Although adults can buy marijuana legally from recreational or medical marijuana stores in several states, purchasing the substance is still a complicated process. While marijuana consumption is now legal, the substance is still banned at the federal level.
With the exclusion of marijuana-related businesses from basic financial services and the unregulated cannabis market, credit card companies refrain from lending money to any cannabis business; otherwise, they may be liable for prosecution. As a result, cash has become the primary payment method, which considerably decreased the sale revenues.
Banking
Without banking services, cash payments become the primary method of payment. However, accepting only cash significantly reduces the average purchase amount as people tend to spend more – at least 30% more – when they pay using credit or debit cards.
Banks, on the other hand, are afraid that the federal government would shut their institution down for accepting cannabis deposits. Without bank support, all activities in the cannabis business, from buying from vendors to paying workers, are performed in cash. Payments through cash also put customers at higher risk of armed robberies.
Card payment
A cashless ATM is another method to pay at recreational or medical cannabis dispensaries and stores. However, ATMs at cannabis stores are not of the same onsite ATMs commonly seen for payment processes. Besides allowing customers to withdraw cash from their bank accounts, these ATMs enable them to exchange money for vouchers that can be used as in-store credit.
However, it is not a great solution because ATM-operating banks avoid doing business with medical or recreational marijuana dispensaries due to federal marijuana laws. This considerably increased the risk of potential bank frauds. Also, CBD companies have to pay the banks monthly fees to use ATMs. Customers, on the other hand, are charged a terminal fee for withdrawing cash.
Apps
Electronic wallet apps have become another method for cashless payments at medical or recreational cannabis stores. After loading money to an e-wallet from the bank account, customers can use the amount to pay at marijuana stores. Although it is an efficient way to process payments at marijuana dispensaries, many customers still do not use them. To know more about the method of making cannabis payments, you can visit this website.
Though credit card companies turn their eyes away from the marijuana industry, some renowned companies have created new ways to pay for cannabis – credit card payment for marijuana. With a marijuana payment credit card, both retailers and consumers can process cashless purchases. This incredible cashless payment solution has not only brought safety to the cannabis industry but also made it convenient for legitimate CBD companies to boost their sales revenues. Lawful CBD companies can continue to process cashless payments regardless of the cannabis industry’s landscape.
Consumers can now make online purchases using an online payment solutiona. You can easily find a supplier online and visit their website to make the purchase as per your convenience and then easily make the payment. The supplier will also deliver the purchased item to your doorstep.
