Cannabis Business Banking in New York
- New York Cannabis
- Cannabis Business in NY
- Cannabis Business Banking in New York
Key Points
- The DFS has issued guidance to help financial institutions serve state-licensed cannabis businesses while ensuring regulatory compliance.
- Cashless ATM systems and mobile payment apps allow customers to withdraw cash at ATMs or link bank accounts to make secure, convenient payments for cannabis products, reducing on-site cash.
New York's Efforts to Address Banking Challenges for Cannabis Businesses
In New York, the Department of Financial Services (DFS) is taking steps to address the banking challenges faced by cannabis-related businesses. The DFS has issued guidance aimed at helping financial institutions provide services to state-licensed cannabis enterprises while ensuring compliance with both state and federal regulations. Meanwhile, the New York State Office of Cannabis Management (OCM) has been granted the authority to share information about cannabis license holders with financial institutions. This collaboration is designed to streamline the verification process and bolster compliance with "Know Your Customer" regulations. Together, these efforts are intended to facilitate safer and more transparent financial transactions within the cannabis industry.
| Banks, Credit Unions, and Fintechs that offer banking services to Cannabis, CBD, and Hemp Businesses in NY | Type of Financial Institution |
|---|---|
| Affinity Federal Credit Union | Credit Union |
| Amalgamated Bank | Bank |
| Berkshire Bank | Bank |
| BlueSky Bank | Bank |
| Chase (CBD Only) | Bank |
| Dime Community Bank | Bank |
| First National Bank of Pasco | Bank |
| FundCanna | Lender |
| Green Check | FINTECH |
| Herring Bank | Bank |
| Hudson Valley | Credit Union |
| Jonestown Bank & Trust Co. | Bank |
| Needham Bank | Bank |
| Parke Bank | Bank |
| Safe Harbor Financial | FINTECH |
| Shore United Bank | Bank |
| Suffolk Credit Union | Credit Union |
| Sunmark Credit Union | Credit Union |
| Tioga State Bank | Bank |
| Valley National Bank | Bank |
- Are you a New York-licensed financial institution providing banking services to cannabis-related businesses? Request to be listed .
Contact a Banker To Discuss Your Business Needs
Reach out with any questions!Alternative Payment Methods for Dispensaries to Mitigate Cash Transaction Risks
Cashless ATM Systems: These systems allow customers to use their debit cards to withdraw cash from an ATM, which is then used to pay for cannabis products. This method provides a safer environment by reducing the amount of cash on the premises.
Mobile Payment Apps: Some dispensaries partner with mobile payment platforms which enable customers to link their bank accounts and make payments directly through the app. This approach offers a more convenient and secure alternative to cash transactions.
How Bank Accounts Support Cannabis-Related Businesses in New York
A bank account reduces risks like theft and fraud by enabling secure, transparent transactions essential for compliance. It streamlines B2B payments through wire transfers, debit cards, and checks, while aiding tax reporting with detailed transaction histories. Banking enhances credibility, attracts investors, and opens access to credit and loans. Additionally, it supports efficient employee payments via direct deposit, ensuring timely and legal wage distribution.