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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Friday, July 5th, 2019 at 11:15pm
@eaze Vaping is indeed the future.
Smoke has carbon, and is responsible for most lung problems resulting from combustion.
I suggest investing in a GOOD herb vape, at least $100-200 vape.
The others simply combust the herbs.
So many ppl dislike vaping bcuz they tried a bad device.
Friday, July 5th, 2019 at 3:44pm
@Kelpalots @DJColonelCorn A meta-study (I think around 2012) estimated that at the time ~17,000 people/year (in the US) died from complications arising out of internal gastrointestinal bleeding events thought to have been caused by NSAIDs.
(Thanks to Lightning on Disqus for this)
Yes, @Kelpalots, they do
Tuesday, July 2nd, 2019 at 6:11am
@KnowNicotine Vaping, whether done by a teen human or adult, has been shown to be practically harmless. While crying "Save The Children" they banned e-cigs, but not tobacco, in San Francisco recently. Saving the teens from the awful vape. Yeah. They also claim adults do not like flavors. Sure.
Tuesday, July 2nd, 2019 at 6:07am
@KnowNicotine Not happy with this teaser.
It's about, and labelled as, the "teen vaping 'epidemic'".
I'd rather my teen vape than smoke and get disease.
This is not why I donated. This 'teen epidemic' is their excuse to ban vaping.
"Save The Children!" they cry. When it's really about taxes.
Sunday, June 30th, 2019 at 6:30pm
"and from online retail..." .. how, exactly, well the enforce THIS I wonder....
Sunday, June 30th, 2019 at 12:38am
@Kpascuch My old home town has a lot to learn.
First came the flavor ban, now an outright ban on all e-cigs.
I can't believe at this stage of the game we're going backwards.
After all the progress we've made.
My DOCTOR even, has finally decided she approves of VAPING as she can see results https://t.co/OUcWPEelfn
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Sunday, June 30th, 2019 at 12:32am
@Kpascuch Sad.
I was just in Oakland, California.
They couldn't sell me vape liquid.
Of course, the tobacco was readily available.
As an ex-smoker I find that insulting. https://t.co/UAvfpOmJYO
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Thursday, May 23rd, 2019 at 7:56am
@KnowNicotine @Biebert @ThirdLineFilms @JenniBiebertMKE @JimiJakeShaw uh.... all of California isn't like what you saw... next time, come up North and see the redwoods !
All the best, Aaron. <3

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