Compliance
Prohibited & Restricted Businesses
Certain business types are prohibited or restricted from using Chargezen services to protect our platform, customers, and comply with legal and regulatory requirements.
Last Updated: January 4, 2026
Important Notice
If your business falls into a prohibited category, you may not use Chargezen services. If your business falls into a restricted category, you must obtain pre-approval before using our services. Operating a prohibited business or failing to obtain required approval may result in immediate account termination without refund.
Prohibited Business Categories
The following business types are strictly prohibited from using Chargezen services.
Illegal Products & Services
- Illegal drugs, controlled substances, or drug paraphernalia
- Unlicensed pharmaceutical sales
- Counterfeit or stolen goods
- Illegal weapons, explosives, or ammunition
- Human trafficking or exploitation
- Products or services that violate intellectual property rights
- Any product or service illegal under applicable law
Adult Content & Services
- Pornography or sexually explicit content
- Escort services or prostitution
- Adult entertainment venues
- Sexual aids or toys (without age verification)
- Dating services facilitating adult content
- Child exploitation material (immediate law enforcement referral)
Financial Fraud & Schemes
- Pyramid or Ponzi schemes
- Multi-level marketing scams
- Get-rich-quick schemes
- Fake investment opportunities
- Credit repair scams
- Debt collection harassment services
- Money laundering operations
- Unauthorized money transmission
Gambling & Gaming
- Unlicensed online gambling or casinos
- Sports betting (without proper licensing)
- Fantasy sports with cash prizes (in restricted jurisdictions)
- Lottery ticket sales (unlicensed)
- Gambling-related software or tools
Weapons & Violence
- Firearms and ammunition sales
- Weapons parts, modifications, or accessories
- Explosives or fireworks
- Knives designed for combat
- Services promoting violence or terrorism
- Content inciting violence against individuals or groups
Deceptive Practices
- Fake news or misinformation services
- Fake reviews or testimonials
- Astroturfing or fake grassroots campaigns
- Counterfeit documents or IDs
- Phishing or social engineering services
- Click fraud or ad fraud services
- Fake followers or engagement services
Restricted Business Categories
These businesses may use Chargezen services with pre-approval and compliance with specific requirements.
CBD & Hemp Products
Pre-Approval RequiredProducts must comply with 2018 Farm Bill (< 0.3% THC)
No health claims without FDA approval
Age verification required (21+)
State-by-state compliance review required
Lab testing certificates must be available
Cryptocurrency & NFTs
Pre-Approval RequiredMust comply with FinCEN and state money transmitter laws
No unregistered securities
Clear disclosures about volatility and risks
AML/KYC procedures required
No anonymous transactions
Tobacco & Vaping
Pre-Approval RequiredAge verification required (21+)
PACT Act compliance for shipping
State excise tax compliance
No sales to prohibited states
Health warning requirements
Alcohol
Pre-Approval RequiredValid liquor license required
Age verification required (21+)
Compliance with state shipping laws
Three-tier distribution compliance
No sales to dry counties/states
Financial Services
Pre-Approval RequiredAppropriate state/federal licenses
CFPB compliance for consumer lending
Clear APR and fee disclosures
No predatory lending practices
Debt collection must follow FDCPA
Healthcare & Supplements
Pre-Approval RequiredNo unapproved drug claims
FDA compliance for supplements
Proper labeling and warnings
HIPAA compliance if handling PHI
Telehealth must comply with state laws
Travel & Timeshares
Enhanced MonitoringClear cancellation and refund policies
No deceptive pricing practices
Compliance with FTC Travel Rule
Timeshare resale fraud prevention
Proper licensing in applicable states
Subscription Services
Standard with RequirementsClear disclosure of recurring charges
Easy cancellation process (ROSCA compliance)
No negative option marketing without consent
Renewal reminders before auto-charge
Comply with state auto-renewal laws (CA, NY, etc.)
Request Pre-Approval
If your business operates in a restricted category, you must submit a pre-approval request before signing up or activating services. Include:
- Detailed business description and website URL
- Applicable licenses and certifications
- Compliance procedures documentation
- Age verification system details (if applicable)
- Previous payment processor history
Enforcement
Chargezen actively monitors accounts for prohibited activities. Violations may result in:
⚠️
Warning
First violation, 48-hour cure period
⏸️
Suspension
Repeated violations, 7-30 day hold
🚫
Termination
Severe violations, no refund
Questions About Your Business?
If you're unsure whether your business is permitted, contact our compliance team before signing up.
