More banks willing to deal with legal marijuana businesses

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https://www.rt.com/usa/340416-legal-marijuana-businesses-banks/

As more states contemplate legalizing recreational marijuana, the businesses that pop up are going to need banking solutions. Fortunately for them, more US banks are becoming willing to dabble in the cannabis trade.

Over the last two years, the number of banks and credit unions open to dealing with marijuana businesses has increased by almost six times, the Associated Press reported, citing federal data. Back in March of 2014, only 51 banks and credit unions in the country were willing to deal with cash from pot businesses, but the number now stands at 301.

The large increase is surely due, in part, to the momentum that supporters of legalization have gained over the years. Since 2012, four states – Washington, Colorado, Oregon and Alaska – and the District of Columbia have legalized recreational marijuana. This year, several states, including California and Nevada, could vote to permit casual pot use as well.

However, another reason that banks have become less reluctant to enter the pot trade is that some states have started to make it easier for them to know when a business is operating legally and when one might constitute a substantial risk.

While federal law bans banks and credit unions from accepting money linked to marijuana, the Treasury Department relaxed those rules two years ago, allowing banks to work with pot businesses if they can ensure that pot shops in compliance with state marijuana regulations and aren’t part of a money laundering scheme or other criminal network.

However, banks have generally stayed away from the industry altogether since information on a pot business’ practices was difficult to ascertain. Consequently, loans were difficult for business owners to secure, and marijuana shops could not accept credit or debit card payments because banks didn’t want to be connected with the business. This resulted in ATMs being placed in most stores and forced marijuana businesses to deal with large sums of physical cash, which forced pot stores to beef up security to protect against robbery and ensure cash was safely transported.

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“While federal law bans banks and credit unions from accepting money linked to marijuana, the Treasury Department relaxed those rules two years ago, allowing banks to work with pot businesses if they can ensure that pot shops in compliance with state marijuana regulations and aren’t part of a money laundering scheme or other criminal network.”

of course there is a big money to be made..start ups etc..

“Since 2012, four states – Washington, Colorado, Oregon and Alaska – and the District of Columbia have legalized recreational marijuana. This year, several states, including California and Nevada, could vote to permit casual pot use as well.”

they want to tax it..they didnt do it for the stoners!

401

~ by seeker401 on April 23, 2016.

9 Responses to “More banks willing to deal with legal marijuana businesses”

  1. I DO NOT ENDORSE DRUGS, BUT I DO FEEL THIS WAY: PEOPLE SHOULD HAVE A CHOICE IN THEIR HEALTH. MARIJUANA HAS BEEN KNOWN TO HELP MANY TERMINAL DISEASES AND ILLNESSES, ETC…I FEEL IF MARIJUANA IS LEGAL AND PROPERLY GROWN SOIL, STANDARDS, AND PURITY IT CAN BE BENEFICIAL. THE MARIJUANA THAT IS PURCHASED FROM STREET DEALERS, CONTAIN MANY A MOLECULES THAT CAN BE TOXIC AND LETHAL. IN THE PROPER ENVIRONMENT AND UNDER SUPERVISION YES, IT CAN BE OF BENEFIT. BANKS ARE FAR BETTER OFF, ACCEPTING LEGAL MARIJUANA BUSINESS THAN THE BUSINESS OF STATEN DRUGS, AND SOME OTHERS TO FOLLOW. FOR GOODNESS SAKE, TAKE IT OFF THE STREETS AND PLACE IT IN A WINDOW SHOPPING ARENA, WHERE IT CAN BE OBSERVED AND SUPERVISED. I WOULD NOT RECOMMEND ANY KIND OF SMOKE, BUT POWDER, OIL, AND CUT INTO LEAVES MAY WORK, AND FOR NON SMOKERS, WE DO NOT HAVE TO WORRY, ABOUT ANYTHING SECOND HAND.

    • Good post mate. It has many medicinal benefits.

    • wrong. corporate weed is poison, and soon they will unleash GMO cannabis as well.

      it’s just like food, if you have an opportunity to get handcrafted, small batch, small farmer produced product, you’ll be better off than anything corporate.

  2. I’m pretty sure aside from the CIA, MIC and other ABC groups the Big Banks ARE the most experienced in the pot trade.

    • not since the mid-80s, when the trade became an US-based cottage industry instead of a mostly import-driven market.

      story from my weird life #8492: met a guy who claimed he was one of the world’s biggest pot smugglers back in the 60s/70s. he also claimed he was an “independent” but it was clear he was spook-connected. he spent two years in a french prison for his trafficking. one of his operations involved moving product around california – on governor ronald reagan’s plane. when they would land, fisrt the governor would get off, and then his bags would be unloaded – at least half of which were packed full of weed….

      • LOL
        oh the irony ‘just say no Nancy’!!

        I can believe that. I’ve been told that some Washington D.C. actors are allowed a couple of semi trailer containers for their ‘belongings’ for storage. Take it for what it is, but it rather speaks to the storyline and from where I heard it, I believe it to be a fact. But what do I know.
        You’ve certainly led an interesting life xxx, I would love hearing more of your life adventures 🙂

      • love it..just say no!

  3. […] via More banks willing to deal with legal marijuana businesses — Follow The Money […]

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