MasterCard’s revised policy to comply with US FDA’s tobacco products regulations

As a consequence of recent changes in US FDA’s authority over tobacco products, including vaping products, MasterCard revised their policy for vaping businesses to include Business Risk Assessment and Mitigation (BRAM) compliance program on August 2016. A change that may be detrimental to small businesses.

Last week, MasterCard sent out an email to vaping companies, updating what the e-liquid vendor onlyeliquid.com judges an “anti-vaping policy” with companies that process their cards:

  • A $500/year registration fee,
  • “Adult Signature Required” and “Adult Signatures on delivery” features.

In response to age restrictions imposed by the federal and the state laws, MasterCard enables signature when ordering and on delivery with the “adult signature” functions. It does not only set a de facto age limit to 21 (even if some states allow the 18-20 to vape), this new regime also sets shipping costs at a higher rate than with a normal transaction. With the “Adult Signatures on delivery”, USPS, UPS, and FedEx also require the presentation of a valid government issued ID to sign on delivery.

With these measures, MasterCard adds to an existing complicated situation, especially for the smallest vaping businesses that are facing the elevated costs of pre-market authorizations imposed by the US FDA to distribute their products.

There are only few chances that other payment methods escape from this regulation, according to the source. Hence, American Express and Visa credit cards are supposed to follow the same billing procedure and add their costs and constraints to the current procedure launched by MasterCard.

A petition has been released to express disagreement with MasterCard’s policy and to ask for a reversion.

 

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Sunday, September 22nd, 2019 at 8:36am
@AxeEnthusiast @BigZachVapor @NYGovCuomo Well, the habit is intertwined with the taste of the habit, in this case, tobacco.
If the brain is constantly bombarded with the taste of tobacco then one is never free from tobacco.. Not only this, but, the 'flavors' used to make 'tobacco flavor' actually contain tobacco poisons
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Damn you @BBC . You are reporting to the world that 'ecigs' have 'caused death and hospitalizations in the US'. Please. Terrible reporting, BBC, just terrible.
We all know now that they were illegal #THC #cartridges. https://t.co/v1BA3GHtkC
Monday, September 16th, 2019 at 5:43pm
@AxeEnthusiast @BigZachVapor @NYGovCuomo Actually, yes, flavors are a very important part of quitting #tobacco for #vaping.
It wasn't until I quit tobacco flavored e-juice that I was able to finally stop using tobacco. Flavors are INTEGRAL to quitting, and 'they' know this, therefore a seemingly helpful #flavor ban !
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@NYGovCuomo you will be responsible for all those kids having no options other than #tobacco. Quitting #nicotine is not what they're interested in. It helps them focus in school and reduces anxiety.
What is your PLAN for getting these kids off of tobacco ?
Read the post below.... https://t.co/KEkpPUB7Ng
Monday, September 16th, 2019 at 5:36pm
@NYGovCuomo says 40% of 12th graders chose #vaping over #tobacco.
Good for them ! Kids old enough to die in war choosing the safer alternative,
I've long said, you can't keep the kids from nicotine, the question is if we let them die for their choice or not.
#hypocrisy. https://t.co/a6CzLHMGAS

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