6 Best CBD Payment Processors for Shopify

Think of your Shopify store as a high-performance vehicle. You’ve built a beautiful chassis and a sleek exterior, but you can’t power it with a standard engine. Selling CBD products requires a specialized engine built for the unique demands of the industry. Shopify provides the storefront, but its native payment system isn’t equipped for high-risk transactions. That’s where a third-party CBD payment processor for Shopify comes in. This partner provides the powerful, compliant engine your business needs to process payments securely. It integrates seamlessly with your store, ensuring a smooth ride for your customers and protecting your business from the bumps in the regulatory road.

Key Takeaways

Partner with a High-Risk Specialist: Standard payment gateways like Shopify Payments will shut down CBD accounts. You must use a third-party processor built for high-risk industries to securely accept payments and protect your business.
Evaluate Processors on Key Support Features: Look past the basic rates and focus on what truly matters for a CBD business. Prioritize providers that offer robust chargeback management, expert compliance guidance, and transparent, all-in pricing.
Streamline Your Approval with Preparation: Get your payment processing set up faster by having your documents ready from the start. A compliant website, business license, and bank details are essential for a quick and smooth underwriting process.

What Is CBD Payment Processing for Shopify?

If you’re running a CBD business on Shopify, you’ve probably discovered that you can’t use the platform’s built-in payment system, Shopify Payments. While Shopify is an excellent platform for building your online store, it relies on payment partners who classify CBD as a “high-risk” product. This means you need to find a specialized third-party company to handle your transactions.

CBD payment processing for Shopify is a service offered by high-risk merchant account providers that integrates with your store. These processors are equipped to handle the unique regulatory and financial challenges of the CBD industry. Instead of using Shopify Payments, you’ll connect your store to a payment gateway provided by a company like Borderfree Payments. This allows you to securely accept credit and debit card payments for your CBD products while keeping your business compliant and your Shopify store running smoothly. Think of it as swapping out a standard part for a high-performance one designed specifically for your needs.

Why Selling CBD Online Is Different

Selling CBD isn’t like selling t-shirts or coffee mugs. Even though the 2018 Farm Bill made hemp-derived CBD legal at the federal level, the industry still operates in a gray area for many financial institutions. The rules around CBD are constantly evolving, and this lack of clear, consistent regulation makes traditional banks and payment processors nervous.

Because of this uncertainty, they often refuse to work with CBD businesses to avoid potential legal or financial risk. This is why you’ll find that many standard payment solutions, including PayPal and Stripe, prohibit CBD sales. It’s not a reflection on your business, but rather a sign that you operate in a specialized market that requires an equally specialized payment partner.

Why You Need a High-Risk Payment Processor

Since mainstream processors won’t work with you, your only path forward is a high-risk payment processor. These providers specialize in industries that traditional banks consider risky, including CBD, supplements, and subscription boxes. They have established the necessary banking relationships and compliance frameworks to support businesses like yours. While Shopify provides the storefront, a high-risk processor provides the engine to actually process your payments.

Without a high-risk merchant account, you risk having your account suddenly frozen or shut down, with your funds held for months. Partnering with a specialist from the start prevents these headaches. Merchants often find that a dedicated processor can get them approved quickly and provide the stability needed to grow, because they understand the documentation and compliance requirements of the CBD industry.

Common Myths About CBD Payments

There’s a lot of confusing information out there, so let’s clear up a few common myths. The biggest one is that you can somehow hide the nature of your business and use a standard processor. This is a risky gamble that almost always ends with account termination and lost revenue. Processors have sophisticated monitoring systems, and they will find out.

Another myth is that getting a high-risk merchant account is impossibly difficult. While the application process is more thorough than with a low-risk account, it’s entirely manageable when you work with the right partner. It’s crucial to find a third-party payment processor that truly understands the CBD industry and can guide you through the process, ensuring you have all the necessary documentation in order for a smooth approval.

Staying Compliant as a CBD Merchant

Staying compliant is non-negotiable for any CBD merchant. Your payment processor is your partner in this, as they have a vested interest in making sure your business operates within legal boundaries. First and foremost, you must ensure your products and marketing adhere to all federal, state, and local laws. This includes making sure your products are derived from hemp containing less than 0.3% THC.

You also need to pay close attention to FDA guidelines, especially if you sell edibles, tinctures, or other ingestible products. Avoid making unproven health claims, as this is a major red flag for both regulators and processors. Clear product labeling, transparent lab results (Certificates of Analysis), and an easy-to-understand refund policy are all essential for maintaining a compliant business and a healthy merchant account.

The Best CBD Payment Processors for Shopify

Finding the right payment processor is one of the most important decisions you’ll make for your CBD store. Because Shopify Payments doesn’t support CBD sales, you need a third-party provider that specializes in high-risk industries. The right partner won’t just process transactions; they’ll provide the stability and support you need to grow without worrying about sudden account freezes or closures. A reliable processor is the foundation of a successful online CBD business, ensuring your cash flow remains uninterrupted and your operations run smoothly.

We’ve reviewed some of the top CBD payment processors that integrate with Shopify. Each offers a unique approach to handling high-risk payments, from specialized compliance support to excellent customer service. Think about your specific business needs—like your sales volume, chargeback risk, and desire for hands-on support—as you explore these options. This will help you find a processor that feels like a true partner in your business journey, allowing you to focus on what you do best: building your brand and serving your customers.

Borderfree Payments

At Borderfree Payments, we built our platform specifically for businesses like yours. We understand that CBD merchants need more than just a way to accept credit cards; you need a secure, compliant, and completely reliable payment infrastructure. We provide tailored payment solutions that address the unique challenges of the CBD industry head-on. Our focus is on creating a seamless experience, with robust fraud prevention tools, multi-currency support for global sales, and expert guidance on the ever-changing regulatory landscape. We empower you to stop worrying about payment processing and focus on growing your brand, knowing your revenue is secure.

Bankful

If you’re looking for a processor that lives and breathes CBD, Bankful is a strong contender. They position themselves as experts in the field, understanding that CBD is often labeled as a “high-risk” business by many traditional banks. According to their site, Bankful helps CBD businesses on Shopify by specializing in the nuances of the industry. This deep focus means they are well-equipped to handle the specific compliance and processing needs of CBD merchants. For sellers who want a provider that truly gets their industry, Bankful’s specialized approach offers peace of mind and a stable foundation for processing payments directly through a Shopify store.

DigiPay

DigiPay is another excellent choice that offers payment processing specifically for hemp and CBD businesses. What makes them stand out is their versatility; they cater to both online stores and brick-and-mortar shops. This is a huge plus if you run a hybrid retail model or plan to expand into physical locations in the future. DigiPay works fully with Shopify, ensuring a smooth integration for your e-commerce site. By supporting both online and in-person sales, they provide a unified payment solution that can grow with your business, simplifying your operations and ensuring consistent processing across all your sales channels.

Corepay

Corepay does a great job of explaining the core problem many CBD merchants face. As they point out, Shopify itself doesn’t process CBD payments because traditional financial institutions view the industry as high-risk. This is why you absolutely need a specialized, third-party payment processor to operate on the platform. Corepay offers high-risk merchant accounts designed to fill this gap, providing the necessary gateway to accept payments securely. Their clear communication on this issue shows they understand the landscape and are prepared to offer the stable, long-term solutions that CBD businesses require to thrive on Shopify without interruption.

PaymentCloud

When you’re dealing with the complexities of high-risk processing, strong customer support can make all the difference. PaymentCloud is frequently praised for its hands-on service and quick approval process. One reviewer highlighted this, stating, “PaymentCloud helped us get approved quickly for our CBD merchant account. Their support team was incredibly helpful throughout.” This kind of feedback is invaluable, as it points to a company that is committed to guiding its clients through every step. For merchants who feel overwhelmed by the application process, PaymentCloud’s reputation for excellent support makes them a reassuring and reliable choice.

Qorexy

Sometimes, the best recommendations come from fellow business owners who have already been through the trenches. Qorexy has gained a positive reputation within online communities for its ability to connect merchants with the right solutions, even in challenging industries. One business owner mentioned that Qorexy suggested a great payment processor for their specialized industry. This peer endorsement suggests that Qorexy excels at matchmaking, leveraging its network to find fitting payment partners for businesses that might otherwise struggle to find approval. They act as a knowledgeable broker, simplifying your search for a reliable processor.

What to Look For in a CBD Payment Processor

Finding the right payment processor is one of the most important decisions you’ll make for your CBD business. Since the industry is considered high-risk, you can’t just sign up for any service. You need a partner who understands the unique challenges and regulatory hurdles you face. Choosing the wrong one can lead to frozen funds, account closures, and a major disruption to your sales.

Think of your payment processor as a core part of your business infrastructure. They should do more than just move money from your customer to your bank account. A great partner will provide robust security, help you manage chargebacks, and offer expert guidance to keep you compliant. As you compare your options, look beyond the surface-level transaction fees. Dig into their experience with CBD merchants, the quality of their customer support, and the tools they provide to protect and grow your business. Use the following criteria as a checklist to vet potential processors and find a solution that truly supports your long-term success.

High-Risk Processing

First and foremost, you need a processor that specializes in high-risk industries. Mainstream payment providers like Stripe and PayPal have strict policies against CBD sales and will not hesitate to shut down your account without warning. A high-risk specialist, on the other hand, has established relationships with banks that are willing to work with CBD businesses. They understand the underwriting process and can help you get approved quickly. As one merchant noted, a processor with experience in this area means their “support team was incredibly helpful throughout” the entire setup. Look for a provider with a proven track record and high approval ratings for CBD merchant accounts.

Chargeback Management

Chargebacks are a frustrating reality for any ecommerce business, but they are especially common in high-risk sectors. A top-tier payment processor won’t leave you to handle these disputes alone. Instead, they should offer proactive chargeback management tools and support. This includes services that help you identify potentially fraudulent orders before they’re processed and assistance in fighting illegitimate chargebacks. As one provider explains, the goal is to “help stop fraud and chargebacks before they happen, saving businesses time and money.” This level of support is crucial for protecting your revenue and maintaining a healthy merchant account.

Compliance and Regulatory Support

The rules surrounding CBD sales are complex and constantly changing. A processor that simply facilitates transactions without offering guidance is putting your business at risk. The best partners act as compliance experts, guiding you through the maze of federal, state, and payment network regulations. They understand that “CBD is not one size fits all” and will work with you to ensure your business operates within the legal framework. This expert guidance is invaluable for preventing account holds or closures and ensuring your business remains in good standing for the long haul.

Shopify Integration

If you’re running your store on Shopify, seamless integration is non-negotiable. It’s important to know that Shopify’s native payment gateway, Shopify Payments, does not support the sale of CBD products. This means you must use a third-party processor. A quality provider will offer a payment gateway that integrates flawlessly with your Shopify store, providing a smooth and secure checkout experience for your customers. The connection should be reliable and easy to set up, allowing you to accept payments directly on your site without redirecting customers to another page.

Quality Customer Support

When you’re dealing with payment issues, you need fast, effective, and knowledgeable support. Generic call centers won’t cut it. Look for a processor with a dedicated support team that understands the specific challenges of the CBD industry. You want to be able to reach a real person who can provide clear answers and solve problems efficiently. Positive reviews and high ratings from other CBD merchants are a great indicator of quality customer service. Having an expert in your corner when you need it most is essential for keeping your operations running smoothly.

Transparent Pricing

Hidden fees can quickly erode your profit margins. Before committing to a processor, make sure you fully understand their pricing structure. A trustworthy partner will be transparent about all potential costs. Ask for a detailed breakdown of their rates, including transaction fees, monthly fees, chargeback fees, and any other charges. Some of the best processors offer straightforward terms with no setup fees or monthly minimums. Don’t be afraid to ask questions and read the fine print in your contract to ensure there are no surprises down the line.

Data and Reporting

Your sales data is a goldmine of information. A good payment processor will give you the tools to access and analyze it. Look for a provider that offers a robust dashboard or a free virtual terminal that lets you track sales, monitor transaction trends, and manage your revenue with ease. Detailed reporting helps you understand customer purchasing habits, identify your most popular products, and keep a close eye on your financial health. This data is essential for making informed decisions that will help you scale your business effectively.

Multi-Currency Options

If you have ambitions to sell to customers outside of your home country, you’ll need a processor that can handle international transactions. Look for a partner that offers multi-currency support, allowing you to display prices and accept payments in your customers’ local currencies. This not only creates a better shopping experience but can also expand your potential market significantly. Processors that offer multiple payment options like ACH transfers and digital wallets in addition to credit cards show they are equipped to support your global growth.

Fraud Prevention Tools

High-risk industries are often prime targets for fraudulent activity. Your payment processor should be your first line of defense. A secure provider will offer a suite of advanced fraud prevention tools designed to protect your business and your customers. This can include features like Address Verification System (AVS), CVV verification, and sophisticated fraud scoring that flags suspicious transactions in real time. These tools work to stop fraudulent purchases before they turn into costly chargebacks, safeguarding your revenue and your business’s reputation.

How to Choose and Set Up Your CBD Payment Solution

Finding the right payment processor can feel like the biggest hurdle to getting your CBD business off the ground, but it doesn’t have to be. By breaking the process down into a few clear steps, you can find a reliable partner that fits your specific needs and sets you up for long-term success. Think of this as a checklist to guide you from research to launch. With the right approach, you’ll be ready to accept payments securely and focus on what you do best: growing your brand.

Define Your Business Needs

Before you start comparing processors, take a moment to get clear on what your business actually requires. The world of CBD is diverse, and a payment solution that works for a simple tincture shop might not be the right fit for a brand selling edibles and topicals across multiple states. Are you selling online, in-person, or both? What is your anticipated sales volume? Answering these questions first will help you find a processor that can provide a truly tailored solution, rather than a generic, one-size-fits-all account that might not support your growth.

Compare Processor Features and Pricing

Once you know what you need, you can start comparing your options. Look beyond the basic transaction rates and dig into the details. Some processors have higher approval ratings for CBD businesses, which can be a great indicator of their experience in the industry. Check for things like setup fees, monthly minimums, and the quality of their customer support. You’ll also want to ensure they offer seamless eCommerce integrations with platforms like Shopify. A transparent partner will be upfront about all costs and features, helping you make an informed decision without any surprises down the road.

What to Expect During the Approval Process

Applying for a high-risk merchant account is more involved than a standard one, but a good processor will make the experience as smooth as possible. The underwriting process, where the processor reviews your business for risk, typically takes between three to seven business days. During this time, they will verify that your business is legitimate and compliant. The best processors have dedicated support teams to guide you through each step. Look for providers known for their helpful service—it can make a huge difference in getting approved quickly and with minimal stress.

Gather Your Documents and Plan Your Timeline

To keep the approval process moving, it’s smart to gather all your necessary documents ahead of time. Being prepared shows processors that you’re a serious and organized business owner. You will typically need to provide a voided check or bank letter, your certificate of incorporation, and details for your business bank account. You’ll also need a fully compliant, live website and may be asked for past payment processing statements if you have them. Having these items ready to go will help you apply for payment processing efficiently and shorten your overall timeline from application to activation.

Integrate with Your Shopify Store

Since Shopify Payments does not support the sale of CBD products, you must use a third-party payment gateway. This is a critical step. When choosing a processor, confirm that they specialize in high-risk industries and offer a straightforward integration for your Shopify store. A reliable processor will provide clear instructions or even hands-on help to connect their gateway to your shop. This ensures that your customers have a seamless checkout experience and that your transactions are routed securely through a compliant channel, keeping your store running without interruption.

Maintain Ongoing Compliance

Getting your payment processing approved is a major milestone, but the work doesn’t stop there. The CBD industry is subject to a web of evolving federal and state laws, and it’s your responsibility to stay on top of them. This is especially true for products like edibles and drinks, which face extra scrutiny from the FDA. A good payment partner will offer guidance, but ultimately, you must ensure your products, marketing claims, and business practices remain fully compliant. Regularly reviewing regulations will protect your merchant account and your business from potential shutdowns.

Fine-Tune Your Payment Strategy

Your payment processor should be more than just a tool for accepting money; it should be a partner in your growth. Once you’re set up, take advantage of the features your processor offers to refine your strategy. Many high-risk specialists provide advanced tools for managing chargebacks, analyzing customer data, and preventing fraud. Using these resources can help you reduce risk, understand purchasing patterns, and improve your overall operations. A processor that offers these value-added services is invested in your success and can help you build a more resilient and profitable business.

Frequently Asked Questions

What happens if I try to sell CBD through a standard processor like Shopify Payments or PayPal? It’s a risky strategy that almost never pays off. While you might be able to process a few transactions initially, these platforms have sophisticated systems that will eventually flag your account for selling prohibited products. When that happens, they will likely freeze your account and hold your funds for several months. This not only cuts off your revenue stream but can also get you placed on a list that makes it much harder to get approved by a legitimate high-risk processor in the future.

Are high-risk merchant accounts more expensive than standard ones? Yes, you can generally expect to pay higher fees for a high-risk merchant account. This isn’t because processors are trying to gouge you; it’s because they are taking on a greater financial risk by partnering with your business. The higher rates cover the costs of more intensive underwriting, specialized compliance monitoring, and managing a higher potential for chargebacks. Think of it as an investment in stability and the peace of mind that comes from knowing your payment partner understands your industry and won’t suddenly shut you down.

How long does it actually take to get approved for a CBD merchant account? The approval process is more thorough than for a standard account, but it doesn’t have to be a long, drawn-out affair. With a responsive processor and all your documents in order, you can often get approved in as little as three to seven business days. The key to a speedy approval is preparation. Having a compliant website, clear business information, and all the required paperwork ready to go will make the underwriting process much smoother for everyone involved.

Besides my documents, what’s the most important thing processors look at when reviewing my application? Your website is one of the most critical components of your application. Underwriters will thoroughly review your site to ensure it looks professional, is fully functional, and operates in a compliant manner. They will check for clear product descriptions, accessible lab results (Certificates of Analysis), explicit medical disclaimers, and easy-to-find contact information and return policies. A polished and transparent website signals that you are a serious, legitimate business owner, which greatly improves your chances of approval.

Is my payment processor responsible for keeping my business compliant? Your payment processor is your partner in compliance, but the ultimate responsibility rests with you, the business owner. A good processor will provide guidance and enforce the rules set by card networks and banking partners to protect their own risk. However, you are the one who must stay current on all federal, state, and local laws regarding the sale and marketing of your specific CBD products. Viewing your processor as a resource while taking full ownership of your compliance is the best way to protect your merchant account and your business.

Top CBD Payment Processors for Shopify (2024)