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  • Writer's pictureMichael Andrud

5 Reasons Why 420-Related Businesses Convert to Pin Debit Card Payments

Updated: Dec 14, 2022

Why are the largest cannabis businesses rapidly converting to Card-Present Pin-Based Debit Card Payments?

Pin-Based Debit Card (PBD) payments have recently emerged as the go-to option for electronic payments in the larger Cannabis-Related Businesses (CRBs). Why is that?

5 Reasons Why:

1. It avoids cashless ATMs and other unapproved workarounds

In December, 2021, Visa sent a memo to their bank aquirers that outlined prohibited transactions at cannabis businesses. They included:

  • "Cashless ATM" transaction amounts get rounded up to mimic an ATM cash disbursement

  • ATM machines in CRBs

  • Miscoding CRB merchants (e.g., a CRB coded as a restaurant)

Using a PBD system keeps your business from being fined by your bank for violating these rules.

2. Consumers use their debit cards just like at the retail store

Consumers use their debit cards for about 80% of their non-cash transactions. Debit cards are popular and easy to use, compared to all other payment methods. With PBD, consumers user their debit cards just like they would at any other retail store, with no change required and reasonable transaction fees.

3. Merchants grow revenue and budtender tips by as much as 25%

Given the popularity and widespread use of debit card payments, our data shows that customer traffic, in-store purchases, and budtender tips increase by as much as 25% when compared to cash or ACH sales.

4. Merchants get their money in 48 hours, sometimes 24 hours

Getting your money in your bank account earlier than ACH and without waiting for armored car pickup gives your business much more flexibility and the ability to manage its finances.

5. It lowers the risk and expense of having cash-based transactions

Deliveries are safer because customers can used their debit card, with no cash involved. There is less cash on hand in the retail store and fewer armored car pick ups are required.

By using PBD payments, you may see your a decline in your armored car fees and a decrease in risk to your employee safety.

For more information about how to get greater peace of mind, increase your revenue, and lower your cost and risk using Pin-Based Debit payments, set up an appointment with one of our payment consultants at, or send an email to


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