Banking Services and Credit Card Processing for Hemp Businesses is Still an Issue

In a recent press release on Congressman Any Barr’s website, Barr commended financial regulators on providing guidance on hemp, but also urged for additional clarification.

The guidance from the Federal Deposit Corporation, Office of the Comptroller of the Currency, the Federal Reserve Board, the Financial Crimes Enforcement Network, and Conference of the State Bank of Supervisors that was recently issued provided insight into he legality of industrial hemp and requirements applicable to bans that serve hemp-related businesses.

Congressman Barr, during a House Financial Services Committee, shared that he wanted to thank regulators for issuing the guidance, but also noted that there is “still work to do.” The press release indicates that he urged them to “expand the guidance” so that payment processors serving hemp businesses have legal certainty. And that constituents have been sharing with him that the uncertainty concerning the legality of payment processing for hemp businesses is still an issue in the industry.

According to a report by Marijuana Moment, Barr also stated during the committee meeting that he has heard from Kentucky bankers on the issue, that they would welcome the guidance, and that it would go a long way to enable the hemp industry to thrive. The report also indicates that FDIC Chairwoman Jelena McWilliams replied to that the agency would “certainly take a look” concerning the issue.” Barr replied by pointing to the 2018 Farm Bill and the broader goals of Congressional action.

All information is for general informational and educational purposes only. Nothing should be interpreted as legal or medical advice.