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On January 1, 2014, Colorado started enabling the legal use of cannabis for leisure functions. Medical cannabis has been legal in a few states for a while, however the Colorado law marks something new – and it highlights the issue that consumers have when it pertains to using their credit cards to make their weed purchases.
According to the Wall Street Journal, there’s actually been some confusion over how to process credit card transactions related to legal marijuana purchases. Concerns about cash washing laws have some significant banks worried about prosecution, and they decline to process transactions even from legal sources.
At first, Visa and MasterCard were uncertain of ways to proceed, because their rules mention that they’ll not accept transactions related to cannabis. However, in locations where it’s legal, the two companies have actually quietly decided to simply not implement the guidelines, reports the Exchange Journal. They assert they’re following the lead of the federal government, which has actually said that it’ll not pursue cases where pot is acquired legitimately.
But that still leaves some troubles for those who wish to get. Some banks will not accept the credit and debit deals associated with cannabis, so that implies money is the choice – unless seller get creative. One means that some sellers are getting innovative when it comes to accepting plastic is to run the transactions so that they appear like an ATM withdrawal, and not a pot purchase.
In any case, if marijuana becomes legal on a more extensive basis, there’s a likelihood that things will alter more rapidly. After all, more people make use of credit and debit cards than ever before, they’ll wish to make their cannabis purchases the same method they make all their various other legal purchases.