A Banking and Payment Solution for the Cannabis Industry

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We live in a digital world. Most of us buy stuff digitally today, whether we are paying by card, banking app, or mobile payments app. 

But paying for cannabis digitally can be a hassle — if you are not using the right service. Most popular payment apps will not deal with legal, licensed cannabis businesses. Most banks will not do business with cannabis merchants, either.

Fortunately, you can now sign up for KindPay by KIND Financial and Herring Bank. KindPay will handle cannabis purchases digitally at any participating KindPay licensed merchant. 

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Why Is It Such a Pain to Buy Legal Pot Digitally?

Many cannabis retailers are cash-only operations. That’s because, while cannabis may be legal within a given state, it’s still a banned Schedule I substance at the federal level. The federal ban has created a climate of unfounded fear in the financial world, namely among national credit card networks.

Since major national credit card networks tend to handle the bulk of all online and digital payments, they can dictate who can, and cannot, receive their payments. This is why most major digital payment apps will not process cannabis transactions, even if cannabis purchases are legal within the state.

Recently, many banks across the US are beginning to work with licensed cannabis companies. So, the solution for providing digital payments was finding a bank not only smart and sensible enough to do business with the cannabis industry, but one that’s already got years of experience with its cannabis accounts. KIND Financial did that, and its service is now offered through its mobile app, KindPay.

How Exactly Does KindPay Work?

KindPay works like most popular digital payment apps. You make a deposit into your KindPay account with a credit card or debit card.

KindPay works through its partnership with Herring Bank. Herring Bank is a long-established, FDIC insured institution that’s been around since 1899. 

Since 2019, Herring Bank has done business with licensed cannabis companies nationwide. Its compliance department understands the requirements of cannabis regulations.

“Herring Bank has been banking in the cannabis space for over two years,” Scott Johnson, the Head of Product at KIND Financial, told MERRY JANE during a phone interview. “They’re comfortable with their compliance and protocols they follow.” 

How to Get Started with KindPay

KindPay is available for both Apple and Android mobile devices. You can download it directly from either providers’ app store. Once you complete Registration to open your Herring Bank Account, you can deposit funds directly into the account using a credit or bank debit card.

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Next, visit your favorite cannabis retailer and ring up your order. Currently, KindPay is accepted by over 25 retailers in Colorado, Oklahoma, and California, including the Bay-Area pioneer Harborside. 

With the order finalized, the budtender will scan a QR code provided by the KindPay app. After it’s scanned, you will approve the transaction to complete the purchase. Your bank or credit card statement for your deposit transaction will say Herring Bank Deposit so your purchases will remain discreet with the peace-of-mind that they were legally and securely handled through a legitimate, federally approved bank. 

KindPay Is Kind to All Kinds of Businesses, Too

KindPay began as a digital payments system for cannabis consumers. Currently, its board of advisors includes prominent cannabis advocates Montel Williams and Lindy Snider. However, its services reach well beyond the customer and can immensely benefit business-to-business transactions, as well. 

Currently, KIND Financial is forging partnerships with point-of-sales companies, delivery services, and other businesses operating both within and alongside the cannabis industry. They’re also offering KindPay partnerships beyond the cannabis industry, too.

“We are approaching non-cannabis businesses that are interested in targeting the cannabis customer,” Johnson said. “We believe the cannabis lifestyle customer has important reach and target potential outside of the cannabis industry.”

Johnson noted “rideshares, food deliveries, coffee shops, fast food, clothing stores, CBD companies, concerts, venues, museums, and hotels” all intersect with the cannabis lifestyle and its customers, which range in age from millennials to baby boomers. 

“Basically, cannabis businesses want to be treated like every other business,” he continued. “The cannabis industry has a specific need for digital payments right now.”

The KindPay app meets that need while connecting the cannabis consumer with the rest of the economy. Start paying for cannabis with the convenience, mobility, and security as you would for anything else by using KindPay. 

Sign up for KindPay today by visiting its website here

Follow KindPay on Instagram and Twitter.

**This was made in partnership with KIND Financial.





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