Tobacco merchants already have enough on their plates, from strict shipping rules to sky-high payment processing fees. PACT Act rules and regulations only add more frustration.
That’s where AllayPay comes in.
Partnering with a niche high-risk payment solution ISO agent like AllayPay for credit card processing can ensure your tobacco business stays compliant with PACT laws, so you don’t have to worry about tax penalties, account freezes, or other headaches.
What Tobacco Sellers Need to Know About the PACT Act

It doesn’t matter if you’re in retail selling hookah-related products, vape cartridges, smokeless tobacco, or you strictly deal with online tobacco sales: PACT (Preventing All Cigarette Trafficking) impacts nearly every part of your business.
Enforced by the federal government, PACT restrictions for tobacco businesses include:
- Shipping restrictions (strict carrier policies, such as the inability to use USPS)
- Mandatory age verification and adult signature upon delivery
- Monthly tax reporting and ATF/state registration
- Limited access to reliable payment processors
How AllayPay Helps Tobacco Sellers Stay PACT-Compliant

We understand the challenges and complexities of operating within the tobacco industry, and we’re fully equipped to handle them.
Whether you need tobacco & cigar merchant services, vape & e-cigarettes merchant services, or hookah merchant services, we give you access to stable, compliant credit card processing that keeps sales flowing.
PACT Act Compliance for Tobacco Credit Card Processing

As a high-risk payment specialist, we work directly with high-risk payment processors to support every aspect of PACT regulations for tobacco merchants. Payment solutions include:
- Affordable retail POS systems to sell tobacco in person
- Age verification
- Tax-compliant transaction reporting
- Risk-monitoring solutions
- PCI-compliant
- Multi-state shipping compliance guidance
- High-risk payment gateways and virtual terminals for online transactions (FluidPay, Authorize.net, NMI, iTransact, and others)
Secure and Legal Payment Solutions for Tobacco Merchants
We give tobacco merchants the stability and flexibility they need to grow without worrying about surprise shutdowns, chargebacks, or inflated fees. From fast approvals to multichannel support and expert guidance, we provide a tailored payment processing experience built for the long haul.
No Surprise Freezes or Shutdowns
Unlike traditional banks that see your business as a liability, we specialize in high-risk industries like tobacco.
With our due diligence of compliance guidelines and account monitoring, you won’t wake up to a frozen merchant account or even a sudden account termination.
Built-In Chargeback Protection
Tobacco products are typically non-returnable, which makes chargebacks a big concern when it comes to credit card payments. With built-in chargeback tools and enhanced fraud prevention measures, we help mitigate this risk.
Additionally, we have a customer service team of industry experts to quickly address issues whenever disputes do arise.
Fair Fees & Transparent Terms
Virtually all payment processors charge higher rates to high-risk merchants like tobacco sellers.
However, with AllayPay’s deep industry expertise, we’ve partnered with processors to offer high-risk merchants transparent, competitive fees and terms.
Alternatively, if you want to avoid processing fees altogether and keep all of your revenue, check out our Zero Cost Processing program. It allows you to legally pass your processing fees to customers.
Easy Onboarding & Fast Approval
One of the biggest frustrations for tobacco is getting approved for a merchant account in the first place.
Because we work specifically with high-risk industries like tobacco, getting an approved merchant account is quick and painless. We’ll get you up and running, walking you through the entire application process so you can start selling in just a few business days.
Built For Multichannel Tobacco Sales
Your customers aren’t shopping for tobacco products just in brick-and-mortar stores anymore, and they’re not just paying with cash or credit. They want to order your products online or pay with a mobile wallet like ApplePay. They might even want to set up a subscription, so they never run out.
That’s why AllayPay offers multichannel merchant services with payment options for your customers actually want. You’ll be able to accept credit cards and other electronic payment forms for tobacco products online, via mobile app, through delivery services, or even recurring billing for subscription-based vape or tobacco orders.
Whether you’re selling cigars at a retail counter or running a growing online storefront for e-cigarettes, AllayPay ensures that your payment processing system can scale up with your business.
Long-Term Support From Industry Experts
Federal and state laws have a tendency to change over time, especially in highly regulated industries like tobacco.
With over a decade of experience and industry expertise, AllayPay provides ongoing support to help you navigate new rules, avoid penalties, and adapt your payment setup as your business evolves.
Why Is a Dedicated Vape & Tobacco Merchant Account Important?

Vape and tobacco merchant service provider ISO agents like us don’t just help you deal with PACT Act repercussions; we proactively help prevent issues by keeping you in compliance. Our services are tailored to the unique regulations and legal roadblocks tobacco companies face every day.
With AllayPay, you get:
- Secure, PACT-compliant payment processing systems
- Fair and transparent processing rates
- Age and delivery verification
- Support for mobile and online sales of tobacco, vape, or e-cigarettes
- Help understanding and applying PACT Act requirements
By choosing a dedicated tobacco merchant account or vape and e-cigarette merchant account from us, it’s easy to avoid PACT fines, account holds, and unpleasant surprises at tax time.
Stay PACT Act-Compliant with Tobacco Merchant Services

You have enough to manage as a tobacco business, and you shouldn’t have to worry about PACT complications that could disrupt your cash flow or even put you out of business.
AllayPay understands the unique obstacles tobacco businesses face. Whether you need help finding a payment gateway or filing PACT tax documentation, let us be your partners for the long haul, assisting you every step of the way to keep you compliant so you can focus on selling and growing your business.
Get started with a free quote for tobacco payment processing and see how simple it is to process payments with a trusted partner.