued Certificates of Analysis for each batch of CBD product sold must be published on the website. Preferably in the footer area as a COA batch database.

Required Policy Pages On The Website

1. Terms and Conditions of Use – policy page
   
2. Refund Policy  – must describe the conditions upon which a refund will be approved and the manner, method and time frame that funds will be received
3. Returns & Refunds Policy
4. Shipping Policy – must include the actual postal couriers used and the estimated time-frame for delivery.
   
5. Privacy Policy
6. Complete Contact – info must include a physical ​business address, a customer service phone number, and ​a customer support email address.

Legal Notice; ‘Dietary Supplement Verbiage & Suggested Usage’

Hemp-derived CBD is not a a dietary supplement nor a drug. For this reason, the sponsoring bank requires that any instructions regarding ‘suggested use’ or ‘recommended dosage’ be removed from the website or changed. Replace any usage/dosage instructions with verbiage similar to the following:

This product is non-toxic, contains no psychoactive substances, does not cause a euphoric high, and is safe for humans or pets if ingested.

Prohibited Statements or Claims In Advertising & Marketing

The website must not contain any false or misleading statements suggesting ‘cures, heals, mitigate’, or any other alleged medical claims. Links to clinical students, academic research, are acceptable.

Comply with the Federal Food, Drug, and Cosmetic Act (“FDC Act”) marketing and advertising practices acceptable rules of conduct.