PayPal does NOT Allow CBD related payments!

e-luxe
New Community Member

I run a vape shop directory and we have had a listing from a vape shop in the United States that also sells CBD products. A Month later, PayPal has written to use to say that our account has been restricted and have asked us to remove PayPal as a payment method from our vape shop directory. We do not sell CBD products such as CBD oil. We only provide marketing services to CBD companies. I have checked out Holland & Barrett – the UK’s Leading Health Retailer and if you take a close look, you will see that they sell a fairly extensive range of CBD products, specifically CBD oil and they also happen to accept PayPal as a payment method. It appears that PayPal is applying double standards to different companies. As a result of this restriction, I can no longer accept PayPal on my CBD-related website. This has restricted my payment options and now, I am heavily reliant on Cryptocurrency payments and direct bank transfers. I have consulted a solicitor from a Magic Circle law firm in London and they said that what PayPal is doing is entirely illegal and discriminatory as it should be applying a uniform standard to all companies. I am yet to consult another lawyer from a US law firm in London to see what PayPal’s legal position is in the United States. In the meantime, I would be highly appreciative if anyone here could provide me with alternative payment processors/merchants that work with CBD companies.

Login to Me Too
3 REPLIES 3

goodmeetssgood
New Community Member

I have many small businesses and have worked with Paypal for years. Recently I began selling a healing lotion with CBD. I had no idea of the policy, as it is ridiculous, I would have never thought of it. CBD is legal, non-harmful, and really helps with pain relief, sold in grocery stores around the country. They shut me down with no notice, Just went to Paypal to see that it happened. Never returned phone calls. No email. Just on my Paypal page, it says I am selling a narcotic. First of all, hemp and/or marijuana are NOT a narcotic. That is so offensive. I would never sell narcotics. I am a professional. Then, I am told my funds are being held for 180 days. I am extremely offended, insulted, and I feel totally violated. Paypal is acting as if I have not been an extremely loyal customer for years. I have thousands in other accounts. And not even a single response. I did not purposefully go against any PayPal rule or law. I have no problem closing the account even, as I had to do to keep business. But to hold my funds and accuse me of selling narcotics? 

Login to Me Too

Doright_85
New Community Member
The same happened to me, I have seen quite a few delta8/cbd products on companies like scentedsharks.com who sells body products now added to their hustle, delta8 and CBD products who still proudly display PayPal at checkout. How is that possible? How can a company sell body scrub and delta 8 gummies get a pass?
Login to Me Too

Doright_85
New Community Member

Haven't Found your Answer?

It happens. Hit the "Login to Ask the community" button to create a question for the PayPal community.