Does Square Accept CBD Payments?

Square is one of the fastest-growing payment options available online and in stores. With terminals, stands, registers, or readers for chips and magstripes, you can buy and sell most types of products through this service. But does Square accept payments for CBD products?

Square does accept CBD payments if the merchant is part of the Square CBD Program. However, only payments for products that abide by applicable state laws and Square’s policy will be accepted. Payments for CBD products are accepted in all of its systems, including Checkout API, Payments API, and Integrations.

This article dives deep into Square’s business structure as it relates to CBD merchants and consumers. It covers the various aspects you need to know if you buy or sell CBD products. It also details CBD sales elements such as fees, who can sign up, what CBD products can be sold, what payment methods are accepted for CBD purchase, and more. 

Does Square Accept CBD Payments?

Square, in fact, does accept payments for CBD products. Although, you will need to be part of Square’s CBD program to do so.

All payments are made through Square’s Payments API. This is the preferred way to accept payments (in this case CBD payments) through Square if you host and develop your own website or work with a developer.[1]

If you are not hosting your own website or do not have access to a developer, then you will need to visit Square’s App Marketplace to find partners that accept payments.[2]

Does Square Allow CBD Sales?

Square does allow the sale of CBD products. However, you will need to be part of the company’s CBD program. Moreover, you will only be able to sell CBD products or related products that meet Square’s regulations.

Square only accepts payments for certain CBD products, which are specific to hemp and hemp-derived CBD products. These products must have less than or equal to 0.3% THC. This regulation is in effect in most US states.

These CBD-based products must conform to applicable state laws regarding CBD distribution. These laws pertain to but are not limited to the Farm Bill of 2018.[3]

What CBD Products Am I Not Allowed To Sell on Square?

You are not allowed to sell any products that contain more than 0.3% THC. Additionally, you are not allowed to sell marijuana-based products and illegal drugs. You are also not allowed to sell products that would violate Square’s payment terms. Some of these products include:

  • Kratom
  • Kava
  • Paraphernalia
  • Bongs
  • Pipes

What About Shipping CBD Products to Other Countries?

Square, unfortunately, does not support transactions that would require products to be shipped to other countries where CBD is illegal. This means you are not allowed to sell or ship products to countries such as:

  • China
  • Hong Kong
  • Iceland
  • Iran
  • Israel
  • Japan
  • Malaysia
  • Philippines
  • Russia
  • Singapore
  • Slovakia
  • The United Arab Emirates
  • India

How Does the Square CBD Program Work?

If you intend to sell CBD products through Square, then you will need to sign up for its CBD seller’s program. Signing up for the program is easy. If you do not already have a Square account, then you can sign up here.[4]

If you already have an account, you only need to head to Square’s “Pricing & Subscriptions” section. This is located on your Square dashboard. You can then apply for the program under the “Optional Programs” section.

Can Anyone Apply For Square’s CBD Program?

Anyone can apply for the Square CBD program. As stated, you will need to adhere to your state’s laws regarding CBD sales and Square’s terms and conditions.

What Will I Need for the Square CBD Program?

Besides signing up for the CBD program and providing your information, Square might ask for additional information. The company does not clearly state what details may be required, but it says that you will be notified via email if further information is required.

Square CBD Payment Processing

Square’s CBD payment processing works just like its regular processing system. Square has three systems, which include:

  • Checkout API
  • Payments API
  • Square integrations

The Checkout API lets a seller accept online payments for specific payment types. This can be done using a Checkout Workflow hosted by Square.

The Payments API allows buyers to pay with their credit or debit card from the seller’s website. Then Square integrations will work with its partners, which include but are not limited to:

  • Wix
  • Weebly
  • Bigcommerce
  • Ecwid
  • Woocommerce

If you are part of the Square CBD program, then all these systems (integrations) will accept payments from your customers.

What Payment Cards Does the Square CBD Program Accept?

The Square API accepts all major forms of credit and debit cards for CBD-based purchases. More specifically, it accepts cards, including gift cards and/or prepaid cards, imprinted with the following logos:

  • Visa
  • Mastercard
  • American Express
  • Discover
  • JCB
  • UnionPay

What Are the CBD Payment Fees? Are They Different?

The fees that apply to Square’s CBD program are slightly different from its typical fees. All products under the CBD program are subjected to these fees, including products not related to CBD. This means that if you sell a product that doesn’t contain CBD, the same CBD fees will still apply because you are operating within the CBD program.[5]

CBD Transaction Fees [6]

CBD Transaction FeesThe Payment Method
3.5% + 10 centsDip, Swipe, and Tap Transactions
4.4% + 15 centsCard not Present Transactions
4.4% + 15 centsCard on File
3.8% + 30 centsAPI Transactions
3.8% + 30 centsSquare Invoices
3.8% + 30 centsSquare Online
1.0%Ach Payments


If you are a CBD seller, it is beneficial to know that Square does, in fact, accept CBD payments. This means that sellers and consumers of CBD-based products can use Square as a payment gateway.

However, there are factors to consider if you are a seller, which include signing up for the CBD program, paying different fees, and only being able to sell CBD-based products in accordance with applicable state laws. You are also not allowed to sell CBD products to buyers in other states or countries where CBD is illegal.

Being able to pay through Squares Payments API makes buying CBD products easier for consumers, especially[A1]  since other affiliated companies allow CBD-based purchases and accept most forms of payment.

Source list

  1. Square App Marketplace
  2. Square’s Payments API FAQ
  3. The Farm Bill, hemp legalization and the status of CBD: An explainer
  4. Square CBD Program sign up
  5. Square CBD Program FAQ
  6. Sell CBD online and in-store to reach every customer



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