AGs Demand Credit Card Crackdown on Illegal Vape Sales to Youth

In a significant move to protect children's health, a bipartisan coalition of 25 attorneys general is pressuring major credit card companies and payment processors to help curb the illegal online sale of vaping products. Led by North Carolina Attorney General Jeff Jackson, the group argues that financial institutions have a critical role to play in preventing underage access to e-cigarettes by cutting off the transaction process at the source.

A Bipartisan Call to Action

The coalition sent letters to nine of the largest players in the financial industry, including credit card issuers American Express, Capital One, Citigroup, Mastercard, and Visa. The effort also targets major payment processors like PayPal, Stripe, Sezzle, and Block.

“It shouldn’t be this easy for a kid to go online and buy a vape using a credit card,” stated Attorney General Jackson. The letters urge these companies to implement stronger safeguards to ensure their payment networks are not used to facilitate illegal vape sales, citing the significant health risks vaping poses to youth.

The Regulatory Framework for Vaping Products

Under federal law, all e-cigarette products must receive approval from the U.S. Food and Drug Administration (FDA) before they can be legally marketed and sold. However, the vast majority of products on the market today lack this approval.

To date, the FDA has only authorized 45 specific vaping products for sale, all of which are tobacco or menthol flavored. Any other product, especially the fruit and candy-flavored disposable vapes popular with teens, is considered "adulterated" under federal law and is illegal to sell. Many states, including North Carolina, have additional laws requiring state certification and mandating strict age verification for online vape sales.

North Carolina’s Precedent in Vaping Regulation

North Carolina has been at the forefront of this issue for years. It was the first state to sue the e-cigarette company Juul for its role in the youth vaping epidemic, alleging the company intentionally marketed its products to young people.

That landmark lawsuit resulted in a $47.8 million judgment for the state. This history of holding manufacturers accountable establishes North Carolina’s leading role in the national effort to protect children from unregulated vaping products.

Conclusion and Next Steps

The coalition of attorneys general, which includes representatives from 23 states, Puerto Rico, and the City of New York, is asking credit card companies to be part of the solution. The primary request is for these financial giants to identify and ban merchants and payment processors that knowingly facilitate illegal vape sales from their networks.

For consumers, this action highlights a new strategy in public health protection. By focusing on the financial transactions that enable these sales, regulators hope to disrupt the supply chain that puts illegal and untested products in the hands of children. It serves as a reminder that the responsibility for preventing underage vaping extends beyond parents and schools to the corporations that process the payments.