Cannabis-related merchants – Latest AN 8201 Updates for the Business Risk Assessment and Mitigation Program (BRAM)
Mastercard Standards prohibit the processing of any transactions related to illegal activity or products under its card brand. Cannabis remains a controlled substance by the U.S. Drug Enforcement Administration, and therefore, the processing of cannabis-related transactions is deemed illegal under federal law in the U.S.
Mastercard has noted a number of merchants processing transactions for raising awareness towards the cannabis industry, but do not supply products containing cannabis. Mastercard advises merchants to review and revise merchant descriptors to avoid misunderstanding with terms that may appear to involve the processing of illegal transactions. Merchants are also reminded to use descriptors to closely match their actual business description and nature.
Source: AN 8201 Updates for the Business Risk Assessment and Mitigation Program 15 August 2023