Can CBD businesses accept credit cards?
Yes. Qualified CBD and hemp merchants can obtain specialized card processing, subject to product, documentation, and jurisdiction review.
Square closed my CBD account: what now?
Updated November 11, 2026.
What happened
In August 2026, Square emailed sellers that CBD and hemp-derived products would no longer be permitted on its platform, online or in person, citing a federal law that redefines hemp. Sellers with mixed catalogs were told to remove CBD, hemp and hemp-derived items by October 15, 2026 and could keep their accounts for other products, according to the email published by Marijuana Moment. The Milwaukee Journal Sentinel reported that Square was shutting down hemp business accounts on November 5, 2026. Square's U.S. Payment Terms, which apply to all sellers as of November 6, 2026, now list "products containing CBD, THC, or other cannabinoids" as a prohibited activity.
The federal change itself lands in two steps: some parts take effect November 12, 2026, and the rest December 11, 2026. Products that fall outside the new definition of hemp are treated as marijuana under federal law, so check each product before you look for a new processor.
What to do now
- Save your records. If you still have Dashboard access, download your transaction history, sales reports, statements, customer list and catalog. If you can't log in, ask Square Support how to get them.
- Get your Form 1099-K. You'll need it for taxes whether or not the account is open.
- Watch for held funds. Check for pending payouts and any reserve balance, and keep Square's notice. A new processor can't release money another provider is holding. See why processors freeze funds.
- Prepare your processing history for underwriting. Recent statements and sales reports show a new acquirer your volume, average ticket, refunds and disputes.
- Gather product documents. Have a full product list, labels and a current certificate of analysis (lab test) for each product and batch.
- Clean up product claims. Remove disease, treatment or cure claims from your website, labels and ads, and make sure every product page matches its label and lab results.
- Plan for a possible reserve. High-risk accounts sometimes hold part of sales for a set period. Our guide to how rolling reserves work and the rolling reserve calculator show what that means for cash flow.
How Pine Payments helps CBD and hemp merchants
Pine reviews hemp-derived CBD and hemp product businesses for card-processing fit, subject to underwriting and current federal and state law. We help you put together a complete file (catalog, labels, lab tests, website policies and processing history) before the application goes in, and we explain every fee and any reserve in writing before you commit. Whether a product can be processed depends on the exact product, its testing and labeling, and the acquiring bank's current policy, so approval isn't guaranteed. Closed by another provider too? See options after an account closure.
Sources: Marijuana Moment, August 7, 2026 (Square's email and spokesperson statement); Milwaukee Journal Sentinel, November 5, 2026; Square U.S. Payment Terms (last updated November 6, 2026). This is general information, not legal advice; talk to a qualified attorney about whether your products comply with current law.
Why CBD payment accounts require specialized review
- Product compliance. Banks review product type, cannabinoid content, sourcing, and supporting test documentation.
- Changing restrictions. Processor rules can differ from federal and state law and may change without much notice.
- Marketing language. Health claims and inconsistent product descriptions can stop an application.
- E-commerce risk. Online sales add fraud, fulfillment, and jurisdiction considerations.
A stable path to accepting card payments
- Specialized acquiring relationships. Applications go to partners that knowingly review CBD and hemp businesses.
- Documentation guidance. We identify common gaps before the application reaches underwriting.
- Online and retail options. Approved merchants can connect compatible in-person or e-commerce tools.
- Transparent terms. Rates, reserves, and operating conditions are explained before setup.
Every account is subject to underwriting. We explain the available options and terms before you commit.
How to get started
- 1.Share your details. Tell us what you sell, how you accept payments, and your expected volume.
- 2.Review the fit. We assess your current setup and identify the right processing path.
- 3.Prepare the application. We help organize the information underwriting needs.
- 4.Start processing. Once approved, we help connect and test your payment setup.
What to have ready
- Business formation documents and EIN
- Complete product catalog and labels
- Current certificates of analysis or batch testing
- Supplier and fulfillment information
- Website policies and processing history
Not sure where to begin? Send us a recent statement and we will walk through it with you.
Related solutions and guides
CBD & Hemp payment processing FAQ
Why did a mainstream platform close my CBD account?
Many general-purpose platforms restrict CBD in their acceptable-use policies, even when a product is legally sold.
What product documents are usually required?
Underwriters commonly request labels, product lists, supplier information, and current certificates of analysis or batch testing.
Can you guarantee no reserve?
No provider can responsibly guarantee that before underwriting. Reserve decisions depend on the products, fulfillment, volume, chargebacks, and processing history.
Did Square stop supporting CBD and hemp sellers?
Yes. Square told sellers in August 2026 that CBD and hemp-derived products would no longer be permitted on its platform. Mixed-catalog sellers were asked to remove those items by October 15, 2026, hemp-focused accounts were reported closing on November 5, 2026, and Square's Payment Terms as of November 6, 2026 prohibit products containing CBD, THC or other cannabinoids.
What should I save after Square closes my CBD account?
Download your transaction history, sales reports, statements, customer list, catalog and Form 1099-K if you still have access, and keep Square's closure notice. If you can't log in, ask Square Support. A new processor's underwriting will usually ask for recent processing history.
Can Pine Payments process my CBD sales after Square?
We review CBD and hemp businesses for card-processing fit, subject to underwriting and current federal and state law. Whether a product can be processed depends on the exact product, its lab results and labeling, and the acquiring bank's current policy, so we can't promise approval.