HARRISBURG, PA — A coalition of attorneys general is urging major payment processors and credit card companies to block transactions tied to illegal online sales of vaping products, citing growing concerns about youth access and widespread violations of federal law.
What This Means for You
- Online purchases of unauthorized vaping products could face new restrictions
- Payment companies may be required to block illegal transactions
- Effort targets youth access to unregulated and potentially harmful products
Pennsylvania Attorney General Dave Sunday joined 24 other attorneys general and New York City officials in sending letters to companies including American Express, Capital One, Citigroup, Mastercard, Visa, PayPal, Stripe, Sezzle, and Block, which operates Square, Cash App, and Afterpay.
The coalition is asking the companies to collaborate with state officials to prevent their payment networks from being used to facilitate unlawful sales of e-cigarettes.
Why Officials Are Acting
Federal law requires that all e-cigarette products receive authorization from the U.S. Food and Drug Administration before they can be legally sold in the United States.
Only 41 products have received that authorization, all limited to tobacco or menthol flavors, meaning most vaping products currently sold are not approved and cannot legally be marketed or shipped across state lines.
Officials said many online sellers continue to bypass these rules, offering flavored products and shipping directly to consumers, often without verifying age.
Enforcement Gaps
The coalition said enforcement efforts targeting sellers alone have not been enough to stop illegal sales.
They pointed to the Prevent All Cigarette Trafficking Act, a federal law that requires online sellers to verify age, register with authorities, and comply with state and local regulations. Investigations have found many sellers fail to meet these requirements.
As a result, unauthorized products remain widely available through online platforms and retail outlets, with transactions frequently processed through major payment systems.
Focus on Payment Networks
State officials argue that payment processors play a central role in enabling these transactions and could help stop illegal sales by blocking merchants that violate the law.
The coalition is requesting a meeting with the companies to discuss steps such as restricting access to payment networks for businesses engaged in unlawful activity.
Sunday said vaping devices are often marketed in ways that appeal to minors and are frequently obtained through unmonitored online purchases.
“E-cigarettes are highly addictive and pose significant health risks, especially to young people,” Sunday said.
Recent Actions in Pennsylvania
Pennsylvania has taken additional steps to regulate vaping products, including requiring manufacturers to register with the state under a new law and supporting continued federal data collection on youth tobacco use.
The Attorney General’s Office also offers training programs for educators to help identify vaping devices and understand the risks associated with nicotine use among young people.
Next Steps
The coalition said cooperation between government agencies and the private sector has previously helped reduce illegal tobacco sales and could play a similar role in addressing the current surge in unauthorized vaping products.
Officials said they are seeking immediate action from payment companies to limit illegal transactions and reduce access to unregulated products.
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