The Frankenmuth Credit Union in Michigan launched a product to provide banking to marijuana companies in the area, only months after regulators went after another financial institution for a similar move.
According to the Detroit Metro Times, the Frankenmuth-based credit union:
- Created Envy, a pilot program dedicated to servicing cannabis businesses.
- Unveiled a plan to add one or two new marijuana-related business members each month for the remainder of 2021.
The credit union, which services roughly 60,000 people, is partnering with Green Check Verified, a financial technology company that enables financial institutions to “safely and efficiently” offer services to legal marijuana businesses.
The move comes after the National Credit Union Administration in March sent a cease-and-desist order, citing Live Life Federal Credit Union for failing to comply with marijuana banking regulations and ordering the financial institution to stop opening new cannabis accounts.