SAFE Banking Act
Difficulty in finding banks and credit card companies to handle financial transactions has been plaguing the hemp industry for many months. Too many financial institutions refuse to do business with hemp and CBD companies, worried about the risk that they will be sanctioned by federal agencies.
The SAFE Banking Act, which passed the U.S. House last year by a bipartisan 3-1 margin offers a solution. The bill would provide federal protections for hemp and CBD financial transactions by:
- Providing a safe harbor for hemp financial transactions, ensuring that banks and other financial institutions would not face federal punishment for those activities; and
- Directing the federal financial regulators (FDIC, Federal Reserve, etc.) to issue clear, formal guidance to banks, credit card companies and other financial institutions about the legality of hemp and CBD commerce.
Check out Sections 11-12 of the SAFE Banking Act for details.
The bill now being considered by the US Senate, so please act now. Please email your U.S. Senators to urge them to vote for passage of the SAFE Banking Act with the hemp provisions included. As always, we have made it easy for you – just type in your zip code, and a message will automatically populate to your Senators. Please feel free to personalize the message to share your stories about problems with banking and merchant services.