New Vape Regulations Could Put Retailers out of Business

May 19, 2023 | High Risk Merchant Account | Dustin

New Vape Regulations

Vape stores and e-cig sellers have always been a hot topic in the high risk industry. Early on, they were seen as a huge money making, big business opportunity, and many entrepreneurs jumped at the chance. In fact, those who have been in the business for up to 20 years are seeing enormous returns on their investment. For the most part, high risk merchants who have capitalized on starting a vape company has seen major success.

However, this smooth ride to financial success is potentially about to come to a stop. If the new vape regulations that are presently being debated are passed into legislation, most retailers with vape merchant accounts could be forced out of business, never to be heard of again.

Vape merchant account owners have been caused a great deal of fear lately, especially among those who are vape manufacturers, vape and e-cig distributors, and online vape and e-juice sellers.

Vape merchants working in this high risk sector are concerned about being hit with the exact regulations that cigarette dealers have to operate under. Meanwhile, lawmakers and health experts feel that the time is right to place the vape industry under strict regulations to avert a potential public health crisis. This makes finding payment processing solutions and being approved for a vape merchant account incredibly difficult, among other things.

The stress first started when the CDC published its annual report on tobacco use among the youth. In the analysis, it was revealed that the amount of middle and high school youth using vape and e-cig products had tripled between 2013 and 2014.

Is Vaping Healthier than Smoking Cigarettes

While the report suggested that most of the pupils were using electronic cigarettes and various vape products in an effort to choose a healthier alternative to conventional cigarettes, which they pay for through the vendors’ vape merchant accounts, wellness officials have voiced concern that the reverse might happen. They are saying that the fact that these youths become exposed to vape at this young age means they would not shy away from real tobacco cigarettes in the future.

This is why lawmakers are working hard to pass regulatory laws to govern vape. The end goal is to prevent potential public health hazard connected with the growing use of vape among our teens. Some officials have even become terrified that with the current vape trend, that it will lead to a whole generation of nicotine addicts.

Exactly what will likely be in the last bill remains anyone’s guess. But, it’s very likely that the regulations will be firmly against the manufacture, sale, and supply of any vape liquid or gel substance containing nicotine unless the product is in child-resistant packaging. Some have even suggested that those found in violation of the new law may be fined up to 500 percent of the retail value of the vape material in question, or $5,000.

It’s a waiting game to see what will shake out in the end when it comes to vape and e-cig regulations – but that shouldn’t swag vendors to start running in the other direction. Abiding by strict guidelines doesn’t mean the end of your business or that your vape merchant account will be shut down and unable to receive payments – it simply means staying in the know, ahead of the curve, and on point with regulatory action.


May 19, 2023 | High Risk Merchant Account | Dustin